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NADEX WARRIORS

Essential checklists

for traders

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How to Get the Most Out of This Book


Thank you for downloading Nadex Warriors: Learning Binary Options from the Pros. This book
is designed for beginning, intermediate and advanced traders. The authors in this book are leading
experts in trading a variety of financial markets.
As you read this book, you will be exposed to multiple methodologies and checklists for organizing
your daily, weekly, monthly and quarterly trading activities. The chapters in this book are divided into
two sections:

The Game Plan An introduction to the trading methodology. The strategy


is then thoroughly explained along with illustrations and examples.

The Movie A video that completely describes the strategy discussed in the
chapter.

Special Offers If you really like a strategy, you can follow the presenter
and the strategy. There are thousands of dollars worth of trading tools,
indicators, training and mentoring services, books and videos available at
steeply discounted prices.

In short, you will have all of the information you need to trade your new favorite strategy tomorrow.
Some of the things you will learn in this book are:






A simple strategy for pivoting your way to profits


The Sharpshooter method for trading 5-minute binaries
How to use the 80% Rule to make directional trades
How to profit from trading Inverse Currency Pairs on News Events
Trading Crude Oil and Natural Gas News with Binary Options
An Afternoon trade on the GBP/USD and EUR/USD
An All-Day Nadex Trading Plan

At TradingPub, it is our sincere hope that you take away several new ideas you can use when you
are done reading this book. You will also learn about markets that you currently dont trade, and you
may find out if they are suited to your trading personality.
Finally, make sure to subscribe to TradingPub. We provide free eBooks, webinars, on-demand
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setting. Cheers to improved confidence and consistency in your trading and investing activities!
Nadex is a registered service mark of IG Group ltd. None of the authors featured in this eBook
are affiliated with either Nadex or IG Group ltd., and neither Nadex, IG Group ltd., nor their affiliates
sponsor or endorse any of the authors, this eBook, or any other products produced or services
provided by the authors in any way.

Table of Contents
GETTING STARTED WITH NADEX BINARY OPTIONS

PIVOTING INTO PROFITS WITH BINARY OPTIONS

18

By Gail Mercer, TradersHelpDesk.com

trading 5-minute binaries with the


sharpshooter system

25

By Darrell Martin, Apex Investing Institute

the 80% Rule Applied to Binary Options

33

By Sean Jantz, Binary Trade Group

Using Bollinger Bands to Trade Binary Options

39

By Tradn Group

Trading High Impact News With Inverse


Currency Pairs

43

By Khari Lane, Wildcat Investment Strategies

An Afternoon Trade With The GBP/USD And EUR/USD

47

By Krystal Comber, SlickTrade.net

Trading Crude Oil and Natural Gas News with


Binary Options

53

By Cam White, TradingPub

a full day of trading Opportunities with Controlling


Candlesticks
By Cam White, TradingPub

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Getting Started with Nadex


Binary Options

If you trade Stocks, Options, Futures or Forex, every decision starts with your opinion about
the direction of the market you are trading. Is the market on an uptrend, downtrend, or is it
trading sideways? Once you have determined the direction of the market, then you must
decide which trading strategy gives you the best edge. Is it a trend-following strategy, or is it
a scalping/fading strategy for a sideways-moving market? Finally, how do you manage your
trade to minimize your risk and maximize your gains? What are the best entry opportunities?
Where do you place your stops and take profit targets?
Trading involves risk, which needs to be carefully managed. If you trade heavily leveraged
instruments like futures or forex, it is possible to lose substantially more than your initial
investment. On January 15, 2015 the Swiss Franc flash crash blew through stops and
caused many Forex brokers and traders to incur huge losses. Sudden market moves
routinely stop-out trades, which can be a source of frustration for many.
If you want the certainty of trading in an environment where your maximum risk and reward
are known in advance, then Nadex binary options and Nadex spreads may be the instrument
that is best suited to your trading personality.

What is Nadex?
Nadex is the North American Derivatives Exchange. Based in Chicago, Nadex is a whollyowned subsidiary of the IG Group, an international trading company that is headquartered
in London and listed on the FTSE 250 exchange. Here are a few other facts about Nadex:

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Nadex is a US federally regulated exchange Nadex is subject to strict oversight


and regulation by the U.S. Commodity Futures Trading Commission (CFTC).
All member funds are held in a segregated bank account with a major
banking institution.
No Broker Needed When you place a trade with Nadex, your order is placed
directly on the exchange and not through a broker.
Full transparency on every trade Nadex does not take positions on any
trades, so they have no vested interest in whether your trade wins or loses. Nadex
receives revenues from charging a small $.90 cent execution fee and a $.90 cent
settlement fee per contract traded. Nadex employees are not allowed to trade
Nadex.
Nadex is now available in 47 countries Nadex was previously only available
to legal residents of the United States, Canada, Mexico and US Territories. As of
March 2015, Nadex is now available in 49 countries.

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What are Nadex Binary Options?


Nadex binary options can best be described as True or False trades. With Nadex, you
are making a trading decision about the likely direction of a major index, commodity, forex
pair, etc. relative to a fixed strike price within a defined time period of your choosing.
Nadex binary options contracts are valued at exactly $100 per contract. That means the
absolute most you can make or lose per contract traded is $100. When you place a trade
with Nadex, you always know your maximum profit and maximum loss before you place your
trade. Nadex is a federally regulated exchange (CFTC) that matches buyers with sellers for
every contract traded. If you buy a Nadex contract on Gold futures at $60 risk per contract,
then Nadex matches you with a seller who is risking $40 per contract, for a sum total of
$100. When the trade expires, one person is right and one person is wrong. The winner
receives $100, the loser receives $0.
Nadex makes money by collecting $.90 cent trade execution and settlement fees, per
contract traded. Execution and settlement fees are capped at 10 contracts per trade. That
means if you have a successful trade with 10 contracts trade, your execution and settlement
fees would be $9.00 per side or $18.00 round-trip. If you traded 20 contracts on the same
trade your total exchange fees would also be $18.00.
One of the best features of Nadex is that you are not charged a settlement fee if your
trade expires out of the money for a full loss. You are only charged for the $.90 execution
fee, per contract.
Nadex does not take positions in any of the assets being traded, so you are never trading
against the house. Rather, Nadex facilitates transactions between your opinion on a
proposition, and another trader who takes an opposing opinion on the same proposition.
Placing trades on Nadex can be easily broken down into a few simple steps:
1. Everything starts with your opinion on the direction of a market. Is it on an uptrend,
on a downtrend, or is it trading sideways?

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2. Choose the asset you want to trade:


a. Major Stock Indices (S&P 500, NASDAQ, FTSE, DAX, etc.)
b. Commodities (Crude Oil, Gold, Silver, Natural Gas, Soybeans, etc.)
c. Forex Pairs (GBP/USD, EUR/USD, GBP/JPY, USD/CHF, etc.)
d. Bitcoin and News Events
3. Select your contract expiration timeframe, depending on your trading personality:
a. Weekly Expiration (close of Market on Friday)
b. Daily Expiration (close of Market daily)
c. Intraday Hourly Expiration
d. 20-minute Binary Options (US Indices Only)
e. 5-minute Binary Options (Selected Currency Pairs)
4. Select a Nadex Strike Price, and determine if you are going to BUY or SELL.
a. How many contracts do you plan to trade?
b. What is the price you are willing to pay for each contract?
c. Once you have made your decision, place your order directly on the
exchange.
5. Once your trade is accepted, you have two options to manage your trade:
a. Let the trade run until expiration and collect your maximum profit or lose
your maximum risk.
b. Or you can choose to exit your trade early and lock in profits or minimize
losses.

