Author: Editorial Team

ForexPromos Editorial Team is comprised of a selection of hand picked editors that bring you the latest breaking news from the financial markets. We also provide forex educative articles as well as comprehensive fx broker reviews.

Bollinger bands in binary options trading

Trading Articles
Bollinger Bands® are volatility indicators represented by a simple moving average alongside a + and - deviation called the upper and lower bands. A detailed explanation of the Bollinger Band indicator can be found here. Bollinger Bands indicator makes for a great indicator as part of a trading system when it comes to forex. However, with binary options trading, traders will have to pay more attention to price action and Bollinger Bands. Unlike forex, where its easier to enter a trade with a fixed target price, with Binary options, traders need to consider an additional parameter, which is the contract expiry time. So for example, if there was a reversal at the upper bollinger band on the 15m chart, while it hints to a CALL option, the trader would have to choose their expiry times a

Binary Options Hedging explained

Trading Articles
Before we speak about binary options hedging, we need to understand the basic concept of hedging. Although hedging sounds like your neighbor's hobby who's obsessed with his topiary garden full of tall bushes shaped like giraffes and dinosaurs, hedging is a practice every investor should know about. There is no arguing that portfolio protection is often just as important as portfolio appreciation. Like your neighbor's obsession, however, hedging is talked about more than it is explained, making it seem as though it belongs only to the most esoteric financial realms. Well, even if you are a beginner, you can learn what hedging is, how it works and what hedging techniques investors and companies use to protect themselves. The concept of Hedging in trading? The best way to understand hedging...

Is gold still a safe investment option?

Trading Articles
Over the past 2 weeks, gold has seen its biggest two day drop since February of 2010. What bull market goes up in a straight line? But, what triggered this drop? It's simple. If investors believe their future with gold is good, then they will buy gold. If investors believe their future with gold is full of warnings than they will not run to the precious metal. What are examples of "warnings? We see plenty of those and we have plenty of worries to keep even the most experienced investor awake at night. Some examples are: quantitative easing, sovereign debt, currency wars, EURO ZONE problems, and a housing market where 1:7 mortgages are in foreclosure; also inflation, deflation, hyperinflation, etc. Has the ECB done enough to fix its ongoing debt crisis? Is the US Economy truly o...
A newbies guide to understanding Candlestick charts

A newbies guide to understanding Candlestick charts

Trading Articles
Candlestick charts is a form of chart type that was first developed by the Japanese rice traders with the credit going to a particularly successful rice trader by the name Homma (or Homna) from the Japanese town of Sakata. It is said that Homna built a fortune for himself trading rice futures by using the Candlestick charts. The candlestick charts represent price movements of an instrument with each bar representing price movement over a given period of time. Candlestick charts are plotted on an X and Y axis representing Time and Price respectively. Candlestick charting was made popular in the West by Steve Nison with the first Candlestick chart having to appear sometime around 1850's. Today, Candlestick charts have become the defacto chart type across all markets; be it forex or future...

Profit from Binary Options strategies

Trading Articles
Profit generating option strategies is an option strategy that makes money when you enter the position. The profits are generated when you sell options, either selling put option or buying put option.Unlike other binary options strategies, the profit generating option strategies are different because they deal with the point when you enter a position on an underlying asset. Below, we explain some such profit generating strategies that can be easily implemented by new and professional traders alike. Selling naked puts You will get income by selling put.  Naked put is an option put where the option writer does not have a position in the underlying stock. This strategy is used when you want to buy stock, but you think the price is too high. By writing a put, you will get a premium. If th