Have you ever considered using economic news releases/announcement in trading 60 seconds expiry on binary options? This could be a wonderful way of making consistent profits on a long term approach trading the binary options market.
Every day there are several micro and macro economic news that’s been announced into the financial market which is bound to influence an asset positively or negatively. This causes volatility in the price of the asset affected. Usually the first 5 minutes of the news announcement produces decent movement of price change depending on the deviation of the forecast and actual data published.
To have a high degree of success using this methodology, we will focus on trading the first minute of the release, this does not mean the first five minutes of the release isn’t profitable. We are only trying to avoid whipsaw candles which could be as a result of a revised release or conflicting figure of simultaneous news release e.g Employment change and Unemployment rate.
A good website to get a calendar of information on economic news announcement is www.forexfactory.com or www.investing.com. Any of these websites will show you the day and time a currency will be announcing its news so you can prepare ahead of time for your trade. When it comes to fastness of release time of the news, i will personally go for investing.com as you do not need a super speed connection. All we need is to get into the market immediately the news is published and wait for 60 seconds expiration to get profit.
60 seconds trading is one of the fastest trading styles of binary options trading which is getting popular because of its instant result factor. With 60 second binary options trading you have to predict if the price level of an asset will be higher or lower than the current price level of entry of the asset after exactly one minute.
If you are experienced in binary options you will know that the average payout in 60 seconds trading is about 75%. This means that in order to just break even you will have to win about 57% of your trades.
This can’t be achieved by making random calls. In fact many binary options brokers lose their investment amount because they trade 60 seconds options without any strategy. You should have a solid 60 second binary options strategy to win.
You can’t even subscribe to a binary options signal provider to trade 60 seconds options because no binary options signal provider offers this service, since it would take much longer to just get the signal to your inbox or phone. Whatever you have to trade will therefore have to be deiced by you.
You will not be able to win all the trades as this is not a 100% proof winning system. So make sure that you invest not more than 5% of your deposited amount so that you can sustain a few losses and still be in control of your emotions as risk management has a vital role to play in managing your trading psyche. You should be able to accommodate at least 5-6 loosing streaks in bad market times.
Since the asset will move in a particular direction overall, you will be able to win more trades than you lose and you should make a profit out of it.
An example of a recent news release on USD Employment Statistics on May 4 2018. In this release we had a negative data published for Non-Farm Employment Change and Average Earnings but a positive data published for Unemployment rate. These 3 data’s are always released simultaneously so one needs to be careful when trading 2 or 3 simultaneous release as you could experience up and down movement. However in this scenario the first and five minutes of release resulted in profit. Look at the chart below.
As you can see if you enter a Lower or Put option for 60 seconds 0r 5 minutes expiry immediately the news is released, you would have won both trades. A serious factor you might be wondering is how will you be able to place your trade as fast as possible immediately the news is published as news movement occurs in a flash. To beat time i personally use an auto-click software which is cost me some dollars, it is basically programmed to place the direction of the news release on the currency pair that will be affected based on the data published. However if you feel you are fast enough to place the trade, then you can do this manually.