Strategy for binary options, Forex and CFD - Breakout and Reversal Breakout

Strategy for binary options, Forex and CFD - Breakout and Reversal Breakout - a strategy for protecting against a breakout, the essence of which is to find entry points in the direction of a corrective movement after a breakout.

Minimum Time Frame and expiration time

• Time Frame: M15
• Expiration time: 60 minutes (4 candles)

Recommended Time Frame and Expiration Time

• Time Frame: M15
• Expiration time: 75 minutes (5 candles)

Indicators of the Breakout and Reversal Breakout strategy

• ml-boxbreakout 1.02
• ml-StepMA_v7.2 pdf
• PivotsD_v5 (Black)
• StepMA pdf 4_6

Risk management

Trade is carried out with a fixed amount not exceeding 5% of the trade balance. You should not trade during the release of important economic news.

Breakout and Reversal Breakout strategy: signal to increase

• The price closed below the red dotted line
• The moving average dropped below the rectangle and then turned blue (this should happen once)
• Enter when the next candle opens

Breakout and Reversal Breakout strategy: downside signal

• The price closed above the blue dotted line
• The moving average rose above the rectangle and then turned beige (this should happen once)
• Enter when the next candle opens

Trading on Forex and CFD

• Before starting trading, it is recommended to test the strategy on a demo account (open at least 3-5 trades)
• The trade is opened after receiving a signal from the trading strategy
• The ratio of Take Profit to Stop Loss should be 3:1 (for one unit of possible loss there should be 3 units of potential profit)
• The time frame of trading is not important - minute charts are suitable for scalping, hourly or daily charts are suitable for long-term trading
• Take Profit to Stop Loss levels are set depending on the selected time frame
• The strategy will show false signals on minute charts during the release of important economic news - trade on higher time frames or choose a different time for trading