Timing Your Entries in Binary Options

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Video Transcription

Welcome to the last lesson of the introductory module of the Advanced Binary Options Trading Course. In this lesson we will teach you why it is to so important to perfectly time your entries, and why on the three strategies that we will teach you during this advanced course, you will only be taking high probability setups and avoiding mediocre trades.

Before you even consider taking a trade, we must learn about setups, the discipline of only taking high probability setups. This is what makes the difference between a great trader and a break even, or losing one.

How to reduce the odds of your options expiring out of the money, well, that’s easy. You only take high probability setups, according to the rules of the systems we will teach you on this advanced course. We will also teach you how to maximize your possible returns by trading into momentum, and avoiding choppy price action.

This is one of the most important things that you will learn in this advanced course. You will know how to spot the perfect entries, but, you will also learn how to look for volatility, and how to trade into momentum and avoid choppy price action.

By avoiding choppy price action, you will avoid actually taking good entries, but ending out of the money. You will also avoid getting caught in small corrective moves that will make you lose money in a good trade idea. And you will learn the difference between a good idea and a poor execution of an idea.

Here’s an example of a price action chart. Let’s say that we have two scenarios. The first scenario, we took the trade at the right moment, and we ended up in the money. The second scenario, we took the trade when it was already developed, and our option expired, out of the money.

So we are looking at this level of put, either for a bounce or for a break below. When the price breaks below, we buy put options right here. If we buy put options right here, at the break of this very important level of support, our option will have expired in the money. Why? Because, when price breaks below this important level of support, taking out this low, we have momentum to the down side, not only us, but a lot of traders are looking at this level. And when this level breaks, a lot of traders are putting weight into a sale of this asset. So, we have momentum to the downside, which is what we look for to profit from when trading.

The second scenario would be that we also have the breakout of the level right here. But, we were not in front of our charts when this happened, and we decided to buy put options after the move had ended, all the way down here. The thing about it is the idea is correct because the price broke this important level of support, giving us momentum to the down side. So the idea to buy put options in this move is a correct one.

The timing of the entry is completely wrong, because, we got caught up in a corrective move before price continued to the down side. This is what we call a corrective move. Here we have the bear pressure that pushes price to the downside. Then we might have some profit taking right here, and some small, bullish pressure to the upside, but, this is a corrective move. In order for a continuation of the move down, we do not want to get caught in corrective moves.

This is why we don’t chase setups, and if we miss the entry right here, we just wait for a new trading opportunity. Maybe a test of this low, which is also a test of this area right here, and a breakout right here, would have given us a second opportunity to buy puts on this asset. But, buying puts all the way down here is basically setting money on fire.

So basically this is the end of lesson five, and what we wanted to achieve with this introductory lesson is to give you an idea of what you can expect with this advanced course. The next three lessons will be all about trading strategy, and all about making money.


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Adam is an experienced financial trader who writes about Forex trading, binary options, technical analysis and more.

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