Trade with the Best Binary Options Robot

Using MetaTrader Charts

Trading ChartBeing a technical trader requires tools to help you decide on a trade direction. When trading binary options you have two choices. Either the price is going to do one thing or another in a certain period of time. The key is to figure out which one it will do. To decide this we like to use charts.

Tip of the Day – Always look at a wider time frame before making your trade

Price charts show how price moves on a time frame basis. You can see how price moves by the second or even by the month. In our case, since we are taking fast moving markets we need to look at shorter time frames. The one minute, five minute and fifteen minute charts will give us enough information to take our trade. To apply these time frames we need a charting package. The best one on the market that is free is called Metatrader 4.0. This charting package is a free trading platform offered by most of the online Forex brokers.

Although it is free, MT 4.0 is very robust. It allows us to find what we are looking for in the asset we are trading. To break it down we will use the image below. Before we continue, there are many ways to go about using the Metatrader charts. This is one way we like to use them.

Trading on a Metatrader Chart

This chart shows a 5 minute EURUSD trading platform.

The chart shows the EURUSD on a five minute timeframe. This means that every green or red bar is equivalent to five minutes. The bars you see are called Japanese candlesticks. You can learn all about candlesticks here. Without going into strategy, you can see how patterns are formed on the chart. This allows us to determine where price may or may not go.

As the price of the EURUSD rises and falls each candle tells a story. You can apply theory to the story by looking at the price action. You can add tools to the chart to help you make educated decisions as well. In this chart you can see a Blue Line. This is called the Pivot Point. It gives us a price point where price may gravitate towards. These concepts will all be discussed throughout the blog. You can also see a purple line. We actually drew this line with the MT4 drawing tool. We placed this in on the chart to show us the whole number of 1.3200. In this chart you can see how price came down to this line and bounced perfectly back up. This would have been a great place to take a call option at your binary broker.

Other things you can do with MT4 is save images, write notes on the chart and print them out. This may help you with your studying as well. If you see similar patterns in the future you may be able take a trade like the one that showed up here.

You have many options when it comes to Binary trading charts. Having a solid charting package can and will save you money in the long run. It may take time to understand all the intricacies of the package, but over time it will come together. Look for more trading example throughout the site.

Trade with the Best Binary Options Robot