“Go-Go” Strategies

The “Go-Go” strategy is the best opportunity to start making money in the financial markets and realize important life tasks.

This strategy is designed to determine the points for buying options through the use of computer analysis. To work, you will need to install a primitive but reliable trend indicator – Moving Average (moving average) on the chart. This tool is integrated into the trading terminal of any broker. When installing the indicator on the price chart, you should set a period of 8, and also change the indicator type from Simple to Exponential. Exponential moving averages are characterized by higher accuracy in determining average price values for a specified period.

Since binary options trading assumes high profitability, low timeframes of price charts should be considered for operation. More deals-more profit. The recommended time interval is M5, and the contract execution period is not less than 15 and not more than 20 minutes (3-4 candles).

Particular attention should be paid to the choice of an asset for earning. This should be determined by everyone for himself through the development of trading skills on a demo account. It is recommended to give preference to working with assets that are highly volatile. These include:

  • stock indexes;
  • some currency pairs (EUR/USD, USD/JPY, USD/NOK);
  • precious metals.

Shares can be considered only if we are talking about little-known, but rapidly developing enterprises. Blue-chip assets are not particularly suitable for trading on the Go-Go strategy due to low potential profitability.

Trading Rules

An important condition for profitable trading according to the rules of the “Go-Go” system is the presence of a clearly defined local trend. This can be determined without the help of auxiliary tools. A visual assessment of the market situation is enough.

Conditions for buying Call options:

  • in a downtrend, the price element (candle) crosses the moving average from the bottom up;
  • the breakdown candle closes above the indicator line;
  • buy an option in the direction of a new trend should be at the opening point of a new candle.

The conditions for buying Put options are similar:

  • in a downtrend, the price element (candle) crosses the moving average from top to bottom;
  • the breakdown candle closes below the indicator line;
  • you need to buy an option in the appropriate direction at the opening point of a new price element.

Examples of transactions:

Примеры сделок

In the image, red circles mark the breakout points of the indicator with a price chart. If you look closely, you can see that 3 out of 4 transactions are profitable. This allows you to use the Martingale method to increase profitability. The correct use of this trading technique will allow you to work out losses from unsuccessful contracts almost instantly and show stable, daily profitability. It is recommended to determine the most convenient time for work and not to give in to excitement. You should refrain from trading during the release of important economic news.

Advantages of the strategy

The “Go-Go” system differs from other free strategies by obvious advantages:

  • high potential profitability;
  • the ratio of profitable trades to unprofitable ones is at least 8 to 2;
  • for effective trading, only one trend indicator will need to be set up correctly;
  • the available trading rules and simple indicator settings will allow even a novice trader to earn through this method.

It would be worth pointing out the disadvantages here, but they simply do not exist. The only thing worth paying attention to is the flat (sideways trend). If there is a similar trend, it is better to postpone trading to the next day, because during this period the price chart can show a lot of false signals.