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How to Place an order with Nadex

On this order ticket, we are looking at the US 500 Market (S&P 500 Futures)
1. Contract: US 500 (Jun) >2075.0
2. Date: April 7, 2015
3. Expiration of Contract: 4:15pm EST (close of market)
4. Time left until expiration: 55 min., 35 sec.
5. Nadex Indicative Index: Current price of the market is 2076.750
6. Offer/BUY Price: $69 ($69 max risk/$31 max reward)
7. Bid/SELL Price: $63 ($37 max risk/$63 max reward)
8. Size: Number of contracts being traded
9. Price: Price per contract traded
a. The price box is automatically populated with the current bid/offer price for
a market order.

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b. You can manually adjust the price to reflect a better risk/reward. When you
do this the order will become a working order and will only become an
active order if there is a market for your order.
10. Max Risk: $69 to BUY this contract
11. Max Reward: $31 to BUY this contract
At a glance, the Order Ticket gives you everything you need to know about this contract.
Summing it all up heres how you place an order with Nadex:
Make a decision about the probable direction of a market
Select the expiration time you want
Select a Nadex strike price
Are you BUYING or SELLING this proposition?
How many contracts?
At what price?

Lets take a look at an example of a Nadex trade on the Germany 30 (DAX) Index:

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In this example using the Germany 30 (DAX) Index, we are looking at a trading period
starting at 7am EST, and expiring at 9am EST. The market had been on a downtrend going
into the 7:00 hour, where a reversal started to occur. At 7:25am, the market was at 10734.
Where would the market be at the 9:00 expiration?
With 1 hours left in the trade, Nadex offered three nearby strike prices to choose from on
the strike price ladder on the right side of the chart:

At the Money Trade (<10734) For this statement to be TRUE the market
would have to expire ABOVE 10734 at the 9:00am expiration. The statement is
FALSE if the market expires at or below 10734. Since the market is currently at
10734, buyers and sellers for this statement are almost evenly split.
If you place a BUY order on this proposition, then you will incur a $54.50
maximum risk, in order to make a $45.50 maximum reward. Nadex deducts
$54.50 from your account, plus a $.90 cent execution fee. If the market
expires above 10734 at 9:00am, you receive a $100 payout, less a $.90
settlement fee. If the market expires at or below 10734 at 9:00am, you
receive a $0 payout.
If you place a SELL order on this proposition, then you will incur a $52.00
maximum risk, in order to make a $48.00 maximum reward. Nadex deducts
$52.00 from your account, plus a $.90 cent execution fee. If the market
expires at or below 10734 at 9:00am, you receive a $100 payout, less a
$.90 settlement fee. If the market expires at or below 10734 at 9:00am, you
receive a $0 payout.

In the Money Trade (>10714) If you are a BUYER, this strike price is in the
money, since the current market at 10734 is already significantly above that strike
price of 10714. Since the probability of a successful expiration is much greater
at this strike price, you are risking a maximum of $83.50 to make a maximum
of $16.50. Nadex deducts $83.50 from your account, plus a $.90 cent execution

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fee. If the market expires above 10714 at 9:00am, you receive a $100 payout,
less a $.90 settlement fee. If the market expires at or below 10714 at 9:00am, you
receive a $0 payout. The marketplace of buyers and sellers has determined that
theres an 83.5 percent chance that this trade will expire above 10714.
If you are a SELLER at this strike price, then you are placing an out of the money
trade. Since the probability of a successful expiration is much lower at this strike
price, you are risking a maximum of $23.00 to make a maximum of $77.00. Nadex
deducts $23.00 from your account, plus a $.90 cent execution fee. If the market
expires at or below 10714 at 9:00am, you receive a $100 payout, less a $.90
settlement fee. If the market expires above 10714 at 9:00am, you receive a $0
payout. The marketplace of buyers and sellers has determined that theres a 23
percent chance that this trade will expire at or below 10714.

Out of the Money Trade (>10754) If you are a BUYER, this strike price is out
of the money, since the current market at 10734 is already significantly below that
strike price of 10754. Since the probability of a successful expiration is much lower
at this strike price, you are risking a maximum of $25.00 to make a maximum of
$75.00. Nadex deducts $25.00 from your account, plus a $.90 cent execution
fee. If the market expires above 10754 at 9:00am, you receive a $100 payout,
less a $.90 settlement fee. If the market expires at or below 10754 at 9:00am, you
receive a $0 payout. The marketplace of buyers and sellers has determined that
theres a 25 percent chance that this trade will expire above 10754.
If you are a SELLER at this strike, then you are placing an in the money trade.
Since the probability of a successful expiration is much higher at this strike price,
you are risking a maximum of $81.50 to make a maximum of $18.50. Nadex
deducts $81.50 from your account, plus a $.90 cent execution fee. If the market
expires at or below 10754 at 9:00am, you receive a $100 payout, less a $.90
settlement fee. If the market expires above 10754 at 9:00am, you receive a $0
payout. The marketplace of buyers and sellers has determined that theres an
81.5 percent chance that this trade will expire at or below 10754.

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Lets take a look and see how this trade played out:

At 9:00am, the market expired at 10761.567

If you placed the At the Money BUY order at >10734, your trade would have
expired in the money for a $100 payout and a full profit of $45.50, less a $.90 cent
settlement fee, per contract traded. If you had placed SELL order at >10734, you
would have received $0 at expiration.
If you placed the In the Money BUY order at >10714, your trade would have
expired in the money for a $100 payout and full profit of $16.50, less a $.90 cent
settlement fee, per contract traded. If you had placed SELL order at >10714, you
would have received $0 at expiration.
If you placed the Out of the Money BUY order at >10754, your trade would have
expired out the money and you would have received $0. If you had placed SELL
order at >10754, you would have been in the money, for a $100 payout and a full
profit of $18.50, less a $.90 cent settlement fee, per contract traded.
Depending on your technical analysis, and your risk/reward preferences, there are many
ways to trade with Nadex binary options.

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Advantages to trading with Nadex:


As long as your trade is active, you cannot be stopped-out. The only thing
that matters is where the price of the market will be at expiration. If you hold your
contract until expiration, your payout will be either $100 or $0 per contract.
You always know your maximum risk and maximum reward before you place
your trade. There is no way you can lose more than your original investment in a
trade. There are no margin calls with Nadex.
You are making an Up or Down decision about the market relative to a
strike price. With Nadex, you are not counting pips. If you win by one pip, you
win the full profit at expiration. Conversely, if you lose by one pip. You forfeit the
amount of money you risked in the trade.
You can trade multiple markets with Nadex:
Popular Indices
Commodities
Forex Pairs
Bitcoin and News events
If your trade expires out of the money for a loss, you are charged an execution
fee, but you are not charged a settlement fee.
Nadex is a regulated exchange
Nadex is headquartered in Chicago, and is regulated by the CFTC
All member funds are held in a segregated account
Nadex does not take positions in any of the instruments the offer for trading

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You can open a Nadex trading account for as little as $100.


