How To Trade Blog

Thursday, May 28, 2020

What Is Stochastic Oscillator Indicator? How To Use It In Binary Options

It is one of the most effective tools in predicting price trends. That’s how investors say about the Stochastic Oscillator indicator in technical analysis. So what is Stochastic indicator? How to use Stochastic divergence in transactions effectively? In today’s article, I will help you understand this.

Video on using Stochastic indicator in Binary Options trading

What is Stochastic Oscillator indicator?

Stochastic Oscillator (aka Stochastic) is a momentum indicator comparing closing prices with a specific price range in a certain period of time.

Momentum is a quantity that precedes prices. That’s why Stochastic always gives users signals with very high accuracy. This is also the biggest advantage of this indicator.

This indicator consists of 2 main elements

The 1st element is a fixed line:

Upper line (green): Overbought zone (80).
Lower line (red): Oversold zone (20).

The 2nd element is a movable line:

Light blue line (%K): aka main line. It shows how the price reacts to the momentum.
Red line (%D): aka Stochastic’s moving average.

How does Stochastic Oscillator work?

In most cases, this indicator is for predicting price trends. The basic operating principle of Stochastic is that when prices change, the momentum must change accordingly.

Predicting price trends with Stochastic indicator

Method 1. Using Stochastic basic signals to verify price trends

The Stochastic Oscillator ranges from 0 to 100. It takes 80 and 20 zones as overbought and oversold zones respectively.

When the indicator points up, it goes from the oversold zone (20) to the overbought zone (80). At the same time, the blue line (%K) stays above the red line (%D). The price is in an uptrend.

Predicting bullish price trends with Stochastic Oscillator

When the Stochastic indicator points down, it goes from the overbought zone (80) to the oversold zone (20). At the same time, the blue line (%K) falls below the red line (%D). The price is in a downtrend.

Predicting bearish price trends with Stochastic Oscillator

Method 2. Use Stochastic divergence to predict the possibility of future price reversals

Stochastic divergence is a phenomenon in which an indicator reacts against price behavior.

Details as follows:

Stochastic bullish divergences appear when prices are in a downtrend. The price creates 2 troughs of which the following trough is lower (or equal) to the previous trough. However, Stochastic signals an uptrend. After this signal, there will be an increase in the price.

Stochastic Oscillator bullish divergence

Stochastic bearish divergences appear when prices are in an uptrend. The price creates 2 peaks of which the following peak is higher (or equal) to the previous peak. However, Stochastic signals a downtrend. After this signal, there will be a decrease in the price.

How to trade with Stochastic Oscillator in details

The Stochastic Oscillator is a signal to predict price trends. So, the best way to use it in trading is in combination with specific signals to obtain correct entry points.

Combine with the Support/Resistance level

This combination relies on Support and Resistance as a specific price response.

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 15 minutes (time for a transaction is 15 minutes).

Stochastic formula:

+ Open an UP option as soon as the price bounces back higher when touching Support. At the same time, the Stochastic bullish divergence appears.

Stochastic Oscillator combines with Support and Resistance

+ Open a DOWN option as soon as the price bounces back lower when touching Resistance. At the same time, the Stochastic bearish divergence appears.

Combine with Support and Resistance levels

Stochastic indicator combined with Heiken Ashi candlestick chart

The Heiken Ashi candlestick pattern is a special candlestick on the price chart. It very well suits for trendy trading. Therefore, when combined with the Stochastic indicator, it will give reliable entry points.

Conditions: The 5-minute Heiken Ashi candlestick chart. The expiration time of 15 minutes to 30 minutes.

Stochastic formula:

+ Open an UP option when the Heiken Ashi candlesticks turn from red to green. At the same time, the Stochastic indicator points up and the blue line (%K) crosses the red line (%D) from below.

+ Open a DOWN option when the Heiken Ashi candlesticks turn from green to red. At the same time, the Stochastic indicator points down and the blue line (%K) crosses the red line from above.

Stochastic indicator combined with Heiken Ashi candlestick chart

A few notes when using the Stochastic indicator in binary options trading

The Stochastic indicator is a trend prediction indicator. Therefore, do not use it as a confirmation signal. It is necessary to combine indicator signals with price action signals to get an accurate entry point.
Limit the use of the Stochastic indicator for short-term reversal trading.
When there are news impacts, the indicator’s signals will be less accurate. You should restrict trading at this time.

