Nadex Stories

Binary options is a trade that involves short-term options on an online platform. Mostly, successful trading depends on luck, and, therefore, no one is an expert in the field. Trading strategies only serve as guidelines for maximizing profits. All the binary option strategies have varied risk factors and the trader should consider both the strong and weak points of every strategy. Therefore, trading strategies do not necessarily guarantee profitability but rather, increase the chances of profitability if applied effectively. Knock-on Effect/Market Pull Strategy The first strategy to explore is the Knock-on Effect or Market Pull Strategy. This popular strategy uses the concept of shifting forces that upsets the trade balance. Apparently, movement of a single option in the trading platform causes a knock-on effect on another option. The trader has to understand the relationship of a particular asset in the currencies, stocks, commodities and indices. For instance, a trader can focus on the price movement of gold against the dollar and then place a CALL or PUT, depending on the changes. The strategy has a significant logical accuracy with a high chance of certainty.