Strategy for the binary options broker Quotex -
Volume Oscillator and Stochastic Oscillator
This strategy for binary options is used to find entry points in the direction of the trending price movement. The main indicator is the Volume Oscillator indicator. The histogram allows you to determine the direction of the trend and predict its possible change. When used alone, the tool gives a lot of false signals. Therefore, we suggest using the oscillator together with the Stochastic to filter them.
Setting up indicators on the Quotex broker platform
The following settings are used to trade binary options:
- Volume Oscillator: in this case, we cannot change the parameters, so we use the default settings (you can change the transparency of the bars at your discretion);
- Stochastic Oscillator: to get accurate signals, standard parameters are used - 14, 3, 3.
The strategy is suitable for trading on any time frames, but the 5-minutes is optimal. The best expiration time is 3 candlesticks or 15 minutes.
Conditions for entering a trade on the Quotex broker platform
To purchase a CALL option, wait for the following signals to appear:
- The Volume Oscillator bar is green;
- Stochastic lines are below level 20 and crossed each other.
You can buy a PUT option, if the following conditions are met:
- The Volume Oscillator bar is orange;
- Stochastic lines are above level 80 and crossed each other.
To minimize the risks of trading, make a trade for an amount not exceeding 5% of the current deposit.