Binary options trading signals have become the single most attractive means of making money today in the financial markets. So what are trading signals you may ask. Well, trading signals are simply a means of expressing a direction, time, and price for executing a trade in the markets. They are generally created using technical analysis. So for example, a stock like Boeing could be heading higher. But the problem is, there’s no real telling when the right time to get in the market is and furthermore in which direction to take the trade.
In binary options, its possible to take either an Up or Down trade. In other words, you can bet on the down trend just as simply as you can on the up trend. Binary options trading signals are just the message you need when you are ready to get in the market. The signal itself is composed of a price, which is the point at which you need to enter the market, a direction, which is either up or down, and the time when this is relevant. He last of these is usually the least important while the most important is the actual level itself.
The binary options trading signal is formulated using the charts. So a trader will look at the charts and decide where the optimal point is to enter the market and in which direction. This is in essence the binary options trading signal. No more and no less.
The trader who creates them generally uses a basis of resistances and supports to make the decision. Once a specific asset shows a propensity to break past a support or resistance, the likelihood that this will be a trading signal becomes very high.
The binary options trading signals that work best are those that are based on both technical analysis of the charts coupled with fundamental analysis as well. Fundamental analysis is just the study of the asset based on the underlying numbers and figures. So when trading an asset like the EUR/USD, a solid binary option trading signal will be based on the likelihood that a trend can actually last so that if a trader chooses an actual direction, the trade is in the best position to profit. After all, that’s what we are all after; profits.
So to utilize the best binary options trading signals, you’ve got 3 choices:
- Crete them yourself by learning a bit about charting
- Buy signals from a source and trade on your own
- Subscribe to a binay options trading signal service and have it automate your trading (like signalindex.com). Just be wary as there are a lot of scams out there.
Recently, a company named signalpush started scamming traders left and right as well as the brokers. So just be careful. Stick with the regulated and well funded companies like signalindex.com
The amazing thing about trading signals is that they aren’t the same mail based