Strategy for binary options, Forex and CFD - Stochastic OS/OB Strategy

Strategy for binary options, Forex and CFD - Stochastic OS/OB Strategy - a trend reversal and reversal strategy based on Bollinger Bands and three indicators, used to search for entry points into a trade.

Minimum Time Frame and expiration time

• Time Frame: M5
• Expiration time: 15 minutes (3 candles)

Recommended Time Frame and Expiration Time

• Time Frame: M5
• Expiration time: 20 minutes (4 candles)

Indicators of the Stochastic OS/OB Strategy

• $$Nice Value Chart 1.0
• Stochastic Friendly
• SuppRTF

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.

Stochastic OS/OB Strategy: signal to increase

• The price is below the lower Bollinger Band
• A white dot appears in the first window
• A support level of red dots has appeared under the price
• The green Stochastic line crossed level 10 from bottom to top
• Enter when the next candle opens

Stochastic OS/OB Strategy: downside signal

• The price is above the upper Bollinger Band
• A white dot appears in the first window
• A resistance level of blue dots has appeared above the price
• The green Stochastic line crossed level 90 from top to bottom
• 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