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Trading Price Action Takes Patience

I’ve talked about being patient over and over again and this is another day where it paid off. So many times traders want to be in a trade just to take a trade. They think too much about taking a trade versus the money that could be lost and becoming successful as a binary options trader. Without patience over trading becomes a habit and this is where accounts go to zero quickly. I keep emphasizing when you take your binary trades that you focus on good price action trades with things working in your favor. Today I waited over two hours to take my trade and it worked out really well.

The trade we were looking at today was on the EURUSD at Bank de Binary. We watched how price action had risen from support level two last night all the way up through resistance two. Price then started to move in the direction of resistance three, but what I did notice was some weakness around this level. A wick candlestick prior to this entry showed an area where I could take my put option. As price moved up to the North Side I entered the trade just below resistance three. Within a couple minutes price had dropped off in our direction. By the time the trade closed out it was a winner by over five pips. After the trade was complete it moved down a bit further before progressing back up to the North Side.

The image below shows the trade in action. As you can see price moved up prior to our entry. We then took our put option during that wick candle where the red arrow is located. Price was still a little weak around this level which lead us to our entry. Had price gotten to resistance three on the original candle it would’ve most likely been the trade of the day. Sometimes you need to use your intuition and take a trade based on the actual move that is occurring in front of you. There is nothing wrong with missing a trade.
Put Option Just Below Resistance 3
About 40 minutes after our trade was concluded price came up and touched resistance three. We mentioned in the video how if price touches resistance three you could take a put option. The more confident move would have been a little bit extended at this level, but it worked really well at this particular level right on the 1.2950 number. This is a half whole number which is not as significant as a whole number of 1.2900, but it still adds a catalyst for you to trade if this was something you were willing to trade. Put options against the trend are okay if the overall trend is not super strong and you have a few things working for you. If price gets back to resistance three it’s more likely to push through it to the North Side, so be aware of this and be careful with your future trading.

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