One of the main reasons we chose the EURUSD as the underlying asset of choice to trade this system is because it is the currency pair that is traded the most in the forex market.

This ensures that as a binary options instrument, it is available for trading all day long and will have good liquidity, enabling you to get good pricing. You will not have to buy costly bets that will have a greater risk than reward.

If you are starting out in binary options trading , this is a great way to start your trading career. Most binary options brokers do not provide charts for use in trading analysis, so you have to get the charts yourself.

Since the underlying instrument is a forex instrument, you can easily get a chart by downloading an MT4 platform from any of the popular forex brokers like forex. The strategy in question is to be implemented on a minute chart, and the strategy will make use of the following indicators:. BULLISH SENTIMENT : In order for the EURUSD to go bullish, we wait for the Parabolic SAR indicator to indicate a buy signal, which occurs when the stars of the Parabolic SAR indicator appear below the price action on the chart.

We also wait for the MACD lines to cross from negative to positive. BEARISH SENTIMENT : In order for the EURUSD to go bearish, we wait for the Parabolic SAR indicator to indicate a sell signal, which occurs when the stars of the Parabolic SAR indicator appear above the price action on the chart. Trading the retracement should happen when one of the resistance or support lines are reached and there is confirmation from the Oscillator.

You can look at trading the retracement or work on the trend of the entries that occur once the retracement has taken place. This strategy is not recommended for a beginner. There is a very short expiry and patterns are often neglected which could result in a bad trade. A good market entry and relevant expiry is crucial to have a profitable trade and time is only one of the factors.

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Choosing the right asset to trade with binary options is not easy. The selection process becomes even more difficult for new traders as they have no experience in any assets. So, no matter whether you are an experienced or new trader, this currency pair trading should be your choice to make a safe trade. Moreover, the forex market is not as volatile because the collateral is low.

Also, forex trading is more profitable as it offers high returns. Learn more. Load video. Always unblock YouTube. There are 11 forex pairs or more that you can choose from to trade forex with binary options. You can trade this pair for making more profit. Or what strategy can you use for trading this currency pair?

The answers to these questions are in this guide. There are a few important aspects of forex trading that you must know before starting your trade. Unlike other assets, you can trade currency pairs 24 hours because a global network of banks operates it. Also, forex trading has three different types of markets, i. Moreover, the movement of prices of currency pairs is calculated in pips. Here, a pip represents percentage in points. Since this currency pair is available to trade all day long, it has good liquidity.

And better liquidity results in good pricing. Also, you can register yourself with IQ Option, RaceOption, or Quotex to get higher returns by trading this currency pair.

Just like other assets, this trading pair also has certain limitations. Here are a few of them. Before UTC, the trading movement of the currency pair depends on the Asian traders as they fix profit and loss at the end of their trade.

Also, before the market opens in America, the price slightly decreases. During this time, important news related to currency pairs is released in the US.

This thing can either bring down the market or can strengthen it. During this period, the dollar is strengthened because the currency moves from Euro to Dollar.

The EUR turnover falls during this period. Thus, traders remain outside the market and wait for the market to reopen in Europe to rise again. You can either choose 5-minute trading, minute trading, weekly, or all-day trading. Although you can do forex trading throughout the day, you should not do it because it can result in loss. If you choose the wrong time, even your winning trade can convert into a losing trade. During this time, the market of London and New York are open. You can enter the market during narrow pattern ranges to avoid losing.

A narrow price range is created when the currency pair drop or climb and then fall dormant. During a narrow price range, volatility is less. When you are up to date with the financial news, you get a better knowledge of whether or not you should trade the currency pair. Following the news trends will also help you know how the currency pair is performing.

Also, you can know when the pair is volatile. You must keep an eye on the financial news, select an appropriate time, and develop an excellent strategy to make a winning trade. Show all posts. Write a comment abort.

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Trading currencies has been with us for a long time. OptionRobot Voted No. Share to Twitter Share to Facebook Share to Pinterest. Making money trading currency pairs requires you identify a time interval that best suits your trading strategy. One of the best auto traders, which you can get completely free of charge by clicking on the button below. For example, if you prefer trading when markets are highly volatile, there are specific trading windows in all currency markets that allow you to trade. Lucia November 24,

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