Unlike other trading accounts that can require initial investments of $5,000,
$10,000 or $25,000, you can get started trading with Nadex for a fraction of
the cost of other instruments.
No Broker Required When you place an order with Nadex, your order is placed
directly on the exchange. Instead of paying broker commissions, you are charged
$.90 cents per contract, per side ($1.80 round trip fees per contract). The maximum
commission you will ever pay on one trade is $18.00 (10+ contracts)
Nadex is now open in 47 countries Nadex was previously available only to
legal residents of the United States, Canada, Mexico and U.S. Territories.
Opening a Free Nadex Demo Account

It doesnt get much simpler to open up a 2-week Nadex Demo account, funded with $25,000
in play money. Just create a demo name and provide your name, telephone number and
email address.
You will have complete access to the entire Nadex Trading Platform for 2 weeks. Use your
favorite trading strategies or the strategies in this book and see if Nadex is right for you. Click
Here to sign up for a free 2-week Nadex demo account.
If you have already looked at Nadex and want to fund a live account for as little as $100,
then click here. Once you have placed your first trade, your Nadex demo account will be
extended for up to a full year.

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Free Links to Nadex Resources:


The Probability Report: This monthly blog newsletter lists a calendar of free
weekly educational webinars hosted by Nadex, along with articles and videos
explaining how to trade with Nadex. The Probability Report is free and produced
by TradingPub.
TradingPub Nadex Library: TradingPub maintains a growing library of Nadex
articles, webinars and videos.
The Inquisitive Trader Blog: TradingPubs Cam White takes a look at Nadex
trading strategies, and routinely breaks down Nadex trades in his Trade of the
Day column.
The rest of this book is dedicated to Nadex trading strategies you can test tomorrow. If you
havent tried Nadex, make sure to load up your free demo account to get started!

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Open a Free Nadex Demo Account and Get the Most out of this Book!

Its as Easy as 1-2-3!


1. Go to the Nadex Demo Page
2. Create a unique demo user name
3. Fill in your name, telephone number and email address
Thats it! You will have access to a free 2-week Nadex demo platform funded with
$25,000 in play money. Use your Nadex demo account to test your favorite strategies
in this book.

17

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Pivoting Into Profits with


Binary Options
By Gail Mercer, TradersHelpDesk.com

The Pivoting into Profits trade strategy utilizes candlestick formations with support and
resistance from a higher timeframe. Since the Pivoting into Profits trade setup projects
where price will likely go, risk can be lowered by using Out of the Money (OTM) binary
options versus the more expensive At the Money (ATM) options. Additionally, since using
out of the money binaries lowers the risk, profit potential is increased.
The beauty of the Pivoting into Profits Strategy is that it can be used on any timeframe and
any market. To determine your expiration, calculate a minimum of 3 bars moving in your
direction for the timeframe you are trading, i.e. a 5 minute trading timeframe equals a 20
minute binary option, a fifteen minute trading timeframe uses a two hour binary expiration,
or if using a sixty minute timeframe use a daily expiration, or if trading a daily timeframe, use
the weekly expiration.
Before discussing the trading plan, lets identify the candlestick formations that are required
at the levels of support and resistance. The only candlestick formations that are used in this
trading strategy are:
Doji Bar signals an immediate reversal
3 Bar Reversal signals that the next few bars should go in the opposite direction.
If the 3 bar reversal was off a high, then few price bars should go down for the next
few bars. If the 3 bar reversal was off a low, then the next few price bars should
go up.
Engulfing Bar signals that the next few bars should go in the opposite direction.

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If the Engulfing bar forms a low and closes up, then the next few bars should go
up. If the Engulfing bar forms a high and closes down, then the next few bars
should go down.
All three of these candlestick formations are considered to be price pivot points, so they work
very well with the Daily Pivots for support and resistance.
Doji bar

Doji Bar must make a new high or low

3 Bar Reversal A three bar reversal is formed when the center bar is either
higher or lower than the bar before it and after it.

3 Bar Reversal Upward movement anticipation

3 Bar Reversal Downward movement anticipated

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Engulfing Bar Requires two bars and is formed when the 2nd bar exceeds both
the high and low of the previous bar.

Engulfing Bar Upward Movement anticipated

Engulfing Bar Downward movement anticipated


The trading plan for the Pivoting into Profits is simple.
Price must be at an area of support or resistance (pivot line, support line, or
resistance line)
Look for signs that the area will either support price (anticipate upward movement)
or resist price (anticipate downward movement)
One of the three candlestick formations occur indicating that the pivot lines
are working as support (line is below price) or resistance (line is above
price)
Doji

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3 Bar Reversal
Engulfing bar
Entry is one strike price away from the binarys current price
Anticipation is that price will go to the next level of support or resistance. Since
you are entering at one strike price out, your risk to reward is a minimum of 1:1
and sometimes greater.
If there are high volatility market reports scheduled, wait until after the reports are
released before entering a trade using this strategy.
For example, the EURUSD 15 minute chart showed that price was consolidating around the
pivot line on Tuesday, August 25th. Then at Point A, a 3 bar reversal is formed as the center
bar is higher than the bar before and after (Point A). The prior days resistance line is also
acting as resistance (Point B). Anticipation is that price will test the 1.1520 area, which is the
next area of support. Price is trading at 1.1560 so I enter with ten contracts one strike price
out at 1.1540, expiration at 7am New York time, with a risk of $36.25 per contract or $362.50
trading ten contracts.

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Price then breaks down through the pivot area (Point A) reaching the support line (Point
B). Price retraces to test the pivot line again (Point A) to ensure that the pivot act will serve
as resistance, in essence pushing price down again (typical price behavior because when
support is broken, they will retest the area to ensure it is acting as resistance).
Price expires less than 1.1540 as anticipated resulting in a profit of $63.75 per contract or
$637.50 trading ten contracts (exchange fees not included). The trade resulted in a 174.69
return on investment or a risk to reward of 1:1.75.

Then on Monday morning the Japan 225 chart showed that price was at a pivot line and a
3 bar reversal to the downside formed. I entered a short binary position at the 18850 strike
price with ten contracts risking $37.25 per contract or $372.50. Price moved in my favor and
expired below the 18850 strike price as anticipated resulting in a gain of $62.75 per contract
or $627.50 trading ten contracts.

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Thats all there is to this trading strategy. Candlesticks, support and resistance have been
used for many years in trading futures and forex. This trading strategy simply takes the
same approach that we use when trading futures and forex markets and applies it to trading
the binary options.

The Movie
Click Here for a complete explanation on how to improve your trading using candlestick
formations and key pivot points with this strategy.

Special Offer
The Pivoting into Profits is also one of the trading strategies that I use for my Binary Trading
Signals Subscription service, which is only $99 per month. I do a webinar each Sunday
advising clients where to find the signals and then send out emails for upcoming trade
setups. To subscribe to this special offer, click here.

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ABOUT THE AUTHOR


Gail Mercer, is a highly respected trader, trainer, author, and speaker residing
in North Carolina. She has over 15 years of experience in trading and in
the development of custom indicators. She is a successful author and has
published two ebooks and is also a contributor to Stocks & Commodities and
Benzinga.com. She has been recognized as an authority on Volume Analysis
and has been asked to speak at the Traders Expo, Traders World, Wyckoff Conference, and
Tradestation User Groups.
Gail is also the founder and CEO of TradersHelpDesk, and is dedicated to helping traders
achieve success. Her unique methodology is rooted in her philosophy that success depends
not on a traders indicators but the ability to remain focused and responsive to price. Selfresponsibility, another cornerstone of her work, provides the mirror for what a trader needs
to learn about him- or herself in relationship to the markets. Working with both the inner and
outer aspects of trading, Gail provides an integrated and holistic blueprint for prospering in
the markets.
To read Gails published articles in Stocks & Commodities, Benzinga, Trading Charts, and
TradesWorld, click here.

