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Contrarian can win more dealing in binary options!

Contrarian is the trading method in binary options

There are two types of trade in binary options trade; the one is the Market Follower, another one is Contrarian.

As a basic, people usually trade with the Market Follower to follow the trend.

On the contrary, you will have more chances when you take the Contrarian by cases.

In spite of that, predominantly, you should not trade when you feel that it is not the right timing. Please remind that anyway.

If you are interested in binary options, I explained the details in “What is binary options which are popular now?” and please access there.

What is a contrarian?

In short, the contrarian means that you take a LOW position during an upward trend or a HIGH trend during a downward trend in a market.

It is the opposite way from the trend so that you have to think the risk and the target is pretty narrow.

However, A market repeats up and down periodically, and There is no doubt that the contrarian works well, too.

Learn about the sideways trade to win with the contrarian

The important thing is the contrarian is how you can avoid the sideways trade. It is hard to guess the market and the risk gets higher in less fluctuating markets.

What is the sideways trade?

Shortly, the sideways trade means “Regular fluctuation in a market.”

In another word, it is the market which does not have radical movement.

It is difficult to win with the contrarian in this case, and the risk gets enormous.

It is difficult to be the contrarian without MT4/MT5

If you want to read a trend, some “tools” are needed.

Of course, it should be for free. Then you need MT4 and MT5.

You will find that it is easy to read a trend with them.

You need them because if you do not catch the trend, you should not take the contrarian method.

The merits in MT4 and MT5 is that you can use indicator.

You can use them in the contrarian or also another way.

It worth to use it.

Helpful indicator in the contrarian

Now, let’s move to indicators.

If you want to trade with the contrarian, you have to use appropriate indicators to make more chances.

First, It is “Bollinger Bands.”

Besides the contrarian, you will often use it and never regret it to have it.

・A candlestick reaches “a.” It calculates that it has been bought too much with touch and you have to put the LOW as the contrarian.

・A candlestick reaches “-a.” It calculates that it has been sold too much with dying and you have to put the LOW as the contrarian.

Another one is “RSI.”

・RSI reaches 70(80) lines. It is overly bought and a sign of the contrarian with the LOW.

・RSI reaches 30(20) lines. It is overly sold and a sign of the contrarian with the HIGH.

We should be the contrarian with an indicator which tells “Overly bought or sold.”

We found that the reverse trend happens when it moves radically. In short, If you see a pattern, it is supposed to happen.

We are better to trade more than 5 minutes rather than 60 seconds in binary options.

The one of charm in binary options broker is that they offer 30, 60 seconds trade.

However, if you want to be the contrarian, those short options does not work well.

If you find a trend, it is difficult to expect the turning point in 30 or 60 seconds.

If it is 5 or 15 minutes and you can target quickly, you have a chance.

If it is too long, the trend may come back so that you need to be careful.

Let’s target the timing when trend often happens with the contrarian.

I have already talked above, but it is important to target a trend in the contrarian.

So, at the end, when should we trade?

There are 3 times: opening the Europe market, close the US market, and open the Japanese market.

You have to be the contrarian against the trend in those time because patterns often grow.

Trends happen the most when many traders trade because the direction cannot be made without trader’s investment.

How about winning rate!? Let’s check the binary option with the contrarian!

I used the demo trade account as a sample.

We can use it with the Quick in High-Low Australia as well.

Anyway, firstly and randomly, let’s go with the contrarian in short option.

Here, I will explain to you why we need the reason to position.

Let’s try the contrarian

I felt the trend, and I went with the contrarian.

However, I just found the reason that it had a trend, in the end, it did not move opposite.

Next, I will target the turning point in 5 minutes trade after the line reaches (70-30 at this time).

I tried the contrarian again

I wondered a bit because it was quite near.

But it is the demo, and I did a daring thing.

It worked well.

At first, I thought it was dangerous. And then I kept patient and got a profit in 5 minutes trade.

That is how you should be the contrarian.

In this time, I could not find significant trends.

If you trade, you should catch a trend firmly and then challenge the contrarian way while you are doing the trend follower.

Now you understand the logic in the contrarian trading. Let’s do it!

The “contrarian” is one of the target as well as the trend follower though the latter should be still the priority on your trade.

If you just know the possibility of the contrarian, you get more option and profit, finally.

However, if you suddenly become the contrarian, it is not going to be your profit immediately.

Some broker offers free demo accounts. Why don’t you practice it once?

Category:strategy

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No.2  IQ Option

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No.5  AnyOption

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