publish2017-08-17 12:07 pm

How to Trade Big Market Events in Binary Options ?

Information and knowledge are the keys to profits from stock market trading, each time a trader has a hint or an entire understanding of the company or the national economic situation; he has an edge to anticipate the market response to it. Therefore, with this knowledge, he can anticipate the price moving direction of an assets or even the general market.

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What is Big Market Event?

A big market event is a public disclosure of the current economic situation and the expected projection for the next quarter or year of a country, region, or company. Additionally, any big change in the financial sector of a big corporation or any modification in the interest rate, the exchange rate, taxes or monetary policies are considered big market events.

How to trade big market Events?

·Avoid speculation before the press conferences and economic projections hundreds or rumors are spread creating some price variation. You need to do your research and base on the hard data and more conservative financial’s reports unless you have a strong reason to trade against it. Keep you investing plan until the big market event finished and its expected changes take place.big market events

·Buy your options earlier, after doing your technical analyses and be confident of the projection purchase a call or put for your binary options and wait after the market reacts to it. It would maximize your profits if you were right.

·Forex binary options are the most sensible for government economic press releases; therefore, researching reliable sources and reviewing the financial performance of the interested nations will definitely pay off and give the trader an edge increasing his profits potential.

·Buy your put or call base on your technical analysis, remember that the price represents the entire economic situation. Therefore, it reacts in the same direction as the market.

·Take advantages of your knowledge the short expiration time of the binary options allows you to increase your profits quickly by anticipation correctly the asset’s price moving direction. Here your information is paramount to anticipate it correctly. While others follow rumors, you will know what to expect.

·Buy as many options as you can if you have corroborated the information and the technical analysis agrees entering the market at the beginning of a price trending is a fantastic opportunity to increase your profits potential.

·Be vigilant for the big market events and corroborate your information was right as soon as possible, no matter how secure you are you need to keep tracking it until it is fully disclosed and the market reacts to it.

·Understand the real implications big market event could have a local or regional impact, affecting only particular assets and not the whole market. This part is critical, and you need to anticipate it. e.g. a rise in the USA interest rate may or may not decrease the GBP/USD exchange rate

·Have an emergency plan, nothing is 100% secure or safe, therefore, professional brokers and experimented traders always plan ahead of time in case something goes wrong or they misread the market signs, you need to keep this in mind for every trading options and the market response to the big market events.

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