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Awesome oscillator binary options trading strategy

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binary options trading strategy
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How to trade awesome oscillator

Awesome Oscillator is included in the most standard software products for traders (including Meta Trader 4).

Lear how to trade Awesome oscillator call signals and open a real account at a trusted binary broker.

Awesome Oscillator inventor, Bill Williams defines the Awesome Oscillator as a better indicator of the driving forces in the stock and commodity markets, and even claims that a trader may successfully invest in futures and stocks by only using it.

Awesome Oscillator Call Signals

Typically, the software turns green any bar of histogram, which is above the previous column. Bars of the histogram, which are lower than the previous ones are colored in red. This makes it very easy to observe the change in the force.

Bill Williams has identified three possible options for Call and another three for Put signals that Awesome Oscillator provides.

Saucer Call Signal

Saucer_Call_Signal

Saucer, this is the only Call signal that comes when the bar chart of Awesome Oscillator is above the zero line. For the formation of Saucer, at least three bars of the histogram are necessary.

Saucer is generated when the bar chart reverses its direction from downward to upward, i.e., first bar value is greater than the second, second have lower value than first (red bar), third is more than the second (green bar).

In this case, all the bars of Awesome Oscillator histogram should be above the zero line.

Intersection of the Zero Line Call signal

Intersection_Zero_Line_Call_signal

This Call signal is generated when the histogram of Awesome Oscillator goes from negative to positive values. It occurs when the histogram crosses the zero line. If there is Crossing of the zero line Call signal, histogram bar will always be green.

Twin peaks Call Signal

Twin_peaks_Call_Signal

This Call signal is generated when you have a pike pointing down (the lowest minimum) located below the zero line of the indicator, followed by another downward peak, which is higher (a negative value, the smaller the absolute value, so it is closer to zero) than the previous peak, down-looking.

The histogram should be below the zero line between the two peaks. If the histogram crosses zero line between the peaks, the Call signal is not valid.

Most trading systems use a set of indicators that provide complement and corrective signals to each other. It should be remembered, that every indicator and trading system require proper use and testing, so before you apply any ideas to trade with real accounts, it is strongly recommended to practice a demo one and do some tests with historical data.