5 Min Binary Options Trading Strategy Pdf

Binary options strategy IQ OptionTraders employ many unlike trading strategies that allow them to identify the all-time points to enter and leave their transactions. Some methods are based on candlestick patterns and some on indicators. The ane I will present today joins the RSI, the EMA and the engulfing pattern.


  • ane
    Setting up the chart
  • ii
    Trading binary options with the RSI + EMA + engulfing pattern strategy

    • 2.ane
      Opening short positions with the RSI + EMA + engulfing pattern strategy
    • 2.2
      Opening long positions with the RSI + EMA + engulfing pattern strategy
  • 3

Setting upwards the chart

You must exist logged in to your IQ Option account. Today’due south strategy gives the all-time results in the markets with high volatility. Take it into account when choosing the asset. Set the chart timeframe for one-minute.

We will use two indicators in this strategy, the Relative Strength Alphabetize and the Exponential Moving Boilerplate. The RSI will exist 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 use the EMA200 with the RSI on the 1-minute chart

Click on the Chart Analysis icon and find the RSI indicator. Leave the default settings. Then find the EMA and add it to your chart. Change its menstruum to 200. You lot can see on the in a higher place chart that my RSI has got just i horizontal line at the level of fifty. How I did that? Simple. I set the Overbought level at 50. Then I went to color settings and made the Oversold level transparent irresolute its opacity. This style I have an RSI indicator window with merely i horizontal line I am interested in.

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On the IQ Selection platform, y’all accept the possibility to save the configurations. This is very convenient when you use a strategy ofttimes. Next time y’all will just have to notice a prepare template instead of calculation all needed indicators. Simply write the name you want this detail template to exist called and click Save.

indicators set as a template IQ Option
Y’all tin can save your indicators set as a template

The strategy is used on the chart with a 1-minute candlestick period set. Y’all should, however, proceed the position open for five minutes. The assumption is that the price will fall or rise inside v minutes from the point received. And then ready the expiration time for 5 minutes for your binary option.

Remember to keep your expiration at 5 minutes
Call up to keep your expiration at 5 minutes

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

Trading binary options with the strategy that combines the RSI, the EMA and the engulfing pattern is not very complicated. It requires y’all to follow a few simple rules and to deed as soon as you go a bespeak to open the transaction.

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

The commencement affair is to notice the EMA200 line. The cost bars should develop beneath information technology which indicates there is a downtrend.

Next, look at the RSI window. At that place is a horizontal line with a value of 50. The indicator should run below this line.

With these 2 conditions met, wait for the bearish engulfing pattern to appear. The body of the bearish candle should engulf the body of the sometime bar. When yous observe such a pattern, open a short position right when the next candle begins to develop.

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Your trade should last for 5 minutes.

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

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

When you plan on opening a long position, there should be an uptrend in the market. To ensure this is the instance, check where the candles are developing in relation to the EMA200 line. You are looking for a state of affairs when the price is above the EMA200.

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

The last thing you are waiting for is the appearance of the bullish engulfing design. The design is valid when the body of the bullish candle covers the body of the previous price bar. Open up the long trade immediately subsequently the signal at the opening of the next 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 utilise. You identify the trend with the aid of the EMA200, then appraise the price momentum with the RSI and wait for the trigger which is the engulfing pattern. You lot should observe the chart carefully and enter the merchandise right subsequently the occurrence of the candlestick pattern. This volition give the best results.

We are using the EMA200 hither to identify the trend. We presume there is a downtrend when the price closes beneath it and the uptrend when the price closes above the EMA line. Just as the price oft consolidates around the Exponential Moving Average, you may wish to adjust these criteria a little chip. You may, for example, rely on 5 consecutive candles. So you will identify the downtrend when the concluding v candles were below the EMA200 and the uptrend when the concluding five candles were above the indicator’s line.

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You may also experiment with different trade elapsing. Perchance four minutes will work better for your profits. Or perchance three?

Whatever you cull, merchandise in the IQ Selection demo account first. You will not risk your ain money only you will get the time necessary to try different settings and to find out what brings you the best results.

Have you e’er used the strategy that combines the RSI, the EMA and the engulfing candlestick design to merchandise binary options? Share your results with us in the comments section which you will find further downwardly the site.

Best of luck!

link to ane# Best Guide to Trendline Trading on IQ Selection

1# Best Guide to Trendline Trading on IQ Option

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

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