Although the name of the strategy presented may be unusual, the system itself is very simple and will be perfect for beginners equally well as more experienced traders of Binary Options – specially in the brusque term, daily trading.
The name MA AO STOCHASTIC has come from 3 indicators used in the strategy – moving average, awesome oscillator and stochastic oscillator. We invite you to familiarize yourself with the total description of the arrangement and its practical application.
Setting of indicators
-
Moving average
– change period to 12, remaining settings unchanged -
Awesome Oscillator
– Runs with standard settings -
Stochastic Oscillator
-% K of 12,% D and Slowing of 3.
The graph should at present look like this (colors may vary depending on the user’s settings):
System rules
- Interval on chart – M5
- Expiration of pick – M10-M15 (we are interested in 2d or tertiary candle)
The strategy tin can also be used on smaller intervals (for example, M1). However, we will only open this choice after the first or 2d candle afterward the signal candle has been fatigued. Switching to the M1 interval should be considered when the system generates too few signals – in the case of one-minute graphs, the number is significantly higher.
Playing PUT options
MA must cross the trunk of the candle and be over following candle
Awesome Oscillator moves around 0
Stochastic is in the overbought zone (betwixt seventy-100) and goes downwardly
When all 3 signals overlap, nosotros play the PUT option with expiry equal to 2-iii candles (for the M5 graph, they will be 10-xv infinitesimal options)
Playing CALL options
MA must pass through the body of the candle and exist under following candle
Awesome Oscillator moves around 0
The Stochastic is in the sold-out zone (between 0-30) and heads up
When all three signals overlap, we play the CALL option with expiry equal to two-3 candles (for the M5 graph, they will be 10-fifteen infinitesimal options)
How to play PUT option – sample
The moving average crosses the body of the candle and is located over the following candle. The Crawly Oscillator moves around nil, while the Stochastic is clearly above the 70 level, but heading towards it (downwards). As a result, we can purchase a PUT option that expires in 15 minutes. Every bit you tin run across, the candle has closed lower than the signal candle, so the transaction was successful.
How to play Phone call choice – sample
The moving boilerplate (MA) crosses the candle and moves nether adjacent candle. Awesome Oscillator is flat at zero, the stochastic oscillator will get out sold-out area soon (0-30). The rules of the strategy are fulfilled, so open the CALL option that expires in fifteen minutes (three candles). Cost airtight higher than the signal candle, once again the transaction was successful.
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Source: https://comparic.com/ma-ao-stochastic-strategy-binary-options/
