Binary options came into my life through my husband. A few years ago he went through a phase where he fancied himself as a bit of an investor. He bought all sorts of books on the subject, had Bloomberg news on day and night, and eventually settled on binary options as his preferred method of trading. I should probably say here that my husband, like many men of his generation, goes through phases, our house bears the scars of his last foray into the world of D.I.Y (my kitchen is still without a floor). Anyway he was pretty average at binary options trading. Too impatient, too eager to trade. He didn’t lose an awful lot of money but then he never really made anything either. When he finally dropped his trading fad he had about $130 left in his account and I asked him whether I could have a play on it. Being his usual chauvinist self he was dismissive about my prospects as an online day trader. How could a humble housewife understand the intricate complexities of the world’s markets better than the master of the house?
Well, to cut the long story short, as you may have gathered by now I ended up putting Chris to shame. He’s still not completely over it and huffs and puffs in the background when I’m busy trading. In 6 months I’d taken that $130 to $3500, not a tremendous success story but it is taking into account all the losses I made. I admit that it was quite a steep learning curve for me and I’d never done anything like this before. From 6 to 9 months I took our trading balance (notice how I write “our” and not “my”. Always the team player me) from $3500 – $16,700. With that money I got the professionals in and finished the kitchen myself, and the hallway. You can imagine how much this annoys him but I think that deep down, even though he has a funny way of showing it, he is actually proud of me.
The key to my success was finding that I had an instinctive grasp of one very specific trading strategy. Way before anyone told me anything about support and resistance lines I was instinctively drawing them on the asset charts I was monitoring. I had an understanding of the points beyond which an asset seemed to find it difficult to rise above or alternatively fall below. Then basically after drawing these lines I would hone them over the course of an hour by seeing how the market performed in relation to them. Then and only then would I start to trade. The asset didn’t really matter, be it a currency pair, a commodity, a stock or an Index my method seemed to work for me. Although I will say that the more volatile the price action of the asset, the more opportunities there were to lock in profitable trades. I didn’t use technical indicators at first, although later I found that RSI and MACD are both very complementary to my style of trading. Using then in conjunction with my own techniques helped up my success rate by around 10 – 15%.
Trading binary options is tremendously exhilarating, especially when you feel you’re discovering something for the first time and developing your own skills as in my experience. It has helped me become a more productive member of my family and now the kids don’t go to dad first when they need money, they always come to me. This alone is enough for me to recommend trading binary options to others. It has changed my life and the lives of those around me.
George Milios is the founder of onlineforextrading.net, the binary options and forex news portal which is dedicated to providing you with all the information you need to successfully trade.