Regardless of the activity, over time, we often over look small things that can fester to become bad-habits, and for us who trade, these are “loss-generating” habits! It is therefore important to have a set of habits – or a “Pre-Trading Checklist”, in this case. So, just as a tennis player has a ritual of bouncing the tennis ball against the ground, gazing diagonally forward at his target, and taking a breath before he serves- to keep us in check and keeping our heart and mind locked in on the prized profits from binary trading, I decided to make this helpful post!
In fact I got so carried away writing this as part of yesterday’s email to my subscribers. It’d be too much of a waste if it never saw the internet again so here it is as a blog post!
Review These Things Before Each Binary Trade Session For Reliable Trading Success!
- Stay Informed and Analyze the Market: Before making any trades, take the time to stay informed about the latest market trends and news. Keep an eye on financial publications, economic indicators, and company announcements that may impact the assets you’re interested in trading. Knowledge is your best ally in making informed decisions. Tradingview is a great site!
- Set Clear Goals and Plan Your Trades: Define your trading goals for the day and plan your trades accordingly. Determine your risk tolerance and the amount you are willing to invest in each trade. Having a well-thought-out plan will keep you focused and disciplined during your trading sessions. If you don’t have something in mind, I suggest you check out my Binary Strategy Review Youtube Playlist.
- Choose the Right Assets: With an array of tradable assets available, it’s essential to pick the ones that align with your trading strategy and expertise. Diversify your portfolio but avoid overtrading, as this can lead to unnecessary risks. Many people have a negative bias to OTC assets, but ironically, the OTC charts on Pocket Option have been more tradable than live, especially on the very short timeframes.
- Focus on Risk Management: Protecting your capital is crucial in binary options trading. If you miss an opportunity, or volume is getting thin, it’s better to just be patient. No point chasing the market.
- Be Mindful of Market Volatility: Fridays can bring increased market volatility, especially as traders adjust their positions before the weekend break. While volatility can create opportunities, it also entails higher risks. Use caution and adapt your trading strategy accordingly.
- Pay Attention to Expiry Times: Expiry times can significantly impact your trading outcomes. Be mindful of the duration you choose for your trades and ensure it aligns with your analysis of the asset’s price movement. If you struggle with the ideal Expiry Time, you might like to watch this Trading Analysis Case Study Video.
- Embrace a Continuous Learning Mindset: The world of binary options trading is constantly evolving. Stay curious and committed to learning new trading techniques, strategies, and market patterns. Attend webinars, read trading articles, and engage with fellow traders to gain insights and refine your skills. And if you come across incomprehensible methodologies, send me the video link! I’ll figure it out for you and post a video!
- Avoid Emotional Trading: Emotions can cloud judgment and lead to impulsive decisions. Stick to your trading plan and avoid chasing losses or entering trades based on fear or excitement. Keep a level head, and remember that trading should be approached rationally and strategically. Check out my Trader Mindset Podcasts Playlist to help you prep for trading!
- Use Demo Accounts for Practice: If you’re new to binary options trading or trying out a new strategy, consider using demo accounts to practice without risking real money. Demo accounts are a safe space to gain experience and build confidence in your trading abilities. My top recommendations are Pocket Option, Quotex, and IQ Option.
- Celebrate Success and Learn from Mistakes: Whether you achieve your desired outcomes or face challenges, take the time to assess your trades objectively. Celebrate your successes, and equally importantly, learn from any mistakes you make. Continuous improvement is the key to becoming a successful trader.
Remember, trading is a journey, and each trading day presents a new opportunity for growth and learning. Stay patient, disciplined, and true to your trading plan.
Wishing you a rewarding and prosperous trading day ahead!
The Binary Lab
P.S. John Assaraf’s Brain-A-Thon event is back again! 9.00am Pacific Time, this Saturday! Join Free HERE!