Using the Binary Options Signals after identifying the market direction using the TradersHelpDesk trading indicates, at the opening this morning on the Dow Jones, results in a nice profit with limited risk. Even after doing an optional protection order, profits were realized as the higher timeframes dictated the direction for the day.
Binary Options Signals on Dow Jones
First, we have a great reversal bar on the 180 minute chart and the TradersHelpDesk ADX is at 68. Additionally, price was at the Average True Range stop, which is incorporated into the Trend ATR indicator. Price was also very close to the congestion dot indicating a pullback to the average true range stop on the 720 minute chart. All these indications combined indicated that the market would likely retrace as price is overbought this morning.
Knowing that the forty-five minute chart had already formed a magenta peak and should push price down to the average true range stop. If price were to reach the average true range stop on the forty-five minute, the magenta peak would also roll into the 180 minute chart, pushing price further down to the average true range stop on that chart. This is a nice area to do an out of the money binary option to the short side as risk is only $40.25. To cover the risk, we need premium price on the binary option to reach $15 before taking profits.
Binary Options Signal RESULTS: The binary option trade was exited at $24.25 for $35.50 in profits, slightly above our intended target. I also showed everyone how to protect the trade at the opening. Entry on the protection order was $15 risk and it expired worthless. After subtracting the $15 we paid for protection, we still made $20.50 on the trade in profit per contract.