Best 5 minutes Binary Options strategy.
For effectively trading binary options, traders are required to examine the market thoroughly. But this is not it. Along with analyzing the market, they must create a winning trade strategy.
But finding an effective strategy that works for this volatile market is not easy. Why you might wonder? Well, that’s because multiple strategies are available, and this complicates the process.
Traders require a significant amount of trial and error till they find a helpful trading strategy. But you can save yourself from the extra work by choosing a 5-minute binary options strategy. It is perfect for short-term traders as it’s easy to learn and simple to execute.
So, if you want to use this strategy effectively, you must learn how it works? What are some winning 5-minute trading strategies? And what are the best trading brokers for using this strategy?
What is a 5 minute strategy?
A 5-minute trading strategy is an effective technique that illustrates the summary of the binary options for every 5-minute period in the trading session.
In this trading strategy, the asset expires within 5 minutes. So, as a short-term trader, if you want to trade using this strategy, you must instantly analyze the market. After that, you are required to predict whether the price of the asset will go up or not before it reaches the expiry time.
While this trading strategy helps win huge payout in no time, it also involves equal amounts of risk. That’s because predicting the price movement of assets in such a short duration becomes difficult.
The 5-minute trading strategy is popular among traders because it offers a better success rate against high-volume stocks like Apple or Amazon and low volatility currency pairs.
If you are a beginner, you can use this strategy to understand how the technical analysis of the market is done. Not to mention, this way, you get an opportunity to trade multiple times a trade.
How to trade 5 minute Binary Options?
A 5-minute trading strategy might sound complicated to some, but it’s not. And with sheer dedication and patience, you can master it. You can start the process of trading 5-minute binary options by registering yourself with a reliable broker.
After registering, choose an asset you want to trade from the available options. It’s suggested to choose an asset you are most familiar with—this way will reduce your chances of losing trade.
Then speculate the price movement and “sell” or “buy” depending on the prediction. If the market moves in your predicted direction, you will win a huge payout. Otherwise, you might lose the trade.
One way you can increase your chances of winning a 5-minute trade is by thoroughly studying the market. When you understand the market, you can spot better market trends.
Practical 5 minute Binary Options strategies.
Using the correct 5-minute binary options strategy can make it easy for you to win a trade. Here are a few common strategies that you can use.
Candlestick strategy.
This trading chart is used for understanding the market’s mood. When you know the market mood, you know how the market will act, and you know in which direction the price will move.
This trading strategy comes in handy while trading in a fast-paced environment. That’s because, in the Candlestick strategy, the signals on hourly charts are weaker than signals on daily charts. But signals on hourly charts are stronger than charts with limited time frames.
Another interesting thing about the Candlestick strategy is that it offers an option to increase the chart’s timeframe. You can do this by identifying the support and resistance on the chart.
Price action strategies.
After the Candlestick strategy comes the Price Action strategy, it can be used on different charts starting from 1 minute to 5 minutes. By using this strategy. Traders can keep an eye on the minute-to-minute changes in the price trend of an asset.
Generally, these changes are seen in different patterns, including triangles, flags, head and shoulders, and diamonds. When you notice any of these patterns, you can conclude that there will be a reversal or continuation in the price trend.
Scalping strategies.
This strategy is similar to the price action strategy, but it’s seen in a short form. This strategy comes in handy when a trader wants to know how the market will behave in the next few minutes.
Besides this, a scalping strategy can also help you understand whether or not the price of an asset will move in the same direction.
Momentum/swing strategy.
Momentum in the binary options market is defined as a force needed to move the price of a commodity in the market. In case if the momentum of an asset moves too far in a particular direction, then the market creates a price swing in the opposite direction for establishing a balance.
Pivot points.
If you want to know about the price action’s turning point, you must use pivot points. This 5-minute trading strategy has become popular among traders.
When the asset is around a pivot point, it indicates that the price trend will get stronger or it will reverse. Ideally, pivot points are calculated by analyzing the previous trade sessions.
Best brokers for 5 minute trading.
Here are a few trustworthy binary options trading platforms that you can use to facilitate successful 5-minute binary options trade.
IQ Option.
Minimum deposit: $10.
Minimum Trade Size: $1.
Maximum Return: 95%
Supported Trading Platform: Android, iPhone, Web.
IQ Options is a popular binary options trading platform that one cannot overlook. Started in 2012, this platform has made it easy for traders to invest in the market without facing any significant loss.
CySEC regulates this platform, and it offers a maximum of 95% return. While it’s an excellent trading platform, you cannot use it if you are a resident of Japan, Belgium, Russia, Turkey, Israel, Sudan, Syria, and Canada.
You can get access to this platform by making a small deposit of $10. Also, with an investment of $3,000, you can get access to a premium VIP account.
Binary.com.
Minimum deposit: $5 for e-wallet and %10 for credit and debit card.
Maximum Return: 100-1000% depending on contracts and trades.
Bonuses: Not specified.
Supported Trading Platform: Web, iPhone, Android.
If you are looking for a trading platform regulated in the British, Malta, UK, and Isles region, Binary.com should be your pick. This ultimate trading platform is transparent. It lets traders invest their money in FX margin, crypto trading, and CFDs.
Once you have made the minimum deposit of the required amount, you can get two types of bonuses, i.e., free and deposit bonuses. If you want, Binary.com can even personalize all of your needs under one roof.
Binary.com is an excellent platform, but you cannot use it if you live in Hong Kong, Costa Rica, Japan, Canada, or the US. Also, this platform transparently blends trading and gambling.
Quotex.
Minimum deposit: $10.
Minimum Trade Size: $1.
Maximum Return: 98%
Supported Trading Platform: Android, iPhone, Web.
Quotex is an easy-to-use platform that you must use if you are a beginner. This trading platform offers an opportunity to win a payout of around 70% to 98%.
This trading platform has limited its payment options to Cryptocurrency for some places. These include Canada, Germany, the United States, and Hong Kong.
The International Financial Markets Regulatory Center regulates it. This user-friendly platform can help you win almost every time they enter the market. Also, you can get a joining bonus.
BinaryMate.
Minimum deposit: $250.
Minimum Trade Size: 90%
Maximum Return: Up to $250, risk-free trades.
Supported Trading Platform: Web, Android, iPhone.
BinaryMate is a UK-registered platform that is as reliable as any other trading platform. So while the minimum deposit amount is a little too much- it’s worth it. That’s because this platform offers a demo account and three types of trading accounts.
You can get access to a basic Bronze package by investing $250. To use a Silver account, you have to invest $1,000. Here you will get a 50% bonus. And lastly, you can deposit $3,000 to get access to a premium Gold account. When you do this, you can expect a bonus of 100%.
Another exciting thing about this platform is that it offers live video chat and the customer support team is available 24/7. In addition, you can avail yourself of support in different languages like French, Spanish, and English.
Conclusion.
Among the available strategies, 5-minute trading strategies are quite popular because both new and professional traders can reap huge benefits. Also, this trading technique helps in earning a better payout in just 5 minutes.
So, if you don’t want to wait for a longer period, you should choose this trading strategy. But remember that as profitable as this strategy is, it involves equal levels of risk. Also, 5-minute binary options traders are likely to overtrade.
Thus, you must remember the drawbacks of this strategy and use it in a way that helps you get one step closer to your trading goals.