Finally, there are still many strategies to trade Binary Options on this site. However, you need to test them on your DEMO account for at least 2 weeks. This is how you check the exact probability of trading strategy using the Stochastic indicator.

The post What Is Stochastic Oscillator Indicator? How To Use It In Binary Options appeared first on How To Trade Blog.

source https://howtotradeblog.com/what-is-stochastic-oscillator-indicator/

Wednesday, May 27, 2020

What is RSI? How to trade effectively with RSI indicator

The Relative Strength Index (RSI) is the most powerful technical analysis indicator in price action analysis for traders. Today, I will introduce you to RSI indicator, its divergence, formula and how to use it in binary options trading.

Video on binary options trading using RSI indicator

What is RSI indicator?

RSI indicator stands for the Relative Strength Index. It is used as an oscillator indicator to measure the speed and change of price movements. RSI ranges from 0 to 100 to measure overbought and oversold of the market. In analyzing, using RSI can help you identify reversal points at peaks and troughs of price trends.

The RSI indicator consists of 3 main elements.

RSI line (light blue) is the line that runs along with the price chart, indicating the change and speed of price movements. Usually, this line ranges from 30 to 70. But sometimes it touches or breaks out of the 30 or 70.
The overbought zone (from the overbought line (70) and above) is the zone to which the RSI reaches signaling that the price has gone up too high. This is a signal that predicts a temporary reversal from up to down.
The oversold zone (from the oversold line (30) and below) is the zone to which the RSI reaches signaling that the price has fallen too low. It predicts that prices will temporarily reverse from down to up.

How to use RSI indicator

Method 1. Used to identify price trends

This is the basic signal for RSI. As observed, when the RSI rises and moves from the oversold zone (30) to the overbought zone (70), the price goes up. And vice versa, when it heads down and goes from the overbought zone (70) to the oversold zone (30), the price is in a downtrend.

Method 2. Predicting a price reversal based on the RSI indicator divergence

Divergence is one of the most accurate characteristics of RSI indicator. It shows through the opposite reaction of this indicator compared to the direction of the price.

For example,

RSI bullish divergence:

The price is in a downtrend, creating 2 consecutive troughs. The following trough is lower than the previous one but the RSI is rising. This is a very reliable signal for you to predict the price will reverse from falling to rising.

RSI bearish divergence:

The price is in an uptrend, creating 2 consecutive peaks. The following peak is higher than the previous one but the RSI is falling. After this divergence, there will be a downtrend.

Two methods for trading binary options using RSI indicator formula

Method 1. Trading using RSI divergence

This method purely uses the RSI because you only need to observe it for opening options. At the same time, you can use the 2 support and resistance lines for identifying entry points

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 15 minutes (time for a transaction is 15 minutes).

How to open an option

+ Open an UP option right after the RSI bullish divergence appears. The price touches the support and bounces back higher.

How to trade binary options with RSI indicator formula

+ Open a DOWN option right after the RSI bearish divergence appears. The price touches the resistance and bounces back lower.

Method 2. Combining with the Heiken Ashi candlestick chart

This combination uses the trend signal of RSI combined with Heiken Ashi candlestick. This is a very effective candlestick in trend trading.

Conditions: The 5-minute Heiken Ashi candlestick chart. The expiration time of 15 minutes to 30 minutes.

How to open an option

+ Open an UP option when Heiken Ashi candlesticks turn from red to green and the RSI heads up from the oversold zone (RSI crosses the 30 line and goes up)

Trading strategy using RSI combined with Heiken Ashi candlestick chart

+ Open a DOWN option when Heiken Ashi candlesticks turn from green to red and the RSI heads down from the overbought zone (RSI crosses the 70 line and goes down)

Notes when using RSI indicator in binary options trading

Do not use the RSI indicator to confirm the entry point. All indicators go after the price. Therefore, there is always a certain lag from the indicator compared to the price.
The RSI is best used when combined with signals from candlesticks and candlestick patterns.
Do not trade with a short expiration time of fewer than 5 minutes.

Using RSI is a skill you need to pocket on your options trading journey. This is an indicator used a lot by successful traders. Experience and familiarize yourself with RSI on a demo account. I wish you successful transactions.

The post What is RSI? How to trade effectively with RSI indicator appeared first on How To Trade Blog.

source https://howtotradeblog.com/what-is-rsi-indicator/

Tuesday, May 26, 2020

What is MACD? How to trade effectively with MACD indicator

One of the most classic sayings in technical analysis is “The trend is your friend”. All you need to do during trading is to identify market trends. From there, every action of opening options gives the highest probability of winning. That’s why today we will learn about MACD indicator.

