Trend strategy for options on regression lines

Linear regression strategy for binary options

A linear regression strategy with a trend in binary options is associated with less risk than a system against the trend. Therefore, most traders prefer them. Just one of such systems is “Regression Lines”.

It is based on two indicators, so working with it is easy and simple. One of the indicators is located on the main chart and shows the price channel.

Another instrument is located in the basement area and gives signals to enter the oversold and overbought zones.

The principle of origin of signals

Purchase PUT option:

Buying a PUT option using regression lines

1. The price channel on the chart goes down;
2. The price breaks it at the resistance level;
3. The indicator in the basement is above -20;
4. On a new candle, a DOWN option is bought for four or five candles.

Purchase CALL option:

Buying a CALL option using regression lines

1. The price channel in the main window is directed upwards;
2. The price is at the support level or breaks through it;
3. The indicator in the basement area is located no higher than -80;
4. On a new candle, an UP option is purchased for four or five candles.

Options are bought only if the specified conditions are met and not at the time of the release of economic news, using from 7% deposit.

As for the timeframe and execution time, the optimal choice would be M5 and an expiration of 30 minutes or M15 and an expiration of 1 hour.

The Regression Lines strategy template with indicators can be found at the link below.

Trading recommendations

Recommended couples: any of the most popular;

Timeframe: M5 and M15 (5 and 15 minutes);

Expiration: 4-6 candles;

Time to trade: except for the release of strong news;

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Template + indicators

To download the linear regression strategy for free - just leave your comment on this article, immediately after that a link for downloading files will appear here.


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