Binary options strategy based on Fibonacci levels: Fibo Wave in an online trading platform with the best conditions!

The use of mathematically calculated Fibonacci levels in binary trading is a popular approach for trading. However, this system does not always adequately respond to market situations and gives a large number of failures.

To increase the effectiveness of the trading strategy, additional analysis tools are used that formalize signals, as a result, combined trading systems are obtained.

The Fibo Wave trading strategy is the result of experimentation and testing, which has shown excellent results and a good amount of profit.

## Fibo Wave Trading Strategy Template

The Fibo Wave binary options strategy template consists of classic Fibonacci levels built using a specialized service and two indicators - a moving average with the Exponential construction type and moving periods 3 and 5.

Here it is worth saying right away that building a strategy template on a third-party technical service will not give the desired result. The thing is that in the binary market, short-term tick charts of underlying assets are used for trading, the construction speed of which does not allow the use of additional technical platforms.

You simply will not be able to respond in time with trading positions to strategy signals. Against this background, there are requirements for the trading terminal. It should support the work of indicators and the Fibonacci levels chart service directly on the trading chart.

Read also -

Simple strategy for 60 seconds: Trend Jump

As an optimal terminal with the necessary list of tools, you can advise here this platform broker.

In addition to the necessary tools, the company offers a number of other services that affect the result:

- Trading conditions with low limits of restrictions - the volume of the trading account is from $10, the cost of options is from $5;

- The speed of processing a trade operation on the market is up to 1.7 ms;

- High-precision quotes of the asset and the stability of the terminal - there are no freezes and slippages;

- Convenient profit monetization service.

So, having installed the necessary analysis tools on the chart, we have at our disposal a Fibo Wave trading strategy template, which looks like this:

## Trading strategy signals

We buy an option UP (Call) when such a picture is formed on the template:

The asset price touches one of the significant Fibonacci levels;

The moving average of the EMA indicator with a period of 3 crosses upwards the level of the EMA indicator 5.

We buy an option WAY DOWN (Put) when the following pattern is formed on the template chart:

The asset price touches one of the significant Fibonacci levels;

The moving average of the EMA indicator with a period of 3 crosses down the level of the EMA indicator 5.

We trade option contracts only after the formation of a complete combination of trading strategy signals.

The use of insurance indicators allows you to increase the effectiveness of the system by 35%, as a result, we get a system with the efficiency of trading signals up to 85%.

Together with the high cyclicity of signals on the tick chart of the underlying asset, the result of trading on this system is the average growth of trading capital by 200% during one active trading week!

### Expiration

Fibo Wave trading strategy indicators have settings that generate signals for turbo options with the shortest expiration periods.

The optimal trading range is an expiration time of 60 to 120 seconds.

During such a period of time, the quotes of the price of the underlying asset will move far enough from the level of the transaction to make a profit on the option and will not be able to fluctuate inversely to the forecast of the trading strategy.

### Money management

Fibo Wave is a high-frequency trading strategy that is characterized by an increased level of trading risks.

For this reason, it is necessary to apply the minimum possible volume of trading funds for the execution of one contract.

Optimal for deposits with initial values (100 - 200 dollars) will be the use of contracts with an initial value of 5 dollars, which are offered on the terminal this broker.

For deposits of the Gold, VIP level, we limit the risk level to 3% from the amount of working capital.