MACD is one of the simplest indicators for you to identify price trends. In this article, I will make the MACD line simple. At the same time, I will show you 2 trading combinations using MACD.

Video on using MACD to trade Binary Options

What is MACD?

MACD stands for Moving Average Convergence Divergence. It was created by a technical analyst named Gerald Appel from the 1970s. MACD helps you figure out which trend the price is in. It also helps you identify when the trend ends, reverses, or converts to a new one.

The MACD indicator consists of three main elements.

– MACD (MACD line – dark blue line): is the combination of the EMA12 – EMA26, which shows the price development trend.

– Signal (Signal line – orange line): is the EMA9, used to track the price trend.

– Histogram column: is for measuring the degree of convergence/divergence between two moving averages. It shows whether the speed of price change at the given time is fast or slow.

How to use MACD indicator

Method 1: Predicting price trends accurately using MACD

This is the convergence characteristic of the MACD indicator. It means that the direction of MACD is the direction of price.

(i) When the MACD line crosses the Signal line from below (the blue line intersects the orange line from the bottom) => The price is trending up. Histogram columns will point up.

(ii) When the MACD line crosses the Signal line from above (the blue line intersects the orange line from the top) => The price is trending down. Histogram columns will head down.

Predicting price trends with MACD indicator

Method 2: Predicting the possibility of reversal using MACD divergence

Another characteristic of MACD is divergence. You need to identify the divergence of the MACD line. From there, you can forecast the possibility of price reversal.

This is a typical example of MACD divergence.

(A) The price is in downtrend => (B) There is a divergence between price and MACD indicator (The price is falling but the MACD line is rising) => (C) Soon after, the price reverses from down to up.

Two trading combinations using MACD

Notes: MACD is a trend indicator. Therefore, the best way to trade is to combine MACD with other trend indicators.

Do not use MACD to open options against the trend.

Method 1: MACD indicator combined with Support/Resistance

Using MACD with Support and Resistance is a strategy with very high accuracy in binary options trading.

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 15 minutes (time for a transaction is 15 minutes).

MACD indicator combined with Support/Resistance

How to open an option:

+ Open an UP option: The price breaks out of the resistance and goes up. At the same time, the MACD line crosses the Signal line from below (the blue line intersects the orange line from the bottom)

Explanation: When the price breaks out of the resistance, the market will enter an uptrend. Besides, MACD also gives bullish signal => This is when you can confidently open an UP option.

+ Open a DOWN option: The price falls out of the support and goes down. At the same time, the MACD line crosses the Signal line from above (the blue line intersects the orange line from the top)

Method 2: MACD indicator combined with Heiken Ashi candlestick chart

Heiken Ashi candlestick chart is a very special candlestick pattern. It indicates exactly whether the price is in an uptrend or a downtrend.

When the green candles line up consecutively => The market goes up. Conversely, when the red candles line up consecutively => The market goes down.

Conditions: The 5-minute Heiken Ashi candlestick chart. The expiration time of 15 minutes to 30 minutes.

MACD combined with Heiken Ashi candlestick chart

How to open an option:

+ Open an UP option: Heiken Ashi candlesticks pattern shows a series of consecutive green candles. At the same time, the MACD line crosses the Signal line from below (the blue line intersects the orange line from the bottom)

Explanation: These are two signs signaling that the price is in an uptrend. Therefore, opening an UP option will be extremely safe.

+ Open a DOWN option: Heiken Ashi candlesticks pattern shows a series of consecutive red candles. The MACD line crosses the Signal line from above (the blue line intersects the orange line from the top)

A few notes when using the MACD indicator to trade binary options

– A long expiration time is better than a short one (The expiration time of 15 minutes or more will be better than that of 5 minutes). MACD is a trend indicator. Regarding trendy trading, it’s best to choose a long expiration time.

– Do not use the MACD indicator only to determine entry points. Because sometimes MACD will not give clear signals.

– Please remember: Do not trade against the trend. MACD is to identify trends and we trade trendily. Never go against the trend.

The post What is MACD? How to trade effectively with MACD indicator appeared first on How To Trade Blog.

source https://howtotradeblog.com/what-is-macd-how-to-trade-effectively-with-macd-indicator/

Monday, May 25, 2020

What Is Resistance And Support? How To Trade In The Safest Way

Resistance or support is a basic indicator that all binary options traders need to know. Although this is a simple indicator, its performance is great. Join me to learn more about resistance and support to know why it is trusted by traders around the world.