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Trading 5-Minute Binaries with


the Sharpshooter System
By Darrell Martin, Apex Investing Institute

The Sharpshooter System is a new system that is working extremely well for five-minute
binaries traded on Nadex at Apex Investing. It is a simple system with only a few easy rules
to follow. Part of what makes this system work so well with ATM (At The Money) binaries
is because it waits for a pullback. This is the reason the rules say to put in a working order.
If your order is picked up, that is great. If it does not, you just delete it. You were probably
kept out of a bad trade.
The Sharpshooter System has been proven to work on five-minute binaries. You can trade it
on AUD/USD, EUR/USD, GBP/USD AND USD/JPY all at the same time. This gives you four
markets offering trades that expire every five minutes, (excluding the top of the hour), which
is 11 trades per hour per market for the total of 44 trading opportunities per hour!
Using the new Nadex Binary Scanner available at Apex Investing Institute, you can watch all
four markets at the same time with no switching between screens. You can also utilize the
scanners tear off function and set the strikes for each market right below each of the charts
for added convenience. With the scanner, you will never need to refresh to see the markets
you are trading again.

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The images above are examples of using the tear off tickets with five-minute binary charts
and the Sharpshooter System.
The rules are simple:

Sell:
1. Trend flip is red.
2. Trend band is red (top band and fill color)
3. The Trend confirm must be solid red.
4. Volume MUST be exceeding.
5. As soon as the setup bar closes, enter a working order for around $50 risk at the
high of the setup bar. (This will get you in on a retrace if there is one and keep you
out if there is not.).
6. If the working order is executed into an open position, you can set a take profit at
around $10 to make approximately $40.
7. If the working order is not filled by the start of the last bar of the 5 minutes, cancel
it. No trades should be taken on the last bar of the expiry.

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Buy:
1. Trend flip is green.
2. Trend band is green (top band and fill color).
3. The Trend confirm must be solid green.
4. Volume MUST be exceeding.
5. As soon as the setup bar closes, enter a working order for around $50 risk at the
low of the setup bar. (This will get you in on a retrace if there is one and keep you
out if there is not.)
6. If the working order is executed into an open position, set a take profit at $90 to
make approximately $40.
7. If the working order is not filled by the start of the last bar of the 5 minutes, cancel
it. No trades should be taken on the last bar of the expiry.

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One note of caution: If a trend band is collapsing, that may be an indication of a possible
reversal.
Trend Band, Trend Flip, Trend Confirm. All of these phrases may sound like a foreign
language to you if you are not familiar with the indicators used at Apex Investing. The new
Nadex Scanners for both Binary Options and Spreads are powerful components that not
only help with the Sharpshooter System but also can help you with all of your trading. They
are available free at Apex. The speed alone will amaze you, but the binary scanner is
essential for trading five-minute binaries.

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The image below shows a screenshot of the Nadex Binary Scanner.

As you can see, there are settings that allow you to see only what pertains to what you want
to buy or sell. You can tell it to find only five-minute ATM AUD/USD strikes, if that is what
you want.
You can click an icon that will pull up a Nadex order ticket where you can set it for the price
or the strike level that you would like your order to be filled. If it is a working order, and you
are following the rules as stated above, if the market hits your specifications, your order will
get filled. If it does not get filled, you would cancel your order by the last minute of the fiveminute trading time. If it does get filled, you would then set your take profit as defined in the
rules above. You are able to do all of this on the scanner making trading quick and easy.

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No jumping back and forth between screens! When you are trading five-minute binaries, no
one has time to jump back and forth! You will waste time and may miss some good trades.
As stated in the rules, you want to buy/sell as close as you can get to $50, setting your take
profit so that you make around $40. The $50 defines your risk. On a day when the markets
are ranging, you may want to consider a smaller take profit.
As with any new-to-you strategy or system, try it out in Demo first. Make sure you understand
how it works with funny money before you risk your real money.

The Movie
A recent Apex Investing webinar explains the Sharpshooter System in full detail. It can be
viewed in its entirety, simply CLICK HERE.

Special Offer:
Free Scanner with immediate submit
Free Education
Free Deviation Levels
Two-Week Trial for only $7 on Sharpshooter with access to Spread and Binary options,
Futures and Forex Trading Rooms. Check it out at www.apexinvesting.com

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About the Author


Darrell Martin coined the phrase Diagnostic Trading. He defines Diagnostic
Trading as looking at how fundamental, technical, statistical, and seasonal
traders look at the market and then using that knowledge to help more
accurately establish a trading plan. Darrell is the host of his daily radio show
The Diagnostic Trading Hour and a cohost of the Bull/Bear Binary Hour
with Steve Rhodes and Tommy OBrien. He also conducts webinar and live training courses
on futures, forex, options, equities, Nadex binaries and Nadex Spreads. He is an official
educational partner of the Nadex CFTC regulated exchange in Chicago.

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The 80% Rule Applied


to Binary Options
By Sean Jantz, Binary Trade Group

If I was forced to only use one indicator it would be hands down the free Market Profile
tool. Using Market Profile on Futures, youll be able to draw a Value Area which is a very
powerful tool for support, resistance and trend analysis. Having the Value Area drawn on
your chart, you can take one second to analyze the chart and know is bearish, bullish,
trending, overbought, oversold or in fair value.
Value Area: The Value Area represents the range of prices that contain 70% of a days
trading activity. This 70% represents one standard deviation and reflects the area where a
majority of the trading occurred. It is most commonly referenced to yesterdays trading and
used as reference points for the current day. Make sure to click on the video at the end of
this chapter to see how you can set up the Value Area on your charts.
There are several ways to profit from the Value Area box on your chart and in this chapter
Im going to cover the most lucrative way, the 80% Rule. The 80% Rule is best explained
visually. Basically, you can see in the pictures, if price comes outside of the Value Area box
and comes back inside for at least 30 minutes to 1 hour, then there is an 80% chance that
price will fill the box to the downside or to the upside.

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I know what you might be thinking and I get this asked a lot, - It cant be this easy, right?? I
thought the same thing when I first started trading with Value Area, but now Im a believer of
this system and no other pattern or system has made more money than this Rule. It doesnt
happen every day, it happens roughly 3/10 days on the /ES (S&P 500 Futures) and when it
does setup, you can make your entire week or even monthly profit on just one trade.
Lets see how this plays out in the markets on September 2, 2015:

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The emini S&P 500 futures (/ES) climbed above and through Value Area High just before the
Opening Bell. At 9:30, the market reversed and broke back into the Value Area Box. If you
were convinced the 80% rule would come into play, there are 3 options you could consider:

1. An In-the-Money (ITM) SELL at around 1940. Your risk might be $75 to make
$25 on this high probability trade.

2. An At-the-Money (ATM) SELL at around 1932. You would risk $50 to make $50.
3. An Out-of-the-Money (OTM) SELL at around 1920, risking $25 to make $75.
If you chose an 11:00am expiry, the first two trades would have expired in the money for full
profit. The OTM trade would not have expired in the money, but you would have had ample
opportunity to take profit before expiry.
Every evening, I setup the Value Area for the next trading day on the S&P 500 Futures,
Russell 2000 Futures, Gold Futures and Crude Oil Futures and I share my ThinkorSwim
workspace with members of the Binary Trade Group members so they can load have it ready
for the next trading day.

