The indices binary options results are shown below (Forex results from overnight were shown in a previous post). If the trader took every single that met the criteria, there were a total of 13 trades – 8 winners and 5 losers.
Indices Binary Options Results
On the E-mini Nasdaq, there were two signals that met the criteria. One lost and one won.
On the E-mini S&P 500, there were four trades that met the criteria. Two lost money and two made money.
On the E-mini Dow Jones, there were four trades that met the criteria. Two lost money and two made money.
On Gold, there was one profitable signal.
On Crude, there were two signals that met the criteria and both made money.
The red and green arrows below identify the price bar that met the entry criteria. The green check mark indicates a profitable trade. The red “X” indicates a losing trade. (Click on the chart to expand)
The losing average was 38% and the winning average this morning was 62%. However, if the average profit on the winning trades was only $35 and the trader accepted a full loss at $55 per losing trade, then he had a breakeven day. Not a bad day considering that Yellen has been testifying all morning.
More importantly is the concept of taking the trade, even after a losing trade. This morning it would have made a real difference because if the trader opted not to take the following signals then he ended the day in the red. The next signals would have covered the losses — but second guessing the signals after a loser is something that every trader faces. Second guessing is a trait that traders must overcome and this morning was a great example of why.
Additionally, Yellen is also testifying again tomorrow and, then on Thursday, is the Brexit vote. Caution is urged for the rest of the week because extreme volatility is expected. With extreme volatility, price can go against your position very quickly.