OK, so I kind of fell in love with 20-minute binaries yesterday, using a 6-tick Diagnostic Bar chart with Trend Catcher. I find them a lot less nerve-wracking than the 5m binaries, and I had some limited success on my first demo day with them.
For both selfish and altruistic reasons, I thought I’d share all my trades from yesterday, in the hopes that some of the local experts could comment on entries - good or bad - and just to sort of force me to track everything in detail for my own benefit.
Here are the rules, as I understand them:
Method 1 - Trend Catcher (TC) Flips
These 3 ALWAYS apply
Close of bar MUST match TC direction
Cyan/pending bar MUST close in same direction as TC
Cyan/Pending bar MUST take less than 3 minutes to form
ONE of these must ALSO be met
Volume exceeding expectation
Velocity Firing off (long or yellow bars in the velocity indicator)
Follows color of APEX pattern
Method 2 - In Between Flips
These 3 ALWAYS apply
Follow Trend Catcher direction
Bar before entry MUST close in same direction as TC
Bar before entry MUST take less than 3 minutes to form
ONE of these must ALSO be met
Volume exceeding expectation
Velocity firing off (long bars or yellow bars in the velocity indicator)
Sequential small timer bars
So… here are 9 screen captures with comments!
Comments, questions, suggestions? All are welcome!
Great Job marking up the charts with such detail. That alone is worth gold because it will help anyone looking to help you figure out your thought process and offer guidance. Kudos man!
Without going into detail on each specific entry only because I haven’t reviewed each trade, in my humble opinion, what stands out immediately to me is that a lot of your entries lack that exceeding volume that is so important for momentum. It will work sometimes without it, but more often than not, without volume the price action will often reverse on you. The other thing I noticed is your notes show bar timer <12 minutes? Unless this has changed, TC on the 20 uses a bar timer of 3 minutes, as anything longer is also a sign of momentum slowing down.
You definitely have the concept and if you continue to demo you will see how the market moves and you will add in your own adjustments (style element of trading), but try using a bar timer <3 minutes and look for exceeding volume on your setup/entries (or velocity firing off with sequential small timer bars).
I hope this was helpful. You are doing a great job with them as it is, just tweak it a little and you will get there.
Yeah, the volume (or lack thereof) stuck out to me, too.
I know the bar timer should be less than 3m for 5m binaries, so I extrapolated that to 12m for 20m binaries, since I didn’t recall seeing anything about that anywhere, but I will look out for 3m bars.
It’s just a bummer that volume has been so low the last couple of days, but it’s not like I can artificially pump it up, unless it’s just in my mind
Yes, lack of volume can be a bummer. This is where having a couple of systems to work on the 20’s would be a good Idea. You can look into doing Iron Butterflies when volume is lacking and for times when volume is exceeding like crazy you can look at doing straddles.
A lot of different ways you can use the 20’s and TC is just one system. The thing about the 20’s that I love is that they are quick enough to satisfy my impatience and slow enough to help me realize mistakes and survive them. LOL!
Peter, you’re reading my mind!! I was just reading through Creekcourse’s materials on iron butterflies and JUST now got to your post suggesting someone watch Darrell’s webinar on 20m binaries! You’re psychic!
You expressed my feelings exactly about the 20m binaries lol
Yes trade is accurate (5 yes okay). Remember a binary can only go to 0 or 100 it will go slower as it approaches 0 or 100. So an OTM ie around 30 or 35 will move faster than an ITM (so long as the market is moving) an ATM is at top speed and after about 65 it starts to slow down again.
Not sure what you mean could not get any thing from an ATM contract Your only going to pick up 10 to 20 on a ITM contract. $20 to $25 is the max we go for and often profits average closer to $15.
