Trading strategy “Breakdown of the range”

Trading strategy

The essence of the forex Trading strategy Breakdown of the range is reduced to tracking of the flat situations in the market, narrow ranges of price fluctuations and placement of pending orders in both directions for breakdown (Buy Stop and Sell Stop).

Stop-loss must be placed on the opposite side of this consolidation channel for each order. The best indicator for determining the market suitable for us and the location of pending orders are the Bollinger Bands. If the consolidation channel defined on the chart has, at least the slightest inclination, the Bollinger bands diverge, if the market calms down – they converge. In our case, for the conclusion of the transaction there will be a situation when the strips are parallel.

Trading strategy Breakdown

The conditions are fulfilled: the Bollinger lines are practically parallel; After the appearance of a fractal down, a long white candle formed, which crossed the upper level of the channel and was fixed. The Buy stop worked, the price went 115 points, with a rollback of 16 points (where confirmation, there is a new signal of a fractal down).

Trading strategy Breakdown

This example confirms the fractal signal, after which the price has passed 50 points.

Although it is not always possible to determine the ideal parallel horizontal channels, but if you scroll the price chart with this history indicator, you can easily recognize all the sites suitable for entering the market. Also, do not forget that in the market, quiet plots are rare, and in flat the price does not stand still, but does false breakdowns.

binary options daily

Since, after the lateral movement, a trend appears (important news, etc.), the price goes through 50 – 80 points, therefore, when placing pending orders, it is worth deviating from the Bollinger lines by 5-10 points.

Trading strategy Breakdown

False breakdown of the upper line of the Bollinger channel. But even if one stop-loss order was closed, then the second, to break through, returned you in double size. And then there is the opportunity to trade inside the channel: the price made a rebound after the appearance of the fractal, the trailing stop worked, after, the fractal appeared when the price did not reach the channel’s middle line, and went down, as indicated by the fractal. We took another 100 points. Next, you need to wait for a suitable signal to enter.

Trading strategy Breakdown – Take-profit is better not to put, but to trail the position and, if possible, close the position in parts.

Receive Trading Signals for Free

Sign up today and GET YOUR free daily signals

Your Name (required)

Your Email (required)

Your Skype ID (required)

Leave a Reply

Your Name (required)

Your Email (required)


Your Message

BonusMin. DepositMax. ReturnsRating
ayrex$10,000$20090%Rating Ayrex Options Review
$10,000$581%broker Rating Freestyle Review
Finmax$10,000$20090% FiNMAX Review
StockPair$20,000$585%broker Rating Falcon Finance Review
24optionUnlimited$25089%Top Binary Options Brokers Rating 24option Review

To invest with binary options you will work with an investment broker who is licensed to work in this field. Working with your broker, you will identify which asset you want to buy an option on, how much you want to invest and when the option will expire. Once the option is placed, you simply watch the trading activity on that asset to see if your prediction was accurate or not.

Binary options are one of the most popular trading choices for investors today, due in large part to their simplicity and the fact that you always know all the risks and payoffs ahead of time.

  • regulated: we promote only regulated brokers whose business models and marketing practices are checked by relevant government authorities.
  • special features: here we list all the important features that a broker offers. These are usually listed as perks offered trough various account types which bring different levels of service, depending on the minimum funds deposited
  • bonuses: almost every Top Binary Options Brokers offers these rewards that increase trading potential. Fair Binary Options also lists terms and conditions that come with the bonus money so traders always know how will these affect their trading efficiency.
  • the best binary trading platforms reviewed: we review the software that makes trading possible. There are several big providers, such as SpotOption, TechFinancials, Tradologic, MarketsPuls… Every software has some special characteristics, and not every software is suited for every trader
  • assets: Fair Binary Options review provides basic info on the amount of assets available for trading
  • customer support: we chat with the customer support to test how the broker has set up the help desk that should support traders. This is the best way to assess the service.
  • payments: we list all the payment options available by the Top Binary Options Brokers, list minimum deposit requirement
  • withdrawals: we warn traders if withdrawal requirements are too high, or if it takes a long time to get the money back.
    • Keras - self-learning NEURAL networks for
      Stock market forecasting
      Get it FREE








      *number of participants is limited

      Customer Testimonials

      Fellas what broker is legit in States ? binary options binary options broker USA?
      FrankyP