What is the Standard BD Strategy? The Standard BD Strategy for Binary Trading
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1 What is the Standard BD Strategy? The Standard BD Strategy for Binary Trading
2 The Standard BD Strategy is the foundations of the Binary Destroyer. Jamie first created the Binary Destroyer back in 2015 using this strategy. It was this strategy that gave him huge success and gave him the drive to want to share it and help others. Every admin of the Binary Destroyer, and fulltime traders of the Binary Destroyer all learnt from this strategy. The Binary Destroyer indicator has changed over the years, as we update it to keep up with the latest technologies but the strategy has always remained the same. This powerful strategy teaches the trader to only take trades when the market is overbought or sold. It is also a great strategy to learn about Trend lines and Support/ Resistance lines. Over time this method of trading will bring the trader consistent profits if followed correctly, as the trader is only trading with the momentum of the market. We recommend every member to learn this strategy first before continuing onto other strategies. This strategy will teach you the foundations of trend trading and it s important you understand this first before moving on. This strategy can be used to trade both Binary and Forex but in this course, we will cover Binary. So let s begin.
3 How to setup the Standard BD Strategy To setup the Standard BD Strategy is actually very simple as all the hard work has been done for you. When you first install and load up your Binary Destroyer, the default setting is the standard BD strategy. All the buttons are off and your charts should look something like this. What are the Rules?
4 The rules of this strategy is actually very simple. We wait for the price to enter either the Buy or Sell Zone, RSI to be over bought or sold, and then a BD arrow to appear. What makes this strategy difficult is the trader being able to follow this strategy, as a lot of impatient traders will bend the rules and enter trades early. Resulting in losing their investment. This is a trend and ranging strategy, so it s important we look to trade pairs which are either trending or ranging with lots of momentum. Trend Lines
5 What this strategy does is teaches the trader to understand trend lines and uses them as entry points alongside the BD Strategy. As you can see below we have a nice downtrend with a number of pullbacks and bounces of the trend line. This is raw price action in action and it s an excellent way to trade if you can understand the market. Now look at the same currency pair but with the Binary Destroyer added to our charts.
6 As we can see from the example above, we have a nice downtrend with a bounce off a trend line that also meets the BD rules. This example of a trade resulted in a nice deep winner. RSI Overbought Price entered the sell zone BD Arrow Trend line bounce
7 Support / Resistance lines What we have above is a currency pair that is ranging and bouncing between Support & Resistance lines. We can also trade the Binary Destroyer when a currency pair is like this. Now let s see the same example but with the Binary Destroyer loaded.
8 From the example above you can see two beautiful trades that meet the Binary Destroyer rules but also bounce right off a support line. This is the power of the Binary Destroyer and Price action together. RSI Overbought Price entered the Buy Zone BD Arrow Support Line Bounce
9 Why is the Binary Destroyer so profitable? As you can see from the examples that it doesn t necessary matter what the currency pair is doing. What matters is we follow the strategy. The Buy / Sell zones on the Binary Destroyer act as overbought and over sold arears so we only want to be taking trades when the price is in those arears. The zones are calculated from a triangle formula, so when the price enters those zones, it s a higher chance that the price will revere. This higher chance is what keeps us making profits over and over again. This is called law of attraction. The price will always bounce in-between the zones and if the price does break out of those zones then the price will always look to return back to the middle. As a trader we have to be patient to wait for setups like this, but when they do appear, we have a greater chance of winning those setups. Let s just imagine for a minute that the price has entered the buy zone and the market is oversold. Price Action is telling me the market is oversold and the Binary Destroyer is also telling me the market is oversold. When we have both Price action and the Binary Destroyer giving us a buy signal, we have a greater chance of winning it.
10 Example above is when both Price Action and the Binary Destroyer are telling us to buy the market. The RSI is oversold telling us the market is oversold and we also have a BD Arrow in the Buy Zone. This kind of setup is telling us to buy the market or take a buy trade as soon as the arrow has appeared. Waiting for such setups like this, gives us the highest probability chance of winning.