What is Support and Resistance?

Support is the price level (zone) where traders expect the price to bounce back higher. Here, the bulls dominate the bears. Most traders will open UP options when the price enters the support zone.

Resistance is the price level (zone) where investors expect prices to fall lower. In this zone, the bears are in control of the bulls. Most investors will open DOWN options when the price enters the resistance zone.

Principles of Support and Resistance

Support and resistance are price zones, not specific prices. That’s why many traders misidentify them. Since then, they might give incorrect trading decisions in Binary Options.

Strong support is the zone where prices cannot get through to continue to decline after touching many times.

Strong resistance is the zone where prices cannot break through to continue to increase after many times of entering.

What is Break Out and Retest?

Break out is when the price breaks out of the resistance to continue rising or breaks out of the support to decrease lower.

Retest means after breaking out, the price returns to the level it just passed to test again.

For example,

The price breaks out of the resistance zone to continue rising, then it retests the zone it has just broken out of. Here is a very safe entry point following the break out price trend. According to normal price action, the retest point is likely to gain momentum for the next powerful bounce.

The price breaks out of the resistance zone and then returns to retest that zone

Conversely, the price breaks out of the support zone and then returns to retest that zone.

Resistance will become support when the price breaks out and retests. This is called the transition zone between Support and Resistance.

The broken resistance zone converts to a support zone

Specific examples when the price breakouts and returns to retest

When the price of the EUR/USD pair failed to fall below the lowest low, it formed a support zone. After many times of touching, the price broke out of the support zone. It then returned to retest the level it had just broken out of and prepared for a clear downtrend.

The price broke out and retested the support zone

The resistance appeared when the price failed to surpass the highest peak of the GPB/USD pair. And the next time it touched the resistance zone, it successfully broke out. Prices then returned to retested the level it had just broken to form an uptrend.

The price broke out and retested the resistance zone

How to trade binary options with Support and Resistance

For accurate binary options trading with support and resistance, you should identify them correctly. Then redraw with the graphical tools available on the chart to get a better look.

How to open a binary option in the support zone

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 5 minutes.

Open an UP option: The price breaks out of the resistance zone and retests that resistance which has converted into support.

Explanation: The price breaks out of the resistance zone and begins to retest the level just passed. Right at that point, it is the safest entry point following the trend of the Break Out price.

How to open a binary option in the support zone

How to open a binary option in the resistance zone

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 5 minutes.

Open a DOWN option: The price breaks out of the support zone and returns to retest the level which has converted into resistance.

Explanation: The price breaks out of the support zone and begins to retest the level just passed. At that point, it is reasonable to open a DOWN option following the Break Out trend.

How to open a binary option in the resistance zone

How to open a binary option at the support zone combined with RSI indicator

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 5 minutes.

Open an UP option: The price enters the support zone, and the bullish RSI divergence appears.

Explanation: When the price enters the support zone, there is a high probability that the price cannot continue to decline. At that time, the bullish RSI divergence indicator appears, signaling an imminent price increase.

How to open an UP option when combining RSI indicator with support

Things to note about Support and Resistance

– Support and Resistance are stronger when prices often react there.

– Support becomes resistance after being broken out and vice versa.

– When support is broken, a downtrend usually appears right after the price retests.

– When resistance is broken, an uptrend will show up when the price retests and creates momentum to continue the trend.

– Combine with candlestick pattern at resistance and support to increase accuracy.

– Do not use the support or resistance level when there is news of strong fluctuations in the price that is out of control.

So I have introduced you to resistance and support. They are the most basic indicators in Binary Options trading. Familiarize yourself with trading using these levels. Simultaneously, combine them with high accuracy candlestick patterns to increase the winning rate to the highest.

The post What Is Resistance And Support? How To Trade In The Safest Way appeared first on How To Trade Blog.

source https://howtotradeblog.com/support-and-resistance-indicator/

Saturday, May 23, 2020

How To Deposit IQ Option With Neteller (updated 05/2020)

For big brokers like IQ Option, there are a lot of traders in many countries around the world. That’s why IQ Option provides plenty of payment methods to help traders feel convenient when depositing and withdrawing money. This article will guide you to deposit your IQ Option account with Neteller in the most detailed way.