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I also do nightly Trade Plan videos doing in depth analysis on the Indices Futures so myself
and anybody who wants to trade with me never goes into a trading morning in the dark.
When you start your trading day, your ThinkorSwim charts are populated with the days
Value Area Box, along with key support and resistance areas. You can also watch the battle
plan to get my take on the markets before the Opening Bell.

The Movie
In this video, you will learn about the Value Area and the 80% Rule. You will learn how to
set it up and how to use the Value Area to make trading decisions. Click Here for the video.
Heres the training on the 80% Rule in more depth with live examples and examples from
Sean Jantzs nightly trade plans. Trade with the Value Area on your charts for 3 months and
youll never trade without it again. Want to learn more? Heres a quick tutorial about Binary
Trade Group and what we do and what we offer. We offer extensive NADEX education and
strategies all for free.

Special Offer
Spend 14 Days with the Binary Trade Group and find out if its right for you. You will have
access to our Private Facebook Room, and will be able to access our trading plan and the
tools described above. Just visit www.binarytradegroup.com to get started.

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About the Author


Sean Jantz, the Founder of Binary Trade Group, is a fairly new, successful trader
who saw the need for more simplification in the marketplace for ordinary people
trying to bust through into the markets. Seans journey to profitability was filled
with courses, books and videos that sounded great, but nothing seemed to make
sense, or he just didnt understand how to apply the teachings. Now, he has a
knack for simplifying charts and terminology by using layman terms and using real world
analogies so newer traders can keep up. He likes to say, If you cant explain it to a 3rd
grader, then you cant explain it.
Binary Trade Group is all about traders helping traders. Trading alongside others and
learning from profitable NADEX traders dramatically speeds up the learning curve. BTG
aims to keep NADEX simple but effective. Take a FREE sneak peek at BTG and visit www.
binarytradegroup.com!

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Open a Free Nadex Demo Account and Get the Most out of this Book!

Its as Easy as 1-2-3!


1. Go to the Nadex Demo Page
2. Create a unique demo user name
3. Fill in your name, telephone number and email address
Thats it! You will have access to a free 2-week Nadex demo platform funded with
$25,000 in play money. Use your Nadex demo account to test your favorite strategies
in this book.

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Using Bollinger Bands to Trade


Binary Options
By Tradn Group

Bollinger Bands are a technical indicator used to measure the volatility of any market. They
consist of a center moving average and two price channels above and below that are referred
to as the bands.

When there is little or no movement in the markets, the bands narrow. When theres a lot
of movement in the market, the bands broaden. You can also get an idea of the strength
of the market by the degree of the incline or decline of these expansions. Quite often, the
market will bounce off the Bollinger Bands, touching the top band and moving back toward
the bottom band.

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The bands act as dynamic support and resistance. Traditional support and resistance
levels are plotted by horizontal lines. Dynamic support and resistance levels are constantly
changing depending on price action. Many traders play the prices being rejected off the
bands as Bollinger Bounce plays.
When Bollinger Bands squeeze together, it can signal accumulation and communicate an
imminent breakout to the upside or to the downside. If a breakout occurs, traders can get a
sense of an extreme market condition by observing how high or low the market travels on the
breakout. The further it climbs away from the center moving average, the more likely it will
snap back. Bollinger Bands are best used in conjunction with other indicators and patterns.
Now lets take a look at a recent trade setup with Bollinger Bands and the MACD on the
GBP/USD:

On this 15-minute chart, you can see how the market bounced off the upper, lower and
middle bands. At 6:00 in the morning, the GBP/USD bounced off the bottom band, followed
by a bullish MACD crossover. At that moment, you have a few of trading possibilities:
1. In the Money (ITM) BUY at 1.5260, risking probably $70 to make $30, or
2. At the Money (ATM) BUY at 1.5280, risking $50 to make $50
3. Out of the Money (OTM) BUY at 1.5300, risking possibly $30 to make $70

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If you chose a 3pm expiry, all three of those trades would have settled in the money for full
profit.
Bollinger Bands can be a very useful tool for make decisions when it comes to trading binary
options. They are one of the many indicators we provide education on at Tradn Group.

The Movie
Make sure to watch this short presentation on using Bollinger Bands to trade binary options.
Click Here for the video.

Special Offer
Traden Group is unveiling a brand new website with expanded services to its members. Visit
www.tradengroup.com to view all of the services included in your subscription. Use promo
code TGPRO2016 to get a 15% discount off your monthly subscription price.

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NADEX WaRRIORS

About Tradn Group


Tradn offers an online social platform which also invites
traders both new and professional. Connecting traders with
other traders, whether new or professional everyone has
the chance to earn an income from anywhere in the world. The social platform will allow
traders to have their own story on a certain topic within the day trading industry, people can
follow other traders and see all of that and also what recent profitable trades theyve taken.
Offering an abundance of education for NADEX and Forex to ensure everyone has access
to fundamental information and successful strategies, as long as they are willing to put in the
time commitment to actually learn and implement their plan for success.
Stefan Katanic - Prior to Tradn he was a talented investment advisor with exceptional
understanding of financial investing and demonstrated track record developing profitable
relationships with high-net worth individuals and a passion for entrepreneurship.
Zachary Hogan Passionate about entrepreneurship and understanding innovative ways
to view and expand upon ideas, realizing the importance of clarification and considering all
possible outcomes for the best user experience through integrating technology.
Eddie Viteri Passionate about the financial markets and creating simple and effective
methods, integrating trading into lifestyle since 2009 thoroughly testing and studying
advanced yet unique ways to profit regardless of the style of trading.

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Trading High Impact News with


Inverse Currency Pairs
By Khari Lane, Wildcat Investment Strategies

On the first Friday of every month, the Nonfarm Payroll reports are released at 8:30am
EDT. The report measures the change in employment during the previous month, excluding
the farming industry. If the reports significantly miss analysts estimates to the upside or
downside, it can have a dramatic impact on the markets.
One way to trade in advance of the NFP reports is with Inverse Currency Pairs. With Inverse
currency pairs, you are making two out-of-the-money (OTM) trades. One trade has a
currency in the numerator of the currency pair. The next trade has the same currency in the
denominator. Heres an example:
USD/JPY - The USD is the numerator
GBP/USD - The USD is the denominator
If news is bullish for the USD, the USD/JPY is likely to be bullish, while the GBP/USD will
be bearish. It news is bearish for the US Dollar, then the USD/JPY will likely be bearish, and
the GBP/USD will be bullish.
These two currency pairs were selected to be traded in advance of the Nonfarm Payroll
Reports (NFP) on Friday, September 4, 2015. Since the news cant be known in advance,
the decision was made to SELL both pairs with OTM binary options trades risking no more
than $20 per trade, on average. The following trades were placed at 8:21, just before the
release of the reports:

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For this trade to be successful, one trade would have to win and the other trade would have
to lose.
When the reports were released at 8:30 am, the news was BULLISH for the US Dollar. The
USD/JPY rose rapidly, while the GBP/USD tanked. Since I had SELL orders on both pairs,
the market worked in favor of the GBP/USD trade and against the USD/JPY trade. Heres
how the GBP/USD trade played out:

The market dove sharply, then ground its way past the OTM strike price expiring for a full
profit of $79.25 at the 11:00am expiry (exchange fees not included). For the GBP/USD to
win, the USD/JPY had to lose, and it did:

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The end result was a $61.49 profit on $38.50 risked (exchange fees not included).
Inverse currency pairs are one way to look at trading major news events, especially if a
traditional strangle doesnt give you the risk/reward you are looking for. The worst case
scenario? The market doesnt react to the economic news at all. In that event you may wish
to consider exiting your positions to minimize losses, if possible.

