A quick post on a quick win Binary Option on Kiwi Dollar which hit target last Thursday…but I did not realise till I did my weekly analysis this weekend.
Here’s the weekly chart:
As you can see on this weekly chart the KiwiDollar after a strong up trend reversed and fell back. There were a couple of weekly pin bars followed by a couple of inside bars. Price has been range bound and is waiting for its next move. I felt that whilst the longer term move may well be down it was possible that it may pop north to clear out the long orders before dropping again. The daily 200 MA (Think Blue Line) around the 8100 area has been providing support and when I dropped to the daily chart I started to become interested.
Here’s the daily chart:
When I looked at the daily I was pleased to see the 89 MA sloping north (pale green line) and also acting as a level of dynamic support for price. What convinced me off the trades virtue was the price I was offered at my brokers site. I was checking different price & time options for touch and no-touch barrier trades. I was very surprised to see a 28 Day / 0.8300 USD 1000 payout Touch Barrier trade being offered for 769.58, giving me a profit of $230.32 or approx 30% upside. I placed the trade and the barrier was for 7th May 2012 however on this occasion price did exactly what I thought it might do (I wish I could say that more often) it popped up last Thursday, poked its nose above the 0.8300 level, probably took in a load of waiting orders and then dropped off. So in the end whilst I had a 28 day window it actually hit target within 3 days. Here’s is the screen capture from my brokers page. A smidge under 30% upside on the trade for a USD1000 profit.
Overall I was just lucky here with both my timing the trade and the price I received in terms of % upside. I doubt they will all be like that! But hopefully you can see what can be achieved by combining solid Technical Analysis, some Market Experience and an understanding of Probabilities and knowing your risk exposure.
I have a few other Binary positions open and will update you on them over the next few days.
Until then, trade well.