Video shows how to deposit IQ Option with Neteller

How to top up IQ Option account with Neteller

Log into your IQ Option account

Log into your account and select “Deposit” to add money to your account.

Choose Neteller as the deposit method

Choose Neteller as the method to deposit IQ Option. Then select the available deposit amount or manually enter the amount you want to top up in the “Amount” box.

Finally, confirm the amount by clicking “Proceed to Payment”.

Recharge IQ Option account with Neteller e-wallet

Fill in your Neteller account information

After the above step, the system will tell you to fill in Neteller wallet information and the 6-digit security ID.

When completed, click “Proceed to Payment”.

Enter your Neteller account and secure ID

Successful IQ Option deposit confirmation

IQ Option will process the deposit request from 1 – 3 minutes. When completing, the system will notify you that the deposit has been successful.

Click on “Trade now” to return to the main screen to start trading.

Successful IQ Option deposit confirmation

Check your account balance

When completing the above steps, you should check your account balance before trading. If the money has not been deposited in 5 – 10 minutes, please contact IQ Option support to solve your problem.

At the same time, Neteller also sends you a notification email.

If an error occurs during the deposit process but you don’t know how to deal with it, please contact us for assistance by comment below. Thank you for reading this article.

The post How To Deposit IQ Option With Neteller (updated 05/2020) appeared first on How To Trade Blog.

source https://howtotradeblog.com/deposit-iq-option-with-neteller/

Friday, May 22, 2020

What Is Dark Cloud Cover Candlestick Pattern? Characteristics, Meaning And How To Trade

70% of cases when this pattern appears in the market, prices will reverse from up to down. Dark Cloud Cover candlestick pattern is very popular in technical analysis using the Japanese candlestick chart.

So, what is Dark Cloud Cover candlestick pattern? What characteristics and meaning does it have? Especially, how do you open options with high accuracy when this candlestick pattern appears?

Video on how to identify and use Dark Cloud Cover candle

What is Dark Cloud Cover?

Dark Cloud Cover (DCC) is one of the popular reversal candlestick patterns. It is considered a reliable signal for reversal traders. Like other reversal candlestick patterns from up to down, it only appears towards the end of an uptrend.

Identifying characteristics of Dark Cloud Cover candle

This is a combination of 2 candlesticks with characteristics as follows:

– First candlestick: is a strong bullish candlestick with large size.

– Second candlestick: has the opening price higher than the closing price of the first candle

(Gap Up). It then falls and closes below the midpoint of the first candle.

Characteristics of Dark Cloud Cover candle — Characteristics of DCC candle

Dark Cloud Cover meaning

This candlestick pattern shows that the trend is going up steadily. Suddenly, a strong bullish candle appears, creating a gap up, and indicates that the bulls are dominant. However, instead of going higher, prices begin to decline sharply and close below the midpoint of the previous candle. Right there, the bears are strong enough to regain control of the market.

Meaning of Dark Cloud Cover candle — Meaning of DCC candle

If you do not understand what Gap is in technical analysis, please read this article carefully: What is Gap? How does Gap form?

Dark Cloud Cover is better than Shooting Star

Combining the two candlesticks of Dark Cloud Cover candle, we will have a Shooting Star candlestick.

The price direction of the two patterns is similar. However, the Dark Cloud Cover candlestick patterns consist of 2 candles that mean a longer candle time period. That is why this candlestick pattern is more accurate than the Shooting Star candlestick.

The price direction of the two patterns is quite similar — The price direction of these two patterns is quite similar

How to trade Binary Option with Dark Cloud Cover candle

This is a strong reversal candlestick pattern from up to down. So if you want to use it effectively in binary options trading, you need to combine it with other indicators.

Combined with resistance

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 15 minutes.
Open a DOWN option: When the candlestick pattern appears at the resistance zone.

Explanation: When the price enters the resistance zone, it often bounces back. The Dark Cloud Cover candlestick pattern is a reversal signal from up to down. Opening a DOWN option right now is very reasonable.

Combined with RSI divergence

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 15 – 30 minutes.
Open a DOWN option: When the Dark Cloud Cover candlestick pattern appears with the RSI divergence.

Explanation: The bearish RSI divergence appears, indicating a slowing up momentum, which is a sign of exhausting. And when the pattern appears, it is the end of the bullish momentum. At that time, it is safe to open a DOWN option with a long expiration time.

Things to remember when trading

– Dark Cloud Cover pattern will be ineffective when used in a sideways market.