The Movie
Click Here to watch Khari Lane explain how inverse currency pairs work.

Special Offer
At the time of this publication, Khari is launching a new website, with new services
and products that will be offered. Visit www.wildcatinvesting.com for updates.
Join the Wildcat Investment Strategies Facebook Group for strategies and
updates.

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About This Author


Khari Lane is the CEO and founder of Wildcat Investment Strategies LLC.
At Wildcat, we are dedicated to helping ordinary people learn how to trade
and developing existing traders into professionals. We focus on teaching
the NADEX platform to help grow and expand the platform. We want to
help bring NADEX to everyone as it allows everyone to be more versatile and potentially
make a lot of capital with proper knowledge and dedication to trading. We look forward to
teaching you more methods on how to become a profitable trader.

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An Afternoon Trade with the


GBP/USD and EUR/USD
By Krystal Comber, SlickTrade.net

The Afternoon Delight trade has been extensively tested on the GBP/USD and EUR/USD
currency pairs, and it is very consistent and super simple to execute if a setup is in play.
The trade requires two components:
15 minute charts on the GBP/USD
MACD
If you see a crossover after 12:00pm EDT, a trade setup is in play. It really doesnt get much
simpler. For full details on this strategy, make sure to watch Krystals short video at the
bottom of this blog.
Here are the steps you need to take to execute the GBP/USD Afternoon Delight
trade.
Select the 7pm daily on the Nadex platform.
Look to see the overall trend direction from the start of the New York Session.
If it was bearish (downward movement) then you will be looking to Buy after you
receive confirmation of trend direction change.
If the trend was bullish (upward movement) then you will be looking to Sell after
you receive confirmation of trend direction change.
If there is any news on GBP or USD during the hours of 12pm 7:15pm (EST)
avoid trading the strategy that day.

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Once the cross occurs on the MACD, wait for full formation of the current 15
minute candle.
If the trend direction was bearish, then you would purchase a Buy at the lowest
point of the body of the candle where the cross occurred.
If the trend direction was bullish, then you would purchase a Sell at the highest
point of the body of the candle where the cross occurred.
I normally place a market order and a working order on this strategy. Many times
the strike gets tested for the next few hours, so setting a working order in addition
to the market order can give you additional profit possibilities overall.
Thats it!

Afternoon Delight Trade - Thursday, July 16 2015

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On this 15-minute Nadex chart, the MACD crossover occurred at 3:15pm EDT. The market
then moved below the T-Line (8EMA, shown in purple) and started to grind its way down.
The decision was made to SELL the GBP/USD from 1.5620, which was a position of safety.
Since the probabilities were high that this trade would be successful, I risked $72.72 to make
$27.25. The trade was never threatened. Ive been trading this strategy for several months,
and I have been rarely disappointed, so I wasnt too worried.
It is important to note that if the market suddenly decided to reverse and attack my position, it
would be very wise to bail out and cut losses. But that wasnt the case yesterday. As it usually
does, the market just continued to drift downward, and this trade was never threatened.
Trade Results:
Win: SELL at >1.5620 - 1 contract x $27.25 profit, less $1.80 in exchange fees = $25.45

Afternoon Delight Trade - Friday, July 17, 2015

The rules for this strategy are slightly modified on Friday, since Nadex does not offer a 7pm
expiration on Friday. Today, I was looking for a MACD crossover sometime after 11pm. The
crossover occurred at 1:30pm and I pulled the trigger on a trade risking a maximum of $60
to make a maximum of $40 dollars. The trade was briefly threatened, but it settled safely in
the money for a full profit.

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Conclusion
This strategy is very consistent. To back-test it, just load the 15-minute charts and
the MACD. Look at the time period after 12noon and look for a MACD crossover. If
it happens, look at where the GBP/USD price is at 7pm. Test this strategy in demo
before you attempt trading it live to see if it suits your trading style.

The Movie
Click Here to watch Krystal Comber explain the Afternoon Delight Strategy on the GBP/
USD.

Special Offer
Open Up a 2-Week Free Nadex Demo Account Sign up for a free Nadex demo
account. It will be funded with $25,000 in play money. Test these strategies and
see how they work out for you.
Get a 15% Lifetime Discount on the Sapphire Membership Offered from
SlickTrade.net Coupon Code TRADINGPUB Only good for non-existing
members to the SlickTrade Academy Code expires November 1, 2015.

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About This Author


Krystal Comber CEO of SlickTrade Online Trading Academy Krystal
had a vision to create a community of online traders and affiliate marketers,
where everyone involved could make an income.
With years of extensive knowledge in both, the combination of the two
seemed to make for one amazing opportunity for growth.
Krystal spent months perfecting her strategies and creating the foundation
of SlickTrade. Her ambition to create a business where individuals could make an income in
the trading industry whether new or experienced or through the affiliate program with $0 to
invest, has created an entirely new way to create financial freedom.

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Trading Crude Oil and Natural Gas


News with Binary Options
By Cam White, TradingPub

Trading into news always involves risk, but if you have a good strategy, it can also be very
profitable. In this chapter strategies will be discussed for trading weekly inventory reports for
Crude Oil and Natural Gas.

Crude Oil
Every Wednesday, Crude Oil inventory reports are released at 10:30am EDT by the Energy
Information Administration (EIA). The report measures the change in barrels of crude oil
held by US companies. Its not uncommon for the actual inventory reports to greatly miss
the forecast projections from the analysts. When that happens, there can be wild swings in
the price of crude oil.
With binary options, you are making a decision about the likely direction of the market
relative to a strike price within a defined time period. If the price of the asset you are trading
agrees with your opinion at expiry, the trade settles for $100 per contract. If it doesnt, the
payout is $0. You can always exit a position early if you want to take a partial profit, or to
minimize losses if the trade is moving against you.
One strategy for trading crude oil inventory news is to place an OTM binary option trade
on either side of the underlying indicative price before the release of the news. Heres an
example of how this strategy was used on Wednesday, July 29, 2015:

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Before the 10:30 crude oil inventory reports were released, the market was traveling
sideways, straddling the 47.62 strike price. The following strategy was used:
The 9:00-11:00am time frame for Crude Oil was selected for for this trade
At 10:16am, two OTM trades were placed on either side of the underling price of
the market:
BUY Crude Oil at >48.42. Maximum risk $19.50, maximum Reward
$80.50
SELL Crude Oil at >46.82 Maximum risk, $20.75. Maximum reward
$79.25
For this trade to be successful, one trade needs to expire in the money, and the other trade
takes a loss. The maximum risk on the losing trade is subtracted from the reward earned on
the successful trade.
The worst case scenario in this strategy is if the market doesnt react to the news, and
continues to trade sideways. In that event, you may wish to exit both trades to minimize
losses, if possible.
At 10:30am the Crude Oil Inventory Report was released, badly missing estimates by over

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4 million barrels. In an instant, the market shot straight up, making the BUY order good. It
continued to climb all the way to the 11:00am expiration. The SELL order expired for a full
loss. The net profit from this trade was $59.75 (exchange fees not included).

