HAMA Binary Options Trading Strategy

The HAMA.ex4 indicator is basically a stop-and-reverse indicator and is therefore used as a trend indicator. Being able to detect trend reversals, it can be used to trade the Call/Put option. However, it needs some help along the way in order to increase the validity of its signals. That is why an oscillator is added to the mix.

Chart Setup

  • MetaTrader4 Indicators: ex4 indicator (default setting); TrendBO.ex4 indicator (default settings).
  • Preferred Time Frame(s): ┬áM1, M5, M15, M30, H1
  • Recommended Trading Sessions: Any time. Depends on when the indicator signal appears on the chart.
  • Assets: Any

Download

Download the HAMA Binary Options Trading Strategy

Strategy

The strategy here is to identify a period in the price action when the HAMA.ex4 indicator changes colour and comes to lie on the opposite side of the candle. Support for the trade is also obtained from the TrendBO.ex4 indicator, which is an oscillator which shows colour changes as market bias moves from one end of the spectrum to another.

CALL Example (click the image for full size):

HAMA-binary-options-strategy

CALL ENTRY RULES

A Call entry is initiated when the following is displayed on the chart:

  • The HAMA.ex4 indicator changes colour to blue, and its bars are located under the candles.
  • The TrendBo.ex4 indicator bars are blue in colour.
  • Enter a Call trade when the candle bounces on the bar of the HAMA.ex4 indicator.

Expiry

The expiration of the trade is set at the closing price of the candle following the entry candle, which is 2 candles in length. The time chart will determine how many minutes of trading this translates into.

Exit Strategy

  • It is possible to close the trade early if a time chart longer than 15 minutes is used. This will involve closing the trade manually when the trade is in profit, but comes with a reduced payout.

PUT ENTRY RULES

A PUT entry is initiated when the following is displayed on the chart:

  • The HAMA.ex4 indicator changes colour to red, and its bars are located above the candles.
  • The TrendBo.ex4 indicator bars are red in colour.
  • Enter a PUT trade when the candle is rejected by the bar of the HAMA.ex4 indicator.

HAMA-binary-options-system

Expiry

The expiration of the trade is set at the closing price of the candle following the entry candle, which is 2 candles in length. The time chart will determine how many minutes of trading this translates into.

Exit Strategy

  • It is possible to close the trade early if a time chart longer than 15 minutes is used. This will involve closing the trade manually when the trade is in profit, but comes with a reduced payout.

Free Download

Download the HAMA Binary Options Trading Strategy

About The Trading Indicator

The HAMA.ex4 indicator is a trend reversal indicator which also allows traders to trade off price bounce on the bars of this indicator. This is a simple strategy which can be profitable if used properly.

The best entries are obtained when the candle preceding the entry candle closes right at the bars of the HAMA.ex4 indicator.

Share Now!

Download All Binary Systems, Strategies and Indicators 100% FREE!

Download Binary Options Systems With Super Accurate And Fast Signals Generating Technology.

  • Download Free Binary Options Systems
  • Download Free Binary Options Strategies
  • Download Free Binary Trading Indicators