5 Minute Binary Options Success Story


#24

I just started using the scanner and now I know why there is confusion regarding in the money versus out of the money terminology. The scanner shows “ITM” on the sell side of a binary option with a strike price that is out of the money (the buy side shows OTM). I think this is the source of the misunderstanding. I guess in my mind I imagined that a particular binary option strike price was either in the money or out of the money depending on whether the underlying was above, at, or below the strike, but it seems that according to the scanner the sell side and buy side “moneyness” of a particular strike are opposite and listed separately. Hopefully everyone understands that when I said I want to sell the out of the moneys and buy the in the moneys what I meant was that I want to put time decay on my side, so I would sell strike prices that are above the market and buy strike prices that are below the market when I get a bearish or bullish signal.


#25

Indeed, I am strictly a NADEX guy…and the source of the confusion is now solved.


#26

All strikes are both ITM and OTM

If the market is above a strike the buy side is ITM and the sell side is ITM

Buy means true to the statement market above x strike at x time

Market at say 17000 with a 16950 strike


If the market is below at or below strike the buy side is ITM and the sell side is OTM

Sell means false to the statement market above x strike at x time (meaning the market it will be at or below x strike at x time)

Market at say 17000 with a strike of 17050


#27

This is a common issue with Deep ITM trading. Heavy win rate account runs up fast then can run down much faster. I do applaud you on making a withdrawal. Enjoy the rapid rise. Spend some of it and pay off some bills and have some money for the holidays. Also spend some time focusing on a more consistent gains builder of your account like directional trading with NTM spreads instead of binaries. https://forum.apexinvesting.com/t/izone-sharpshooter-set-up-and-rules/4415 This will help you get going.


#28

GNayler, are you still doing the 5 min binaries and is it still successful?


#29

They havent been back to the forums in over a year. So I wouldnt expect a reply :hushed:


#30

The part that confused us was your use of the terms ITM & OTM. OTM means the market has to move in your direction to profit. ITM, whether it’s a buy or sell, is more than $50 per contract. Those are the ones where you pay premium & collect it through time decay. I know this message was over a year ago & you probably know all of this by now, but I made this image to show ITM/OTM:

When you said buy an ITM & sell an OTM, I immediately thought you were buying & selling on the same side of the indicative. I’ve always wanted to try that, but there are a couple of reasons it doesn’t work. My idea was to buy or sell an ITM, and then go one strike beyond that & do an OTM. :slight_smile:

Bottom line: In Nadex terms, if you buy OR sell an OTM, the market absolutely has to move in your favor for you to profit… and if it doesn’t move early enough, it’ll have to move even farther due to time decay working against you.

I know what you were talking about now though. You were just using the wrong term for the sell. It’s still an “in the money” for the sell. SELL 25 means you pay $75 for a maximum profit potential of $25.


#31

I’m actually successful (so far) with my 5 minute binary strategy. It uses a supply/demand indicator that I found for free, plus a divergence indicator that I also found for free. I only trade the Asian session. I was 9 for 9. I lost for the first time last night. I think I want to absolutely limit my trading of this strategy to after midnight EST. Last night I was trading around 8pm-ish, and it seems like the market moves faster at times than 12-3am. Here are a few images from my wins:

I also won with some buys, but I just noticed the green zones were not on the chart below my entries… so it looks like I didn’t follow an important rule to my strategy. LOL!


#32

Another winner! I’m really getting confident in this strategy. It wasn’t threatened at all! I haven’t lost a single trade when I followed the rules. The only one I lost was when the market was right in between a support & resistance zone, so it wasn’t protected enough. Following my simple rules, I’m now 11-for-11!!! Just think, 10 contracts would’ve netted $202 after commissions in about 4 minutes! It sounds crazy, but it’s true.


#33

hey can you email me more in depth about your strat im wanting to trade more 5 min binarys


closed #34