This document provides an overview of a presentation on binary options trading strategies. It introduces the different types of binary options trades, including high-low, boundary, one touch, and 60 second trades. For each type of trade, the document outlines the objectives and key considerations for identifying trading opportunities. Technical analysis tools like Renko charts are also discussed for evaluating price action on binaries. The presentation concludes with a discussion of evaluating past trades, identifying errors, and opportunities for further coaching.
Binary Options: An Introduction & Key Strategies - Vantage FX
1. MODULE 3
WEDNESDAY JULY 24
6PM-9PM
BINARY OPTIONS
PRESENTATION BY ABE COFNAS
An Introduction & Key Strategies
2. INTRODUCTION
¡ WHAT ARE BINARY OPTIONS?
¡ They are fixed payouts when you are right and
zero payout when you are wrong.
¡ Limited risk to what your premium paid is.
¡ Known maximum return
¡ No Margin!
3. YOU ARE RIGHT OR WRONG
¡ THEY ARE BINARY BECAUSE THERE IS NO
RANGE OF BEING RIGHT OR RANGE OF BEING
WRONG.
IT’S A SIMPLE YES OR NO ON RESULTS
4. THERE ARE TWO TYPES OF BINARIES IN
THE MARKET
BINARIES ARE OF TWO KINDS
TYPE 1- BINARIES WITH STRIKE PRICES OR LADDERS
10. HI-LOW BINARIES
¡ Will the price be Higher or Lower at Expiration?
¡ Choosing Direction for a Hi-Low Binary requires two
decisions. First , direction, and then expiration.
11. Confirming Hi-Low Direction
¡ Choosing a Direction for a High or a Low requires a
confirmation about the price pattern.
¡ Did the price just break through a Resistance or
Support?
¡ Did the price fail to break through?
18. MARKET CONDITIONS
FOR HI-LOW SUCCESS
¡ CURRENT GLOBAL MARKETS CREATE SEVERAL IDEAL
CONDITIONS FOR BINARY OPTIONS
¡ EVENT RISK REACTIONS PROVIDE REACTION-
DIFFUSION CONDITIONS FOR PROJECTING PRICE
DIRECTIONS.
¡ LOOK FOR PRICE BREAKS AS A DIRECTIONAL
CONFIRMING INDICATOR
19. HI-LOW TRADING SIGNALS
¡ LOOK FOR BREAK OF A PATTERN
¡ LOOK FOR FEAR BASED MARKET REACTIONS
¡ LOOK FOR EVENT RISK SUCH AS FOMC, BOJ, ECB,
RBA, AND BOE ANNOUNCEMENT
20. BENEFITS OF HI-LOW BINARIES
¡ HI-LOW Binary Options Will Improve Your Trading:
¡ Improve Fundamental Thinking
¡ Increase Directional Accuracy
21. US CRUDE OIL BOUNDARY TRADE
¡ The Challenge on Trading Boundary Binaries is:
¡ Will the price be IN or Out of a Target Resistance or
Support.
23. TACTICS FOR WINNING BOUNDARIES
¡ Focus on Swing Patterns
¡ Reduce Time left to Minimum
24. TOUCH – Catch A Tiger By the Tail
¡ CHALLENGE: WILL THE PRICE TOUCH A TARGET BY
EXPIRATION?
A Critical factor for success is pattern
recognition and detection of Momentum.
Touch No Touch is a Momentum trade.
25. Best Conditions For Touch
¡ Right before News Events
¡ Right after a Break of Key Pattern.
¡ Best Pattern for Touch or No Touch is the Parabolic
Curve
27. SHORT-TERM
¡ These are fast binaries requiring very good
momentum analysis.
¡ NOT FOR BEGINNERS
28. TECHNICAL ANALYSIS FOR BINARY
OPTIONS
¡ Renko Chart Provide a Promising Tool for Evaluating
Price Action for Binary Trading.
¡ Let’s Explore this unique application.
30. CREATE YOUR BINARY SCORECARD
¡ What is Your 10 trade Win/Loss Ratio?
¡ What is your Maximum Streak of Wins?
¡ What is your Maximum Streak of Losses?
¡ What is your Binary Option Strategy Mix?
31. CONDUCT ERROR ANALYSIS
¡ To Improve Trading Binaries, You Should Evaluate
Your Losing Trades
Determine Causes of Error:
§ Error in Direction
§ Error in Timing