3 candle for binary options
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Phone But once you start using the 3rd candle template and I Fractal indicator, you get a huge advantage for opening the trades. The best time frame for this option trading method is the m15 chart. The trades should have the expiry less than 15 minutes.
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The first thing you will notice is the dynamic stochastic level. Sell zone is marked with a red horizontal line and the buy zone is marked with a green line.
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- This means that, for best results, traders are better advised to trade in line with underlying market direction rather than bet against it.
First of all you need to focus on the 50 moving average to find the path of the trend. If price trades above it, the call option is our priority.
If it trades below the 50 MA put option is the priority. When the trend is down, look for the overbought reading in the stochastic. This means the curve will be testing the red line.
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Wait for the red arrow mark to form above the bar or candle. Take the short of put trade when the conditions are filled. For the call option, the stochastic line will be around the green line.
In addition, these are full bodied candles or have relatively short shadows. Find the third candle.
The green arrow mark will be visible below the bar or the candle. Buy or take call options when you have such setups.
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Making money with the 3 candle system is fairly easy. Usually it takes 3 candle for binary options candles to see a complete setup when the stochastic curve hits the red or the green line.
In some cases, you might get the signal in the second candle but you should wait for the 3rd candle to open. Avoid executing orders when major economic news is about to announce.
Last but not least visually study the position of the bar when you take the trades as it can help you to ameliorate your win rate.