Natural Gas
Every Thursday at 10:30am EDT, The Energy Information Administration (EIA) releases the
Natural Gas Storage Report, which measures the change in the number of cubic feet of
natural gas held in underground storage during the past week. If the actual report misses
estimates significantly, it can instantly result in result in large upward or downward moves in
the price of Natural Gas Futures contracts.
The question then becomes Which way will the market move on the news? Will it spike up,
dive down or trade sideways? You could decide to sit on the sidelines and wait for the market
to digest the news when it is released. You could decide to place a trade in advance of the
news. You could also choose not to trade Natural Gas on a news day.
Lets assume you believe that the Natural Gas Storage Report will miss estimates, resulting
in a possibly significant price move on the news. Since there is no way to know what the
news will be, you could decide to hedge your trade in advance of the news with two out-ofthe money (OTM) trades. When you place an OTM trade, you risk less money for a greater
reward, since you are at a disadvantage relative to the current price of the market. Lets take
a look at an OTM trade on the Natural Gas Storage report released on Thursday, August 13
2015.
The Natural Gas market traveled sideways at around 2.91 going into the 10:30 news release.
At 10:21, just prior to the release of the news, two OTM trades were placed on either side of
the market, with an 11:00am EDT expiry:

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If the market moves significantly in one direction other, one contract becomes more valuable,
while the opposing contract becomes less valuable. If one contract expires in-the-money
for a full profit, the other will expire out-of-the money for a loss. One trade acts as a hedge
against the other trade. The worst case scenario is that the market doesnt react to the
news and trades sideways. In that event, the maximum loss you can incur in this example is
$36.25 (exchange fees not included).
Heres how this OTM strategy played out.

When the 10:30 Natural Gas Storage Report was released, it missed estimates significantly.
Within five minutes, the market dove all of the way through the SELL strike price at >2.870
to around 2.850. Two opportunities now presented themselves:
1. Exit the trade early and take profit, or
2. Let the trade continue for the remaining half hour and see if it expires at
or below 2.870 for a full profit, bearing in mind that if the market expires
above 2.870, the payout is $0.
The trade expired at 2.8456, allowing the SELL contract at >2.870 to expire in-the-money
for a maximum reward of $86 per contract. The BUY contract settled out-of-the money for a
payout of $0, resulting in a loss of the $20.25 risked on that trade. This resulted in a $65.75
profit (exchange fees not included).

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There are many strategies for trading the news, but an OTM binary options strategy gives
you the opportunity to profit from large moves in the market without exposing yourself to
excessive risk.

Special Offer
Open Up a 2-Week Free Nadex Demo Account Sign up for a free Nadex demo
account. It will be funded with $25,000 in play money. Test these strategies and
see how they work out for you.
Get a Free Library of Nadex Information Courtesy of TradingPub

About The Author


Cam White is a Partner Relationship Manager with TradingPub. When he
joined TradingPub in June 2014, his first assignment was to become familiar
with Nadex. He downloaded the demo software and dove into the Nadex
platform. A self-professed crash test dummy, Cam tests directional and
non-directional strategies with Nadex Binary Options and Nadex spreads and
publishes results.
Cam also publishes The Probability Report, a monthly newsletter featuring Nadex webinars,
and contributes articles on Nadex to financial media outlets.

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A Full Day of Trading Opportunities


with Controlling Candlesticks
By Cam White, TradingPub

As an active Nadex trader, I look for patterns that repeat themselves with a high degree of
consistency. If a pattern repeats itself on a daily basis better than 80 percent of the time, its
a pattern worth following and trading. Over the past year, I have identified the same pattern
that occurs in four different Indices at different times of the day. Heres the schedule:
7:00am 9:00am EDT:

The Germany 30 (DAX) Strudel Strategy

9:00am 11:00am EDT:

The FTSE 100 Brunch Strategy

11:00am - 1:00pm EDT:

S&P 500 Pastrami Strategy

1:00pm 7:00pm EDT:

The GBP/USD or EUR/USD Afternoon Delight Strategy

8:00pm 10:00pm EDT: Japan 225 (Nikkei) Kanpai Strategy

7:00am 9:00am EDT: The Germany 30 (DAX) Strudel Strategy


Trading the Germany 30 Index (DAX) futures with Nadex binary options can help build trading
consistency. Tom Busby, a veteran trading educator once observed that the 7:00 am EDT
hourly candlestick of the German DAX market is a pivotal point that influences the following
hour of trading. If you take a look at the hourly charts of the DAX, you will notice that this
observation is correct a great majority of the time.
This observation led to the development and testing of a strategy for trading the Germany 30
(DAX) market in Nadex using their 7am-9am trading time frame. The rules are very simple to
follow, and it doesnt require extensive training to master this strategy. A very tasty breakfast
trade.

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Rules for Trading the 7-9 am EDT Germany 30 Strudel Strategy with Nadex
Binary Options
1. Locate the Germany 30 Index on the Nadex Finder, and select the 7am-9am time
frame.
2. Take a look at the daily, hourly, 30-minute and smaller time frames for the DAX. Is
the market in an uptrend, downtrend, or is it chopping sideways?
3. Take a look at the Volatility Index (VIX). This strategy works best if the VIX is under
20. It is less reliable when the VIX is above 20, since markets can become very
whippy and unpredictable. The DAX also has a tendency to track with the S&P
500, so I keep that market open as a confirming market.
4. What do your favorite indicators tell you about the direction of the market?
5. Take a look at the economic calendar. Is there any overnight economic news
driving the direction of the DAX? Are there any US economic or earnings reports
due to be released before 9:00 am EST? Trading into economic news reports can
be very risky.
6. Record the opening price of the 7:00 am hourly bar. Also record the first Nadex
strike price available above and below the opening price.
7. Watch the hourly candlestick develop. This can take patience, but you are looking
for confirmation of a bullish or bearish hourly candlestick. In some cases, it can
take almost an hour for confirmation.
1. Once you are convinced the 7am hourly candlestick will close BULLISH, then
BUY from the first strike price BELOW the 7am opening price.
2. Once you are convinced the 7am hourly candlestick will close BEARISH, then
SELL from the first strike price ABOVE the 7am opening price.

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8. You can place a market order, yielding a lesser profit and greater risk, or you can
amend your order, to get a better risk reward.
9. Thats all there is to it. If your order fills, then you just wait until the contract expires
at 9:00 am. If your positions are threatened, you can always exit early and preserve
some profits or minimize losses.
10. If the market is moving with momentum, I also consider an OTM strike price,
yielding a much better risk/reward (see chart below)

The 7-9am Germany 30 (DAX) Strudel Strategy for August 11, 2015

In this example, the 7am hourly candlestick closed BEARISH, triggering a SELL. The market
was on a fairly steep down trend, so a SELL strike price was chosen near the 7am opening
price. A Working Order was place with $70 risk. The only way that order fills is if there is a
brief upward retracement in the market. At the same time, an OTM SELL order was placed
well below the market with a maximum risk of $8, for a maximum reward of $92.
The Working Order didnt fill, and I opted to exit early and take $31 profit on the OTM trade.
That trade ultimately settled in the money for what would have been a $92 profit (exchange
fees not included).

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The 9:00am - 11:00am FTSE 100 Brunch Strategy


This strategy is identical to the strategy above, just with a different Index in a different time
frame.

