Tip from the Geek – Top 5 Binary Options Trading Tips 9/09-16/2013

Easy to understand Binary Options Trading Advices. Try Trading on CommuniTraders!

Michael is using the Communitraders platform for all of his tips. Follow along with the Geek’s progress in the forums.



One Week till Taper Time 

Will tapering happen and will it actually affect the market? Those are two questions on the minds of many traders. Based on the data tapering could happen, based on market expectations tapering will likely happen and based on the technical data it might not matter. The global markets are moving higher, in line with the longer term trends. Data from China and Japan, released overnight and impacting world markets Monday morning, reveal that the Asian sector is performing better than expected. Chinese exports surged to 7.3% in August, well above the 6% expected. Japanese GDP grew by a revised 3.8% versus the previous estimated 2.6%. The robust nature of the Japanese recovery bolstered hopes that Abe would be able to move forward successfully with the planned tax hike next year.


Asian and European markets both got a big boost from the news. Stability and strength in Asia is one of the building blocks of global growth. Added to signs of strength in Europe and the U.S. it looks like we’re on track for a better than previously expected second half of the year. The U.S. markets opened broadly higher on the heels of the data as well. The S&P 500 is still bouncing from the long term trend line and looks good to keep moving higher. The one bit of resistance on the horizon I can now is the tapering. It is possible that it could reverse the markets but right now it just doesn’t look like it. We have been dealing with the taper issue for so long that it is most likely factored in. At this time I think it might be worse if there were no tapering.




1. SPX Still Moving Up On The Long Term Trend Line

 S&P 500

Call/Put = Call

Entry = below 1665

Expiration = one week


My Trading Advice

The S&P 500 is still moving up along the long term trend line. The Monday morning move higher took the index up above the short term moving average with bullish technicals. Momentum is growing and will likely carry the index higher going into next weeks FOMC meeting. Even with last weeks weaker than hoped for NFP number the chances that tapering will begin next week are high. Moving forward, there is technical resistance ahead as well. The index is trading up to the recently set all-time high. It looks as if this level may coincide with next weeks FOMC meeting.


At this time the index is moving higher. Support is still there, even if it may be wary. The long term trend line is a very significant level for me and one that I can not argue with. Price action and bullish indicators are leading me to trade calls. Because the FOMC meeting is next week I am sticking to one week expiry. This week I am targeting an entry below 1665.




2. Nikkei Growth Is Growing

 Nikkei 225

Call/Put = Call

Entry = below 14,200

Expiration = one week


My Trading Advice

Japanese GDP is growing stronger than previously expected. That is a good thing. It is a sign that Abe’s plans are working. The news sent the Nikkei back up over 14,000 and helped support the idea that Abe could successfully move forward with the planned tax hike. Raising taxes, and revenue for Japan, is an important step in Japanese recovery efforts. When the government has more money it can spend more money on public works and therefore provide more stimulus for the economy. I am trading calls on the Nikkei this week but keeping the expiration short for the same reasons listed above. My target entry is below 14,200 with one week until expiry.




3. Yen, Slip Sliding Away


Call/Put = Call

Entry = Below 99.50

Expiration = one week


My Trading Advice

Abe’s plans are working. The Japanese economy is growing. This means the long term plans put into place by himself and Kuroda are more likely than ever to be completed. This means a doubling, doubling, of the yen base by 2015. This means twice as many yen as before. If the yen was worth 82 versus the dollar when they began this plan theoretically the yen should be worth 164 when they are done. Unfortunately it is not as simple as than but I do expect the yen to slide further. The pair broke out of its triangle last week and is now consolidating and bullish technicals suggest higher prices are on the way. I am trading a call on the USD/JPY with one week until expiration and a target entry below 99.50.




4. Apple, My Old Friend


Call/Put = Call

Entry = below $505

Expiration = One week


My Trading Advice

Apple moved higher today, crossing back above the $500 level. Tomorrow is the release of new Apple products, iPhones, and the market is eagerly awaiting. Adding to the euphoria is the recent support of the stock by Carl Icahn and George Soros. It think it is obvious that interest in the stock is back, I also think it likely that Apple will surprise us on Tuesday. I am trading calls on Apple with a target entry below $505 and one week until expiration.




5. Gold Supported By Syria


Call/Put = Put

Entry = above $1390

Expiration = one week


My Trading Advice

Gold is being affected by the crisis in Syria. Fear of war has some investors moving into the safer haven of the shiny metal. The flip side of the story is that gold is not yet in a bull market. The long term  bear is over but we are still at least in a sideways trading range. At this time gold is moving lower short term and back below the $1400 level. I am trading a put on gold with one week until expiration and a target entry above $1390.



More Tips by the Geek  – 9/09-16/2013 Trading Tips On Forum.


That’s it for this week; Michael will be here next week with fresh trading tips. Meanwhile, we will be testing Michael’s tips to see what kind of an “expert” he really is. All trading assets and expiry times featured in Michael’s trading tips are based on CommuniTraders Binary Options Trading Platform.


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