Introduction to Duke of York Trading Strategy
The Duke of York strategy is a binary options trading strategy which is a modification of the tunnel binary options trade. The tunnel trade is one in which there are multiple strike prices and payouts for each tunnel level. It is a European-style binary option; settlement of the trade can only be done on expiry. In the Duke of York strategy, the trader has the opportunity to place bets on several outcomes on each of the 5 payout levels of 0, 10, 30, 60 and 100 on the call and put side of the trade.
Why does the Duke of York Strategy Suck? My Opinion
The Duke of York strategy is an extremely complex trading strategy and is simply not suited for beginners at all. Even experienced traders require a great deal of skill to be able to prosecute this trade. Frankly, there is no justification to engage in such a complex trade when there are so many simpler options to choose from. This strategy sucks through and through.
As far as financial markets are concerned, one of the keys to successful trading is keeping everything as simple as possible. The Duke of York strategy negates this principle and for me, it is a no-no anytime.
The Duke of York strategy has an advantage in that it is not a 0 or 100 (all or none) kind of trade which is seen with conventional binary option trades. There are several strike prices which provide opportunity for several bet scenarios, so the trader theoretically has an enhanced chance of making money with the Duke of York strategy. However, this strategy is truly complex and is not something that those who have very little skill and knowledge of this type of binary option should be engaging in.