Trading 15 Minutes a Day/Night: Expiration Premium Collection Trading on Nadex Binaries

Loading...
Loading...

When trading Nadex binaries, there are a few ways that you can trade for as little as 15 minutes a day and still make money. One of those ways is by doing Expiration Premium Collections.

An Expiration Premium Collection, sometimes referred to as an EPC, is an ITM (In The Money) trade entered into just before expiration. You choose to enter this trade when you believe that the market is either going to stay flat, go up if you are long, go down if you are short, possibly barely move against you, but any way, it’s going to still be ITM at expiration. This trade is usually entered within the last 15 minutes before expiration.

The EPC trade is always an ITM trade. This is simple strategy. If you are watching the charts and it is trending up, you need to have a diagnostic bar close up with volume exceeding expectations on the close of that bar. The next bar needs to break the previous bar by three ticks, while still exceeding volume and you enter the trade. You can set your stop trigger or stop loss at five ticks below the low of the bar or at the strike price. You are looking to buy at no more than $75 and take profit somewhere between $90-96 for $15-20 profit.

If you are seeing a down trend, it is the same scenario, except everything is down. You need to have the bar close down with volume exceeding expectations and the next bar breaking by three ticks. On a sell contract, you can set your stop trigger or stop loss at five ticks above the high of the high bar, or at the strike price. You are looking to sell a Nadex Binary at no less than $20 with take profit set between $4 and $6. Your profit goal should be between $15-25.

You can hold it until expiration, but there is less liquidity. A lot can happen in the last two minutes that is known as the dark zone where it is more difficult to exit. So, it is always best to exit before the dark zone, if you are able to.

In either of the above cases, if the trade goes against you, you would definitely exit if it hits your strike. Considering that on Nadex when the market is trading at the strike price, it is at approximately $50, you could have a loss of around $25, depending on what price you got in at and what price you are able to get out at. Set your stop loss to protect from complete loss.

This sounds more difficult than it really is. Once you wrap your head around it and try it a few times in your Nadex demo account, it will make sense and you will be able to see how easy it is to trade for only a few minutes a day and still make money. As you become more adept at this strategy, even if your time is still tight, you can use the EPC, but add on more contracts and/or more markets. You don’t always have to trade more often, you can trade more contracts at a time, but must maintain good risk management based on your account size.

To learn even more strategies to use when trading Nadex binaries, go to www.apexinvesting.com. Apex Investing Institute offers free education, and free access to the Nadex Binary and Spread Scanner Analyzers. Member traders are invited to trade in the rooms, take advantage of trade signal services, have key indicators and access the Apex Forum. The forum content is updated daily and includes over 7000 members. In a supportive learning community of seasoned as well as up and coming traders, traders of all levels learn how to trade Nadex binaries and spreads in depth, as well as futures, Forex, stock and options, and gain an edge for successful trading overall.

Loading...
Loading...
Posted In: Binary Optionsapexinvestingbinarybinary chartsbinary optionsbinary scannerbinary signalsdarrell martinday tradinghow to tradenadex binariesnorth american derivative exchangepremium collectionscalpingspike strikerspread optionsspread scannerThe Better Betweekly options
We simplify the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...