In my last articles, I shared what I learned the hard way from my initial experiments with trading binary options. After reflecting on my own experiences, I came to the following conclusion about what it takes to be successful.
Conclusion: In order to make money with binary options, two things are needed.
- You have to beat the odds. A 50/50 ratio won’t cut it. You need a win ratio of about 75% to make any money.
- You can’t trade emotionally. The only way to avoid emotional trading is to have a rational criteria by which you make trades.
This conclusion is what led me to start the Binary Robot Project.
I realized that the only way I would ever stop trading emotionally is if I could get out of my head. I needed a way to trade more rationally – a way to base my trade decisions on something outside of myself. You can’t simply trade on a hunch and expect to make money. You will get emotional, start making silly decisions, and lose all your money in minutes.
Before settling on BINARY OPTION ROBOT(tm), I signed up for dozens of programs and accounts. And you know what that means. Everyday at around 4:00 in the afternoon, my cell phone was blowing up with international phone calls from foreign brokers wanting to assist me in making a trade. Many of them get belligerent with you when you refuse their assistance and explain that you only intend on trading on your own.
I looked into many signal service programs, some of which involved copy trading “experts”. Others were companies who created signals based on algorithms that spotted certain market behaviors. At the end of the day, most of these services were more expensive than what I wanted to put into them as a beginner trader. Also, most of them could not consistently outperform the odds on a regular basis. I was left to wonder why I would pay them, when their odds of making winning trades may be statistically no greater than venturing out on my own.
I quickly moved on to Robot trading. I found that many so-called robot programs are actually camouflaged paid signal services. I don’t want to pay monthly for someone else’s opinions. I wanted a truly software approach to creating trading signals that eliminated the human emotional component. I found that product in BINARY OPTION ROBOT(tm).
Is BINARY OPTION ROBOT(tm) everything I wish it was? Of course not. It has its pros and cons like any other system. But it does meet the qualification of removing the human emotional component. The second criteria in my search is satisfied fully by this Robot.
Only one question remains. Can this robot system consistently increase my odds of executing winning trades? The only way to know for sure would be to experiment. Manually calculating a few trades that would have resulted from signals I gathered from the Robot did produce positive results. My initial tests with just a hand full of trades resulted in a win 2 out of 3 times. However, before I claim that ratio as a consistent result, I need to test it in much higher volume.
Also, it is worth noting that the only way to have the necessary criteria to trade successfully is to upgrade to the Pro version of the software. The limited trend trading feature that comes with the free software is pretty useless. While I was waiting for the activation code to upgrade to the premium version, the free trend trading option wiped out my initial deposit in an hour. The indicators included in the Pro version upgrade such as RSI and MACD are much more accurate. I never expected myself or anyone else to make winning trades without these premium features.
Users can upgrade to the Pro version at any time by purchasing a license. Here is a tip from my experience. If you are patient and don’t rush into purchasing the Pro version, you can get it for free. A few days after downloading the software, I started getting email offers for a free upgrade. All I had to do was make an initial deposit of 250 into a brokerage account that I secured by accessing the account sign up from within the Robot program. Once the transfer is complete, I was required to reply to the email to receive my license code.
I was a little hesitant to trust this offer because it did not seem very automated. I was put off by the fact that I had to manually reply to an email to receive the license code. Although, I will have to admit that within minutes of replying to the email after I made the deposit, I received the code.
So, I am all set to use the Robot. I have an account that is verified, and the Pro version of the software. So here is the hypothesis that I set out to either prove or disprove with the Binary Robot Program.
The Hypothesis: Trading with BINARY OPTION ROBOT(tm) will eliminate emotional trading, and relying trading conservatively by relying on the double criteria of both the RSI and MACD indicators should increase my performance beyond chance.
As soon as I save up enough for the next deposit, or receive enough contribution to meet the minimum deposit amount, I will begin testing this hypothesis with real live trading. I will record and document the performance and share it with you here on this blog.
Any time you apply the scientific method, you must go into it with an open mind. My experiment will either prove or disprove the hypothesis. I am willing to accept whatever result that occurs.
Also, if I see some success, I may continue to tweak the variables as I gain more experience. Results will most likely vary based on the length of expiration, time of day for trading, and chosen currency pair. I can also experiment with including or excluding different indicators. The sky is the limit to the number of experiments that can be tested here. Progress merely depends on the availability of funds for trading, as losing 100% of the investment always remains a real risk.
Help us to help you by Contributing and increasing the funds we have available for trading. The more we receive, the more we can trade.
Also, I am not advising you to mimic my trades or to attempt trading on your own. Please always do your own research before investing, and realize that past performance does not guarantee that history will repeat itself in the future. But, if you insist on risking your own money to invest on your own, and plan to use BINARY OPTION ROBOT(tm), then please consider signing up through one of the links or advertisements on our site to further support our investing experiments.
This post is a follow-up to my previous post: Too Good to Be True