11 When to take a trade
12 This is the important part and where most beginners make the mistake. When trading this strategy we are looking where the signal candle is when a trade appears. We are not looking where the arrow appears. The signal candle has to be inside the zone or ONE CANDLE OUTSIDE BUT STILL TOUCHING THE ZONE. Example below is a perfect example of this. Notice on both green arrows the candle was still inside the zone or touching it. This is a perfect example of what to look for. The RSI was also over sold.
13 Bad Trade This is an example of a bad trade. Even though the price has entered the Buy Zone and the RSI is oversold, the signal candle is nowhere near the zone. Price entered the Buy Zone RSI oversold Signal candle inside the Zone This is why it s so important to only take trades when the signal candle is inside the zone or touching it. The more the candle is inside the zone the better. It means the market is excessively over bought or sold and we have a greater chance of winning the trade.
14 Good/Bad Trade
15 Example 1 This example is a perfect example of a wrong trade which a beginner might enter. The RSI is overbought, price has entered the Sell Zone, but the signal candle is not inside the Zone. In fact if you had entered this trade, you would have entered right in the middle of the Buy and Sell Zone. This is called no man s land and you do not want to be taking trades in this area. I have drawn a white line on where you would have entered this trade if you had taken it. This is where a beginner would make the mistake. We always wait for the signal candle to be inside the Zone or touching it. Example 2 This example is perfect example that meets all the rules. The RSI is oversold, the price has entered the Buy Zone and the signal candle is still touching the Buy Zone. The result of this trade is a deep winner Patience is key!
16 Expiry Times This strategy can be traded on all time frames and this is one of the reasons why it s so powerful. As we are trading Binary, we will only focus on the one and five minute time frames. You are welcome to experiment on other time frames if you wish. Remember because we are Binary trading here, we don t necessary need to be checking the higher time frames to enter into trades. With Binary trading we either win or lose, so we don t need to check the overall trend. We trade what we see off the current time frame. It won t matter if we win by one pip or 100 pips, a win is a win. Expiry times can vary, differing traders will find some more successful than others. This is a table of what we recommend for each time frame, though some brokers may offer different expiry options. Trend Expiry Times Against The Trend / Ranging Market 1 Minute Time Frame minute expires 5-15 minute expires 5 Minute Time Frame minute expires minute expires
17 You will also notice some traders stacking trades with different expiry times. This is perfectly fine, but if you do, makes a note of what works best for you.
18 Trend The quickest way to determine what a currency pair is doing is by looking at the direction of the Buy / Sell Zones.
19
20 By looking at the direction of the Buy /Sell Zones, it will give you your expiry times and the direction of the currency pair. Another great way to work out your expiry times is by counting the candles between each Zone. By a rule of thumb if you count the amount of candles it takes for the price to reach each zones, it will give you your expiry time at that moment in time. As you can see from the example, It took 11 candles from the price leaving the Sell Zone to reaching the Buy Zone. Whatever the amount of candles it takes, we always want to take away 5 candles and that will be your expiry time. 11 candles take away 5 candles = 6 candles. This means our expiry will be 6 minutes. 22 candles take away 5 candles 17 candles. This means our expiry is 17 minutes. The reason we take away 5 candles, means our trade will go into the money. The last thing we want is too much of an expiry where the price bounces off the opposite zone and then goes back out the money. This ensures we win more trades. Some brokers won t offer the exact expiry time we want, so we round it off to the closest expiry time we can do.
21 Live Trading Now you have read and understood the principles of this strategy. Let s see some live trading. Follow the link
22 Review Hopefully you now understand the basics of this strategy. It's important you make notes for your trading journey, starting with a copy of the rules to be on hand to help keep you on that path to a profitable trader. Remember Make sure the signal candle meets our rules. Make sure you check the direction of the Zones to get the direction of the currency pair. Make sure the RSI is always overbought or oversold. Patience and good luck!
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