List of Binary Option Regulators – Invest in regulated trading

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Indicators of binary options trading without redrawing

We all want to find the perfect indicators for binary options without redrawing to minimize losing trades. It is desirable that these indicators fit into one or more currency pairs, and could be used for any tool. We are talking about dial indicators and colored dots indicating sales or purchases.

There are different types of indicators: trend, flat, counter-trend, scalping, arrow. There are those that are redrawn, and those that are not. In this tutorial, we will look at each type of indicator for binary options, determine which one is better and which is not. Also consider the features of the indicators for BO without redrawing.

“Redrawing”?

Redrawing of the indicator – is when the story shows one, and in real time is quite another. Indicators, which draw values in the course schedule, and then in a few candles change their appearance, adapting to the price value is common in the Forex market.

To better understand how does the redrawing looks, we will show an example in the screenshot below:

Figure 1. Example of redrawing in binary options

That is, redrawing indicators draw the past movement of the candles. In fact, such indicators can be considered useless as the trade on their incorrect signals will lead to a drain of the deposit.

How to determine whether the redrawing exists on the indicator for binary options

Here we come up against the fundamental question of defining indicators for binary options that redraw the values on the chart. After all, before using a particular indicator for binary options, you need to make sure that redrawing will be absent in it.

To determine the redraw of the indicator is quite simple. There are several ways to do it:

  • choose any timeframe observed for the Japanese candles. Usually divergent candle indicator can be seen after 25 candles;
  • search of redrawing is part of the testing strategy: you can monitor transactions only for sale, only on the purchase or on both purchase and sale;
  • if it is a commercial unique indicator, so before buying you can ask its vendor to provide a free version to get rid of it through the strategy tester. And it will show whether it redraws signals or not.

The principle of operation and features of indicators without redraw

The principle of operation of the indicator without redraw is clear – drawing on the chart of arrows or other elements (for example, colored pixels), which indicates that you need to open PUT option or CALL. The main thing here is that the chosen indicator by the trader worked without redrawing.

Figure 2. Indication without redrawing by dots and arrows

It often happens that the indicator without redraw can show the colored dot of some of the size. These signals indicate that the price of the asset more likely to continue its movement in the direction mentioned by the indicator without redraw. Such signals allow the next candle buy CALL option or PUT depending on signal.

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The basic principle on which the indicators without redrawing work, is a signals formation (arrows) at a time as soon as the price repulsed from the high/low or will form some pattern. It all depends primarily on the algorithms of his work.

Almost all arrow indicators established such a rule, that the signal is a red arrow down means sell (PUT), and the blue up arrow is a buy (CALL). As soon as such a signal appears, the delay is like death. We must act quickly. At the opening of the next candle you need to be ready to go in the direction mentioned by arrow.

Difficulties and problems

Profits on the binary options market, depends on how precise the choice of the direction of price movement is. There are two main difficulties.

Difficulty No. 1. The indicator redraws its signals

When testing the indicator on the history that draws signals at first it seems that it just perfectly predicts the price movement of any asset. But while trading in real time all the pitfalls coming up. And everything is not as rosy as it seemed at first glance. That is, the disappearance of arrows or colored dots. This indicates that the indicator redraws. The problem may lie in the algorithms of its work.

Figure 3. The indicator redraws its signals

Change of location of the indicator upon receipt of new values of quotations. Frustrating when a trader opens a transaction on the signal of the indicator, but after a certain period of time the signal disappeared, then it becomes obvious that trading strategy with its participation is doomed to failure.

If the indicator for binary options trading without redrawing really “doesn’t draw“ the signals, it means that its arrows in no case should change its position or direction.

Difficulty No. 2. A high degree of reliability of the signal

In the Forex market and binary options there are many kinds of arrow indicators. But not all of them are suitable for the options market. If we talk about Forex trading – even the indicator with redrawing may work, because you can always wait for the right trader price reversal to close in a profit position. But for binary options you need greater precision, and any errors, especially drawing, is absolutely unacceptable.

The dial indicator should give a very accurate signal, especially in relation to the next 2-3 candles.

Ways to avoid problems or 7 signs of a reliable indicator for binary options

Really reliable, and therefore profitable indicators should:

  • to deliver signals without redrawing;
  • work with any asset and any timeframe;
  • to operate on all types of accounts (real, demonstrative, ECN);
  • not to miss the best entry points;
  • provide anticipating price signals so the trader has time to make a deal;
  • open code, so it is possible to make adjustments under certain conditions;
  • confuse the trader during a flat with large number of false signals.

