5 Min Binary Options Strategy

Binary options strategy IQ OptionTraders employ many different trading strategies that let them to identify the all-time points to enter and get out their transactions. Some methods are based on candlestick patterns and some on indicators. The ane I volition present today joins the RSI, the EMA and the engulfing design.


  • 1
    Setting up the nautical chart
  • 2
    Trading binary options with the RSI + EMA + engulfing pattern strategy

    • 2.one
      Opening curt positions with the RSI + EMA + engulfing pattern strategy
    • two.2
      Opening long positions with the RSI + EMA + engulfing pattern strategy
  • 3

Setting up the chart

You must be logged in to your IQ Option account. Today’south strategy gives the best results in the markets with high volatility. Accept it into business relationship when choosing the asset. Set the chart timeframe for one-minute.

We will apply two indicators in this strategy, the Relative Strength Index and the Exponential Moving Average. The RSI volition be used to identify the medium-term trend. The EMA serves as a long-term trend filter.

EMA200 with RSI on 1-minute chart
We will employ the EMA200 with the RSI on the ane-infinitesimal nautical chart

Click on the Chart Analysis icon and discover the RSI indicator. Leave the default settings. Then find the EMA and add it to your chart. Alter its period to 200. You can encounter on the above nautical chart that my RSI has got just one horizontal line at the level of 50. How I did that? Simple. I set the Overbought level at 50. Then I went to colour settings and made the Oversold level transparent irresolute its opacity. This way I have an RSI indicator window with merely one horizontal line I am interested in.

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On the IQ Selection platform, yous have the possibility to save the configurations. This is very convenient when you use a strategy often. Next time you volition just accept to observe a set template instead of calculation all needed indicators. Merely write the proper noun yous want this particular template to exist called and click Salve.

indicators set as a template IQ Option
You tin can save your indicators gear up as a template

The strategy is used on the chart with a i-minute candlestick period set up. Y’all should, still, proceed the position open for 5 minutes. The supposition is that the toll will fall or ascension within five minutes from the bespeak received. And so set the expiration time for 5 minutes for your binary option.

Remember to keep your expiration at 5 minutes
Call up to go on your expiration at v minutes

Trading binary options with the RSI + EMA + engulfing pattern strategy

Trading binary options with the strategy that combines the RSI, the EMA and the engulfing blueprint is non very complicated. It requires you to follow a few simple rules and to act as soon as you get a indicate to open up the transaction.

Opening short positions with the RSI + EMA + engulfing pattern strategy

The commencement thing is to observe the EMA200 line. The price bars should develop below it which indicates there is a downtrend.

Adjacent, look at the RSI window. There is a horizontal line with a value of 50. The indicator should run below this line.

With these 2 atmospheric condition met, look for the bearish engulfing pattern to appear. The trunk of the bearish candle should engulf the body of the former bar. When you lot discover such a design, open a short position right when the adjacent candle begins to develop.

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Your merchandise should terminal for 5 minutes.

EMA+RSI+Bearish Engulfing signal for short
EMA+RSI+Bearish Engulfing signal for brusk

Opening long positions with the RSI + EMA + engulfing design strategy

When yous plan on opening a long position, at that place should exist an uptrend in the market. To ensure this is the case, check where the candles are developing in relation to the EMA200 line. You lot are looking for a situation when the price is above the EMA200.

Now, check the RSI window. The indicator’s line should move above the value of 50.

The last thing you lot are waiting for is the appearance of the bullish engulfing pattern. The design is valid when the body of the bullish candle covers the torso of the previous cost bar. Open the long merchandise immediately after the signal at the opening of the side by side candle. Hold the position opened for a duration of 5 minutes.

EMA+RSI+Bullish Engulfing signals for long
EMA+RSI+Bullish Engulfing signals for long


The strategy that joins the EMA, the RSI and the engulfing candlestick pattern is quite easy to use. You identify the trend with the assist of the EMA200, then assess the price momentum with the RSI and expect for the trigger which is the engulfing blueprint. You should observe the nautical chart carefully and enter the trade correct afterwards the occurrence of the candlestick pattern. This will give the best results.

We are using the EMA200 here to identify the tendency. We assume there is a downtrend when the price closes below it and the uptrend when the price closes above the EMA line. But as the price oftentimes consolidates around the Exponential Moving Average, you may wish to adjust these criteria a piffling bit. You may, for example, rely on 5 consecutive candles. So y’all will place the downtrend when the last five candles were below the EMA200 and the uptrend when the terminal 5 candles were to a higher place the indicator’s line.

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Y’all may likewise experiment with different trade duration. Possibly iv minutes will piece of work better for your profits. Or mayhap iii?

Any yous cull, trade in the IQ Option demo account first. You volition not run a risk your own money but you will get the fourth dimension necessary to endeavour different settings and to detect out what brings you lot the all-time results.

Have you ever used the strategy that combines the RSI, the EMA and the engulfing candlestick pattern to trade binary options? Share your results with united states of america in the comments section which you will notice further down the site.

Best of luck!

Source: https://www.iqoptionwiki.com/5-minute-binary-options-strategy-rsi-ema-and-engulfing/

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