Trading strategy for binary options Forex Money Arrow
Forex Money Arrow trading strategy is intended for binary options and is based on a combination of trend indicators, oscillators and support and resistance zones.
The Forex Money Arrow strategy uses the lowest timeframes for trading, so it can be used for scalping.
Input parameters
- Currency pairs: major, commodity assets, indices
- Timeframe: M1 and M5
- Expiration time for binary options: 3-5 candles for M1, 5-7-10 candles for M5 (depending on the distance to the support or resistance zone)
- Trading times: London, New York
- Risk management: choose such a volume of option, so that the risk was not more than 2-5% of the deposit per trade
Used indicators
- Bollinger Bands Stop (20, 2)
- Support and resistance idicators
- Heiken Ashi smoothed (15)
- OsMa (default).
- MACD (6, 14)
- BMA Power (20, 12, 26, smooth 5, deviation 1.0)
- BMA trend (12, 26, 10, 2.5)
Setting indicators and system template
- Unpack the archive with templates and indicators
- Copy the indicators to the folder MQL4 -> indicators
- Copy the templates into the templates folder
- Restarting the terminal
- Open the chart of the desired currency pair
- Install a template named Forex Money Arrow
The schedule should look like this:
Signals indicating the purchase of a Call option
- the price is above levels of support;
- Bollinger band stop indicator (Fx MoneyArrow01) is directed upwards;
- Heiken ashi smoothed line is located below the price;
- the BMA Power indicator point is blue;
- point of the BMA Trend indicator is blue;
- MACD indicator bar (Binary MoneyArrow05) is blue;
- bar of the indicator OsMa (Binary MoneyArrow03) blue.
Signals indicating the purchase of a Put option
- the price is below resistance level;
- Bollinger band stop indicator (Fx MoneyArrow01) is directed downward;
- Heiken ashi smoothed line is located above the price;
- the BMA Power indicator point is red;
- point of the BMA Trend indicator is red;
- MACD indicator bar (Binary MoneyArrow05) is red;
- bar of the indicator OsMa (Binary MoneyArrow03) is red.
Note that the author of the strategy used some indicators (OsMa, MACD, Bollinger Bands Stop) under their own names, which does not change their essence. In addition, the saturation of the strategy with indicators can cause difficulties, especially for novice traders.
It is likely that experienced traders can replace the 4 basement indicators in use with other indicators, reducing their number without losing effectiveness.
Before using Forex Money Arrow trading strategy for binary options on a real deposit, be sure to test it on demo account.