Arrow indicators for BO without redrawing have such positive things:

  • determination of the moments, when the next few candles will close in profit without any amendments;
  • the minimum expenditure of energy aimed at technical chart analysis with the purpose of finding favorable points for transactions;
  • minimization of the number of errors that occur when using conventional indicators, which are constantly recalculate their values.

Figure 4. Indicator Scalper MA without redrawing

Types of indicators for binary options without redrawing

Figure 5. The indicator without redrawing

On the binary options market there are 5 main types of indicators without redrawing:

Consider an example of each indicator separately.

Scalping

Here is an example of scalping indicator for binary options:

Figure 6. Scalping indicator for binary options Binary Option Arrows

Green vertical stripes denote profitable trades, red – unprofitable. Often, scalping indicators for BO involve trading on small time frames M1-M5. The expiry time one or two candles.

These types include such indicators as: EMA, Catx, SMA and ADX. They best define the trend, but also show that might involve a possible bounce from moving average.

Usually trading on binary options by trending indicators suggest a longer expiry, up to the candle. The time interval can be anything. The most important thing. In this time, there was a bearish or bullish trend.

Figure 7. Trending indicator Catx

This type of indicator involves catching pullbacks (bounces from levels). A good indicator for BO which will not redraw the values is considered as the Bollinger bands. Signal for the opening of the option will serve as the price reaches one of its lanes and return to the moving average. You can work on the rebound from these bands. The expiration time is up to 8-10 candles, any timeframe.

Figure 8. The counter-trend indicator Bollinger bands

Good results on flat movements show the indicators-oscillators. They oversold and overbought zones allow to accurately enter the market.

For example – Stochastics. Its signals are perfectly show that the price is overbought or oversold, then there is a high probability of reversal. The level of purchase – area (0-20), sales area – area (80-100). The time interval of trading: any, the expiry time: few candles.

Figure 9. The Stochastic Indicator

Arrow

In most trading platforms this type of indicators are somehow unavailable. But arrow indicators for binary options without redrawing can always be downloaded free on the Internet. It often happens that the indicator shows good signals, which later turn to traders with profit.

Figure 10. Arrow indicator Scalper MA

Best binary options indicators without redrawing

Best indicators without redraw for the binary options market, of course, considered to be arrow.

Profit Sunrise

This indicator for binary options is one of the most accurate. It is based on unique algorithms that exclude various market noise. Testing has shown that a powerful Profit Sunrise indicator for the year showed a 91% of profitable trades.

Figure 11. Indicator Profit Sunrise

“QQENew”

Profitable the “QQENew” indicator without redrawing just created for binary options trading. Its algorithm is based on the smoothing values of RSI. In the histogram below you can see the intersection of the red and green lines between them. At thi time the signal is given.

Figure 12. Indicator QQENew

When the signal lines intersect the indicator “QQENew” will sound an alert. Trade on this indicator will be more profitable if you use additional filters of a trend.

RSI – RSX

High-yield trading system for binary options RSI – RSX showed that among the 14 transactions 13 –in-the-money, 1 – loss. In the base of a system the zones of the RSI indicator (0-30) and (70-100) are used. For example, the price dropped into the zone 0-30, then we need to wait till it gets out of this zone. The expiry time of 5 minutes, if the timeframe is M5. Sell trades should be considered, when price entered the zone (70-100) then there is a reduction. We open the option of PUT.

Figure 13. Indicators RSI — RSX

Indicators for binary options – tips

It is better to use arrow indicators for binary options without redrawing. Although there are many profitable indicators which do not draw signals. Open a demo account with one of the most reliable Forex brokers.

Installed Metatrader4 terminal allows you to test profitable strategies for binary options. Always consider the direction of the global trend. Do not risk more than 10% of your deposit per trade. Do not deviate from the trading strategy, which for several months have been tested on a demo account, and you will profit!

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Currently, there are more than 450 trading platforms or brokers. This was not the case in 2008, when binary options trading began, as there were about 10 trading platforms that were good, as they created High Competition.
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If anyone does not know: a binary option is an “all or nothing” option; This option with a fixed price, which, depending on the pre-agreed condition, either provides a fixed income, or does not bring anything.

