Strategy for the binary options broker Quotex - Alligator Universal
The trading strategy Alligator Universal allows you to identify protracted trend movements after the market comes out of corrective pullbacks. The system is based on two indicators: Alligator and Fractals. The Alligator tool consists of three moving averages, which show the moment of trend start and trend end, as well as flat periods. Fractal is an arrow indicator, which indicates the local lows and highs of the price. The combination of these tools allows you to determine the best trade entry points.
Setting up indicators on the Quotex broker platform
The Alligator trading tool has the following settings:
- Jaw - blue line. Period 13 with a shift 1;
- Teeth - red line. Period 8 with a shift 1;
- Lips - green line. Period 5 with a shift 1.
Next, we add the Fractal indicator with default settings. It shows up and down arrows in green and red colour.
Conditions for entering a trade on the Quotex broker platform
To purchase a CALL option, the following conditions should be met:
- The Alligator lines crossed, gathered into a bundle, and pointing upward.
- The price was moving up, but returned to the red line downwards. This indicates that the price went into a correction and will move up again in the near future.
- The price reversed upwards and a fractal appeared under the candlestick.
- Entry into a trade is when the bullish candlestick pushes away from the red line.
To purchase a PUT option, the following conditions should be met:
- The Alligator lines crossed, gathered into a bundle, and pointing down.
- The price was moving down, but returned to the red line upwards. This indicates that the price went into a correction and will go back down again in the near future.
- The price reversed downward and a fractal appeared above the candlestick.
- Entry into a trade is when the bearish candlestick pushes away from the red line.
The Alligator Universal strategy is suitable for trading on the 5-minute time frame. The expiration time is 3 candlesticks or 15 minutes. If you have a small deposit, bet the minimum
available amount, in case of a large balance - the lot size should not exceed 5% oof your current balance.