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Futures Signals For Binary Options

I always watch futures trading in the morning, before the actual equities market opens, and some days they can give signals. Today is one of those days, futures are indicating a very weak open, more than -1%, which means there will be strong downside momentum at the open. It is possible to trade on this, I do it in two ways. If I can get into a trade within the first minute of trading, have an entry point within the first candle, a 2-5 minute expiry has a near 100% chance of closing in the money. The risk is that your platform/broker will not open the options soon enough, or that lag will interfere with your profitability.

The second way is to wait for the initial rush into the market, which will of course hit an extreme- usually within the first 10 or 15 minutes, and then a pull back and test of support will provide another entry, this time with a 5 to 15 minute expiry. Risk here is that resistance will prevail, this is why I focus on futures moves that are AT LEAST +-1%! This second strategy has a lower success rate, but still in the 70-80% range for me so far.

This type of signal only happens occasionally, but when one occurs there will usually be another one the next day or two, what I'm saying is that volatile trading days like this are rare, but happened in groups of 2-5 days.


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