Let’s break down what the 1 minute binary options strategy is and how to effectively use it to boost your investment returns.
1 Minute Binary Options Strategy: Increase Your Investment Returns
As forex trading advance, you will realize that there are many innovations to help traders get profits from the market. 1 minute- binary option is one of the best examples. 1-minute binary options’ trading has become quite popular over the last few years, and a lot of trading brokers are now offering this trade to their clients. I’ve been more of an income-based investor, which is why I like to sell weekly put options for income.
Trading in binary options for income is one of the most popular trends in the financial markets today. Both experienced, and novice traders now include them in their investment portfolios. I’ve considered myself more of an investor rather than a trader.
Just like any other business or trading platform, if you want to make money consistently, you must employ an excellent strategy. Anyone can trade with little time and skills since the main requirement is the ability to predict the direction that the asset price will take. If you like trading forex, here are several forex trading books to consider.
The price can either go up or drop. It is binary. Successful binary options traders often achieve great success by utilizing simple methods and strategies. If you want to be a binary options trader, make sure you pick a very reliable broker.
Binary options offer the investors an excellent way to trade in the direction of an underlying asset or the overall market because of their all-or-nothing features. Besides their straight-forward risk/reward profiles and defined risk, they can also be used for shorter-term strategies due to their seconds, minutes, hourly, daily or even weekly contract expirations.
Did you know that there are brokerages that will simply give you free stock just for signing up? That’s a great no-risk way to start investing.
So, what is 1-minute binary options strategy?
A 1 minute binary options strategy is a strategy for trading binary options with an expiry of one minute or 60 seconds. The trading offers one of the most successful strategies of trading available.
There is a possibility of making up a 85% profit on an investment in just a minute in binary options trading. This is why so many traders now consider trading binary options over the traditional forms of trading.
While sixty-second binary options trading also carries the risk of losing up to 100% of the investment in just a single minute, and there are several trading strategies which are used profitably by traders to make very high returns.
I’ve been a big fan of options for reducing risk and boosting returns. I have a predetermined set of criteria for finding the best stocks for writing covered calls to reduce risk. However, with trading I like to find a few stocks to constantly trade alongside my portfolio.
I tend to follow some of the investing gurus into various stocks.
How to use the 1-minute binary option strategy
If you have no idea about how to trade a 1-minute binary option, then you’ll be involved in a sheer gamble. You should first understand the concept behind the strategy, and follow the money management rules to fetch enough profits.
It is important to trade for a few months till you know the price movement and the other indicators. Let’s take a look at the 1-minute binary options strategies available.
Here are a few smart investment techniques to turnaround your investment portfolio if your portfolio is in a rut.
Basic 1-minute binary options strategies using time-tested methods
The 1-minute binary options trade swings very rapidly and having a trading strategy is crucial to ensure continued trading success. It’s important to keep things simple when trading using such short timeframes to avoid an ‘analysis paralysis’ that happens when trading with multiple indicators and to spot short-term opportunities.
Common 1 Minute Binary Options Trading Strategies
There are plenty of different common 1 minute binary option trading strategies to consider. Each one is different and not all are for everyone. I suggest choosing 1 or 2 different strategies that suit your trading style the best. I love using FINVIZ to identify new trade opportunities. Here is how I use FINVIZ futures to understand market trends.
This will help you stay within your investment strategy to boost your overall returns. I don’t mind pairing some of these strategies occasionally with my dividend growth portfolio. Here are some of the common 1 minute strategies to consider.
SuperSignal Binary Trading Strategy
The SuperSignal strategy for binary trading is one of the best low timeframe strategies. If all indicators were employed and money management rules followed, it can be profitable. When using the strategy, look out for the random occurrence of false signals and open trades at your own will.
GOD Strategy binary option trade
Another strategy is the GOD strategy which is one of the most successful strategies for binary options with one minute or 60 seconds expiration time. It’s based on three indicators, and its signals are relatively accurate. Signals are generated very often and on average, you can get one signal every 15 minutes.
Applying candlesticks to the 60-second binary options trades
Following the rise of the Japanese rice traders in the 1500’s, the use of candlestick analysis became one of the most time-tested methods. Candlestick charts give traders a visual indication of the strength of prices in the market. In addition, the candlestick can indicate future price changes as well as the existence of support and resistance.
When traders apply candlesticks to short-term trading charts, binary options traders can observe trends and the individual price bars. This should symbolize a near-term movement higher or lower.
One of the most vital strategies for sixty seconds binary options traders is the ‘engulfing’ candlestick, where a dominant candlestick engulfs the candle before, either bullish or bearish, to indicate that market sentiment is firm to the upside or downside.
Adding volume indicators to 1-minute binary options trading
Another great strategy involves the addition of volume indicators to a 1-minute binary options trading. These will demonstrate the level of trading activity in an underlying asset.
Ideally, 60-second traders are seeking for a switch in market sentiment to approve the price movement either higher or lower over the next one minute to ensure that their binary options expire in the money. A suitable way to interpret market sentiment is to watch for rising volume following a reversal signal. You then need to apply candlestick analysis to this. When an engulfing candlestick in the opposite direction to the short-term trend happens at a recent high or low, a reversal movement is also very likely to happen.
On a 60-seconds chart, if an engulfing candlestick is followed by an extra candle showing volume increase in the direction of the reversal. Then, a 60-second momentum trade in this direction will have a high probability of success.
Both patterns and volume offer binary options trade setups
There are many additional candlestick patterns which can assist traders in trading in 60-seconds binary options successfully. Many of which can be back-tested by viewing past or historical charts to ensure that they create the required immediate momentum and to ensure that 60-second binary options close in the money.
The engulfing candlestick strategy is one of the most reliable trading signals for short-term reversal momentum and can be said to be one of the most effective single-bar patterns for binary options traders.
For binary options traders looking to increase the probability of success, expand the expiry time of the binary options. Also, look for similar chances on 5-minute charts to ensure you continue to find high-probability binary trades. We all know that forecasting or predicting the future is the key to success. If you are new to this, try taking a course on trading to hone your craft and binary option trading strategy.
Conclusion on 1 Minute Binary Options Strategy
If you want to diversify your portfolio, you can consider trading the 1-minute binary options. While choosing a 1-minute binary trading strategy, bear in mind that the asset’s volatility can determine whether the trading session will be profitable or not.
You should also ensure that you never enter more than one trade every 5 minutes. This can lead to losses and excessive trading. Try picking a few stocks that you like. I screen for stocks and monitor only a select few to trade. I end up getting to ‘know’ the stocks.
When you are seeking one-minute expiry, you should try to analyze small patterns instead of considering the whole picture. The most successful traders in the world started by building their own trading strategy. Create a canvas of trading that suits your style. Then, refine and improve.
What do you think about the 1 minute binary options strategy? Let us know in the comments below. We’d love to hear from you.
- TradingView Review: Learn to Chart like a Pro
- SureTrader Review: An Brokerage Offering No Day Trader Pattern Rule
- Motley Fool Stock Advisor Review: Is It Worth It?
- Best Stocks for Covered Call Writing
- How to Trade Forex for a Living
Millionaire Mob is an early retirement blog focused on passive income, personal finance, dividend growth investing and travel hacking. With both a million rewards points and a million dollar net worth you can live a happier lifestyle.
Subscribe to the Millionaire Mob early retirement blog newsletter to find the best dividend growth stocks and more. Achieve the financially free lifestyle you’ve always wanted.
Join our community of over 3,000 mobsters seeking financial freedom. What are you waiting for?