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Brokers, rating of investment companies – All brokers and investment companies. The broker rating is an intuitive, functional and convenient tool for a trader who chooses an exchange broker.

The main purpose of the rating is to compare brokers and choose the best investment companies. Each visitor to the site, regardless of whether he is a novice or a professional, is invited to vote for the best brokerage company from his point of view. We also recommend that you review our Binary Options Brokers rating.

The rating of brokers is not responsible for errors in the information provided. To get the latest information, visit the website of the broker or investment company.

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Her Majesty’s Treasury plans to move binary options regulations from Gambling Commission to the Financial Conduct Authority.

A recently published draft legislation consultation paper by Her Majesty’s Treasury shows that the UK government is set to switch the regulatory framework for binary options trading from gambling to financial trading. This development is part of a larger trend in the European Union to redefine the legal status of binary options as exemplified by the first Dutch binary options license.

When the UK adopted the EU’s Markets in Financial Instruments Directive (MiFID) rules it did not extend the scope of the British financial regulators to cover binary options. The UK’s approach was in line with how it believed the Committee of European Securities Regulators (“CESR”) analysed the scope of MiFID.

Therefore, under current UK legislation binary options are classified as bets and are supervised by the Gambling Commission rather than the Financial Conduct Authority (FCA). However, different Member States have taken different approaches to this issue. Several European Member States include binary options within the scope of their transposition of MiFID financial instruments.

The UK government now says this creates inconsistencies in approach as to whether firms offering binary options can or cannot passport across the EU. It also means that there is confusion for potential purchasers of binary options about their status and potential inconsistencies in consumer protection for what can be risky products.

Additionally, recent publications by the European Commission on binary options indicate that the Commission believes that certain binary options are within the scope of MiFID. Still, the uncertainty in the EU about the status of binary options have not lead to any specific amendment to MiFID II.

However, HR Treasury says that in the light of the growth of the binary options market and concerns about consumer protection, the British government considers it appropriate to consider their status under the existing directive and revisit the UK’s transposition of this element of MiFID.

Enhancing Certainty

The UK government is now of the view that binary options, where they relate to specific underlyings, are appropriately viewed as MiFID financial instruments. It therefore proposes to bring activity in relation to these instruments within the regulatory perimeter, where they are derivatives in relation to which an investment firm or credit institution is providing or performing investment services and activities on a professional basis.

Such persons providing specific binary options, under the draft amendments, would require authorisation under Financial Services and Markets Act (FSMA) and be regulated by the FCA. Although there are supportive legal considerations in deeming certain binary options ”financial instruments” and specifying them as investments, there are also strong policy reasons for doing so, the goverment says.

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In particular, binary options present similar risks to derivatives and classifying them as financial instruments would ensure that providers would be subject to specific regulatory requirements in relation to organisational and capital requirements and that the range of investor protection rules in MiFID would also apply. It would also mean that the specified binary options are brought within the scope of the market abuse regime.

The British government is seeking comments on its proposed draft legislation to bring certain binary options within the legal framework that covers contract for differences (CFDs) in the UK.

The consequence of this drafting is that a binary option is a financial instrument in circumstances where similar derivative contracts would also be regarded as financial instruments, for example, where the option relates to currencies, stock indices, individual shares, commodity prices and economic statistics. The draft amendment would therefore capture a wide range of binary options.

The UK government is particularly seeking responses in relation to whether this draft legislation raises any problems in relation to scope of what would be captured. For example, a binary option in relation to climatic variables would appear to capture a range of binary options that might not ordinarily be considered to be financial.

Gambling Commission Reaction

A spokesperson for the UK Gambling Commission (UKGC) commented on the development: “For most existing licensed gambling operators this will have little or no impact on their business.

“Binary options account for less than 1% of the Gambling Commission-regulated online gambling market. Operators who offer binary options alongside more traditional betting products will merely find this part of their activity regulated by the FCA.”

However, the spokesperson clarified that binary options firms will not need to apply for a gambling license this year, “This is to avoid relevant operators having to make applications and pay fees that might later prove unnecessary.

“The effect of this is that operators will not, for the time being, require a gambling operating licence to offer binary options, and no application to the Gambling Commission to do so will be necessary until further notice.”

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