Japanese candlestick patterns have been helping binary options traders analyze the market and make profitable trades for several years. Among the many patterns, the Binarium "Seven Candles" strategy stands out for its practicality, allowing you to identify market reversals and find optimal entry points even on lower timeframes. This is why this tool is popular among traders who value accurate trading signals.
In this article, we'll discuss how to apply the Seven Candles strategy on the Binarium platform, as well as the logic behind the seven-candlestick pattern and the rules for opening trades. If you haven't registered on Binarium yet, now is the perfect time to do so and test the strategy to see for yourself how effective it is.
Content:
- What is the advantage of the Seven Candles strategy?
- How to use the Seven Candles strategy on Binarium
- Conclusion
What Is the Advantage of the Seven Candles Strategy?
The "Seven Candles" strategy stands out for its simplicity. There's no need to delve into complex theories or understand market concepts like Elliott Wave Theory or Dow Wave Theory. Simply learn to identify a sequence of seven Japanese candlesticks on a chart. Trades using this system are recommended to be opened on an hourly timeframe. The strategy's effectiveness stems from its long expiration periods, and market noise is generally ignored.
The Seven Candles pattern reflects the end of a market correction and helps traders make informed decisions about opening a trade in the opposite direction of the new trend. This trading strategy works particularly well on the Binarium platform thanks to its technical analysis tools and wide selection of assets.
How to Use the Seven Candles Strategy on Binarium
This strategy is recommended for trading between 10:00 PM and 11:00 AM GMT. During this time, 13 hourly candles form, which should be divided into green (ascending) and red (descending). According to the system's rules, a trade should be opened in the direction opposite to the closing direction of the majority of candles. Let's consider an example: if most of the candles are red, a call option should be purchased.
To open a trade, at least seven candlesticks must close in the same direction. Then, within the next four hours, wait for the next red hourly candlestick to appear. Once it closes, open a Call option in the Binarium broker terminal.
In the opposite situation, you should buy a Put option. In this case, you need to wait for at least seven green candles to appear within the specified interval, and then another candle of the same color within the next four hours. After it closes, you can open the Put option.
Experienced traders use this strategy to buy options with expirations of one to three hours. It's recommended to invest no more than 2% of your deposit per trade.
Conclusion
The Seven Candles strategy for Binarium can truly improve the accuracy of your binary options trades. This article has taught you how patterns are formed and the rules for opening trades. Now all that's left is to put this knowledge into practice. The Binarium platform provides everything you need for comfortable trading: user-friendly charts, a wide selection of assets, and fast customer support. Register with Binarium now, test the Seven Candles strategy on a demo account, and see for yourself how this approach can improve your results.
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