Rules for Trading the 9-11 am EDT FTSE 100 Strategy with Nadex Binary Options
3. Locate the FTSE 100 Index on the Nadex Finder, and select the 9am-11am time
frame.
4. Take a look at the daily, hourly, 30-minute and smaller time frames for the FTSE
100. Is the market in an uptrend, downtrend, or is it chopping sideways?
5. What do your favorite indicators tell you about the direction of the market?
6. Take a look at the Volatility Index (VIX). This strategy works best if the VIX is under
20. It is less reliable when the VIX is above 20, since markets can become very
whippy and unpredictable. The FTSE 100 also has a tendency to track with the
S&P 500, so I keep that market open as a confirming market.
7. Take a look at the economic calendar. Is there any economic news driving the
direction of the FTSE 100? Are there any US economic or earnings reports due
to be released before 11:00 am EST? Trading into economic news reports can be
very risky.
8. Record the opening price of the 9:00 am hourly bar. Also record the first Nadex
strike price available above and below the opening price.
9. Watch the hourly candlestick develop. This can take patience, but you are looking
for confirmation of a bullish or bearish hourly candlestick. In some cases, it can
take almost an hour for confirmation.
10. Once you are convinced the 9am hourly candlestick will close BULLISH, then
BUY from the first strike price BELOW the 9am opening price.

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11. Once you are convinced the 9am hourly candlestick will close BEARISH, then
SELL from the first strike price ABOVE the 9am opening price.
12. You can place a market order, yielding a lesser profit and greater risk, or you can
amend your order, to get a better risk reward.
13. Thats all there is to it. If your order fills, then you just wait until the contract expires
at 11:00 am. If your positions are threatened, you can always exit early and
preserve some profits or minimize losses.
14. If the market is moving with momentum, I also consider an OTM strike price,
yielding a much better risk/reward.

The 9-11am FTSE 100 Brunch Strategy for July 9, 2015

In this example, the first hour was bullish, triggering a BUY at 6629, the first strike price
below the 9am opening price. The trade was threatened during the first 30minutes of the
following hour, but ultimately settled in the money for a full profit.

The 11:00am 1:00pm S&P 500 Pastrami Strategy


When I think of lunch on Wall Street, I think of a Pastrami on Rye at a New York delicatessen.
This strategy is identical to the strategies above, just with a different Index in a different time
frame.

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Rules for Trading the 11am-1pm Pastrami Strategy with Nadex Binary Options
1. Locate the US 500 Index on the Nadex Finder, and select the 11am-1pm time
frame.
2. Take a look at the daily, hourly, 30-minute and smaller time frames for the US 500.
Is the market in an uptrend, downtrend, or is it chopping sideways?
3. What do your favorite indicators tell you about the direction of the market?
4. Take a look at the Volatility Index (VIX). This strategy works best if the VIX is under
20. It is less reliable when the VIX is above 20, since markets can become very
whippy and unpredictable.
5. Take a look at the economic calendar. Is there any economic news driving the
direction of the S&P 500? Are there any US economic or earnings reports due
to be released before 1:00 pm EDT? Trading into economic news reports can be
very risky.
6. Record the opening price of the 11:00 am hourly bar. Also record the first Nadex
strike price available above and below the opening price.
7. Watch the hourly candlestick develop. This can take patience, but you are looking
for confirmation of a bullish or bearish hourly candlestick. In some cases, it can
take almost an hour for confirmation.
15. Once you are convinced the 11am hourly candlestick will close BULLISH, then
BUY from the first strike price BELOW the 11am opening price.
16. Once you are convinced the 11am hourly candlestick will close BEARISH, then
SELL from the first strike price ABOVE the 11am opening price.
8. You can place a market order, yielding a lesser profit and greater risk, or you can
amend your order, to get a better risk reward.

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9. Thats all there is to it. If your order fills, then you just wait until the contract expires
at 1:00pm. If your positions are threatened, you can always exit early and preserve
some profits or minimize losses.
10. If the market is moving with momentum, I also consider an OTM strike price,
yielding a much better risk/reward.

The 11am-1pm US 500 Pastrami Strategy for July 31, 2015

In this example, the 11:00am hourly candlestick closed bearish after a strong bullish 10am
candlestick. Following the rules, I took 2 SELL orders above the 11am hourly opening price.
The market continued moving downward, making both trades good.

1:00pm 7:00pm The Afternoon Delight Trade on the GBP/USD or EUR/USD


This strategy by Krystal Comber is covered in a previous chapter, but I follow it daily to see
if there is a setup. Most of the time, I can find a MACD crossover on the 15 minute charts,
setting up a trade.

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This trade is easy to spot. Just make sure you have 15 minute charts open on the GBP/USD
and the EUR/USD. If I see a MACD crossover happen after 1pm, I take the trade with a 7pm
expiry.

The 8:00pm 10:00pm Japan 225 (Nikkei) Kanpai Strategy


Kanpai means Cheers in Japanese, and this strategy can be a nice way to end the
day.This strategy is identical to the DAX, FTSE and S&P 500 strategies above, just with a
different Index in a different time frame.

Rules for Trading the 8-10pm Japan 225 Kanpai Strategy with Nadex Binary
Options
1. Locate the Japan 225 Index on the Nadex Finder, and select the 8pm-10pm time
frame.
2. Take a look at the daily, hourly, 30-minute and smaller time frames for the Japan
225. Is the market in an uptrend, downtrend, or is it chopping sideways?
3. What do your favorite indicators tell you about the direction of the market?
4. Take a look at the Volatility Index (VIX). This strategy works best if the VIX is under

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20. It is less reliable when the VIX is above 20, since markets can become very
whippy and unpredictable. The Japan 225 also has a tendency to track with the
S&P 500 futures, so I keep that market open as a confirming market.
5. Take a look at the economic calendar. Is there any economic news driving the
direction of the Japan 225? Are there any economic or earnings reports due to be
released before 10:00pm EST? Trading into economic news reports can be very
risky.
6. Record the opening price of the 8:00 pm hourly bar. Also record the first Nadex
strike price available above and below the opening price.
7. Watch the hourly candlestick develop. This can take patience, but you are looking
for confirmation of a bullish or bearish hourly candlestick. In some cases, it can
take almost an hour for confirmation.
17. Once you are convinced the 8pm hourly candlestick will close BULLISH, then
BUY from the first strike price BELOW the 8pm opening price.
18. Once you are convinced the 8pm hourly candlestick will close BEARISH, then
SELL from the first strike price ABOVE the 8pm opening price.
8. You can place a market order, yielding a lesser profit and greater risk, or you can
amend your order, to get a better risk reward.
9. Thats all there is to it. If your order fills, then you just wait until the contract
expires at 10:00pm. If your positions are threatened, you can always exit early
and preserve some profits or minimize losses.
10. If the market is moving with momentum, I also consider an OTM strike price,
yielding a much better risk/reward.

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The 8-10pm Japan 225 Kanpai Strategy for July 1, 2015

This pattern repeats itself with a high degree of frequency. On the hourly chart above, you
can see that the 9pm hourly bar doesnt challenge the 8pm opening price. At the time of this
publication there has been considerable upheaval in the Chinese markets, and the VIX has
been well over 20. If there is too much volatility in the market, I exercise extreme caution with
this trade. Under normal market conditions, it tends to behave very well.
There you have it. A day full of trading opportunities from 7:00am to 10:00pm. When the
markets arent experience abnormal volatility, each of these strategies are highly consistent.

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the movie
Click Here to watch how Cam White trades these strategies.

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About The Author


Cam White is a Partner Relationship Manager with TradingPub. When he
joined TradingPub in June 2014, his first assignment was to become familiar
with Nadex. He downloaded the demo software and dove into the Nadex
platform. A self-professed crash test dummy, Cam tests directional and
non-directional strategies with Nadex Binary Options and Nadex spreads and
publishes results.
Cam also publishes The Probability Report, a monthly newsletter featuring Nadex webinars,
and contributes articles on Nadex to financial media outlets.

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