Trading NQ and YM using binary options immediately prior to the Core CPI, CPI and Unemployment Claims this morning.
Trading NQ and YM Using Binary Options
The higher timeframes (180-minute and 45-minute charts) indicated that the indices futures would move down off these reports. The emini Dow Jones 180-minute chart was overbought on the Stochastics and the 45-minute Stochastics showed that a potential move to the downside was imminent. A short trade was placed on the Wall St 30 (which uses the emini Dow Jones as the underlying).
Both the 45 and 180-minute timeframes on the emini Nasdaq was also showing a downward move as the upmove had lost all momentum.
While these setups were not picture perfect, when trading NQ and YM using binary options you limit the risk on entry, short positions were taken on both markets.
Additionally, although as a trader, you try to capture at least a 1 to 2 risk to reward ratio, sometimes you just have to take what is being offered. This morning was a great example of this because price did move down but not as far as Gail would have liked when trading NQ and YM using binary options.
The trade on the Nasdaq captured a little more than a 1:1 risk to reward ratio and the Dow Jones trade barely captured a 1 : 1 risk to reward ratio. The exit was generated because both the 3 and 12 minute charts were overextended. This indicates a retracement on those charts was likely and that would have decreased the profit that was already achieved. Your job as a trader is to take the profits that the markets were offering.
TradersHelpDesk currently offers two packages to help you when trading NQ and YM using binary options— Create Your Own and Silver Package. Both the Create Your Own Package and Silver Package are on special this week and include the indicators, documentation, and online video training. Plus, if you are new, I even connect and install the indicators for you! For those that just wish to use the Trend ATR indicator it is also on special for only $295.
*Please note that these specials will end soon.