– To achieve the highest accuracy, it is necessary to combine with basic indicators such as RSI, MACD, SMA, etc.

– The deeper the 2nd candle drops, the higher the reversal probability of the pattern becomes.

All the basic information about this pattern has been introduced to you in the most detailed way. Try to apply and test its accuracy with a Demo account right now.

The post What Is Dark Cloud Cover Candlestick Pattern? Characteristics, Meaning And How To Trade appeared first on How To Trade Blog.

source https://howtotradeblog.com/what-is-dark-cloud-cover-candlestick-pattern/

Thursday, May 21, 2020

What Is Three Inside Up Candlestick Pattern? Meaning And How To Use It

In addition to easy price observation, the advantage of using a Japanese candlestick chart is providing highly accurate candlestick patterns. Experienced traders often consider Japanese candle patterns as entry signals. Candlestick pattern consisting of many candles, such as the Three Inside Up, is highly accurate and effective.

This article will answer you what a Three Inside Up candle pattern is. As well as its characteristics, meaning, and how to trade using this pattern.

A video about Three Inside Up candlestick pattern

What is Three Inside Up candle?

Three Inside Up is a reversal candle pattern that usually appears at the end of a downtrend. It shows that the downtrend may be over and the uptrend is starting to resume.

Characteristics of Three Inside Up candle

To have a standard candle pattern, we need the following characteristics:

– 1st candlestick is a long-body bearish candlestick which is usually at the end of the downtrend.

– 2nd candlestick is a bullish candlestick with a long body equal to 50% of the previous bearish candlestick.

– 3rd candlestick is a long-body bullish candlestick, which closes above the first bearish candlestick.

Characteristics of Three Inside Up candle

Three Inside Up meaning

This pattern is a strong reversal signal that usually forms at the end of a downtrend. As with other reversal candlestick patterns, there is still a continuation of the downtrend of the first candle. However, the downtrend starts to weaken by the following candles, as shown by strong bullish candles. Once the pattern is confirmed, the bearish cycle has ended. The price begins to reverse from down to up.

The Three Inside Up candlestick pattern has different variations from the standard pattern. However, they still provide the same effectiveness when appearing on the Japanese candlestick chart. Although they are variations, they still bear common characteristics of this candlestick pattern.

– The second candle is a bullish candlestick with a long body of at least equal to 50% of the first bearish candlestick.

– The third candle is always a bullish candlestick that closes above the first candlestick. It shows that the downtrend has been completely overwhelmed. From there, the reversal from down to up takes place strongly on confirmation of the Three Inside Up pattern.

Variations of the Three Inside Up candlestick

How to trade Binary options with Three Inside Up

Three Inside Up is a strong reversal candlestick pattern that reverses from bearish to bullish. For high accuracy and best use, you should combine it with other basic indicators.

Combine with support

Conditions: A 5-minute Japanese candlestick chart. The expiration time of 5 minutes.

Open an UP option: When the candlestick pattern appears at the support.

Explanation: When prices hit the support zone, most of them bounce back. And when the Three Inside Up candlestick pattern appears, there, the probability for opening UP orders is almost the highest.

How to trade 3 Inside Up candlestick pattern with Support

Combine with SMA indicator

Conditions: A 5-minute Japanese candlestick chart combined with the SMA30 indicator. The expiration time of 15 minutes or above.

The SMA30 is an indicator used to predict trends. When the Japanese candlestick chart is above the SMA30, the uptrend is undeniable. And when using the SMA30 line to open long-term orders, the security is significantly up.

Open an UP option: When the price and the pattern are both above the SMA30.

Explanation: When the price is above the SMA30, the uptrend is undeniable. The 3 Inside Up candlestick pattern appearing above the SMA30 signals a strong continuation of the uptrend. It is safe to open an UP order after this candlestick pattern appears.

How to trade 3 Inside Up candlestick pattern with SMA30

Notes when using Three Inside Up candlestick pattern in Binary Option trading

– Combine it with other technical indicators such as RSI, MACD, SMA, etc., to get an overview and to have an entry point with the highest winning rate.

– Pay attention to the variations. Although they are different in appearance, their nature is still the same.

– Combine it with long-term indicators for safe entry points.

All reversal candlestick patterns consisting of three candlesticks such as Evening Star, Morning Star, etc., provide accurate predictions, and the Three Inside Up candlestick pattern is no exception. It also brings safe entry signals. Let’s experience and test its effectiveness on a demo account.

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