If you're striving for successful binary options trading, you've likely already encountered a variety of indicators on the market. Today, we'll look at one of them: Quantum Trend Sniper. This tool warns of potential bullish and bearish trend reversals using divergence. It offers interesting features, such as take-profit levels and adjustable trading signal frequency, making it a versatile tool suitable for Forex trading. In this review, we'll not only explore the features and benefits of this binary options indicator but also analyze whether it's worth the advertised price of $150.
Let's take a closer look at what makes this instrument so attractive to traders and how to get the most out of it.
Content:
- Characteristics;
- Installation;
- Overview and settings;
- Quantum Trend Sniper Trading Rules;
- Specifics of application;
- Conclusion;
- Download Quantum Trend Sniper.
Quantum Trend Sniper Binary Options Indicator Features
- Terminal: MetaTrader 4
- Timeframe: H1
- Expiration: 3 candles
- Option Types: Call/Put
- Indicators: QuantumTrendSniper.ex4
- Trading instruments: currency pairs, commodities, cryptocurrencies, stocks
- Trading hours: 8:00 - 21:00 Moscow time
- Recommended brokers: Quotex, Pocket Option, Alpari, Binarium
Installing the Quantum Trend Sniper binary options indicator
The Quantum Trend Sniper indicator is installed standardly on the Metatrader 4 platform. To do this, add it to the terminal's root folder by selecting "File" in MT4 and then "Open Data Folder." In the folder that opens, navigate to the "MQL4" folder, then "Indicators," and then move all files there. Templates are installed in the same way, but placed in the "templates" folder. For more detailed installation instructions, watch our video:
Quantum Trend Sniper Binary Options Indicator Review and Settings
Note: Divergence occurs when the price and indicator move in opposite directions. For example, a currency pair may rise and reach new highs, while the oscillator shows a decline and lower values.
The Quantum Trend Sniper indicator generates signals for opening positions when the current trend changes or slows. Upon examining the entry points, you'll notice that they rely on divergence — the difference between price movement and the RSI oscillator values.
According to Welles Wilder, the developer of this technical analysis tool, divergence occurs when the price reaches a new high, but the oscillator doesn't confirm it. In the article "The RSI Indicator for Binary Options," we explained how to use this useful property to your advantage. We recommend it to anyone who wants to master all aspects of this tool.
To confirm our assumptions that the Quantum Trend Sniper indicator really points to areas of the chart where the asset's price behavior begins to diverge from the oscillator values, we will add an RSI with a period of 14 and observe its behavior in the areas marked with arrows.
In the screenshot above, you can see that the appearance of arrows is accompanied by a divergence between the price and the oscillator: the new price high on the left chart (marked with an orange arrow) does not correspond to the new oscillator high, while the new price low on the right chart (marked with a green arrow) does not correspond to the new RSI low. Therefore, on the left side of the chart, we see a signal to buy a put option, and on the right, a signal to buy a call option.
Thus, our theory that Quantum Trend Sniper signals are based on divergence between price and the RSI oscillator has been confirmed. Now let's delve into the parameters and discuss how to apply this tool in practice.
This indicator has few settings: oscillator calculation period, price type, oversold and overbought levels, arrow colors, activation of take-profit levels (for those who trade Forex), and alerts.
Trading Rules for the Quantum Trend Sniper Binary Options Indicator
The Quantum Trend Sniper indicator will alert traders to a potential market reversal in a timely manner. To get the most out of every trade, you can use Japanese candlestick patterns in addition to the indicator's signals. For information on the correct use of candlestick patterns, read these articles:
- Candlestick analysis and binary options.
- Japanese Candlesticks for Beginners and How to Read Them.
- Japanese candlesticks – graphical analysis.
- Using pin bars in binary options trading.
In addition to patterns, you can use Bollinger Bands and react only to signals that occur outside their boundaries. However, we decided not to add new conditions to position openings and to test the performance of this "predictor" in its original form.
Opening a Call Option
- A green arrow appears
- At the opening of a new candle, we buy a Call
Opening a Put Option
- An orange arrow appears
- At the opening of a new candle, we buy Put
It is recommended to select an expiration time of 3 candles. Choose the holding period based on the financial instrument and historical data testing results.
Specifics of Using the Quantum Trend Sniper Indicator for Binary Options
This indicator generates reliable signals, although their number is not as large as that of similar trend-following indicators. To increase the number of trades, you can reduce the range of the "Overbought" and "Oversold" parameters. The smaller the interval between them, the more trades are potentially generated.
The image above shows that doubling the interval (from 10 to 20) resulted in four fewer trades over the same period. This is important to consider when choosing a timeframe and trading style. If the Quantum Trend Sniper indicator generates too few signals on the selected timeframe, try decreasing the gap between the "Overbought" and "Oversold" values. Conversely, if there are too many signals and they are of poor quality, increase the range between these parameters.
Advantages of the Quantum Trend Sniper Indicator
This tool is appealing for its simplicity and versatility. Preset take-profit levels allow it to be used not only for binary options trading but also in the Forex market. Flexible settings help you find the optimal mode for each trader, and alerts help you avoid missing trades.
Disadvantages of the Quantum Trend Sniper Indicator
Among the drawbacks of this indicator is its trading principle. Opening trades based on divergence signals implies a commitment to a "mean reversion" trading style. Upon closer inspection, one can see that most signals are generated in the opposite direction to the current trend, with the aim of catching a reversal. The problems associated with this approach can be found in the book "Intermarket Technical Analysis" by renowned technical analysis expert John Murphy.
Conclusion
The Quantum Trend Sniper indicator is an excellent choice for those accustomed to quickly reacting to trend changes. It's based on the principle of divergence and features flexible settings that allow its signals to be tailored to each trader's individual preferences. Furthermore, it works successfully in the Forex market, where preset take-profit levels can expand its applicability.
The Quantum Trend Sniper indicator deserves its $150 price tag thanks to its versatility and ease of use. Despite its identified shortcomings, it remains an attractive tool for those seeking high-quality binary options trading. Its flexible settings and alerts make it a valuable tool.
We recommend starting to master this tool by opening a demo account with a broker with a minimum deposit. Once you've achieved consistent results, move on to trading on a live account, adhering to all risk and capital management rules. We wish you successful trading!
Download the Quantum Trend Sniper Binary Options Indicator
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