How to make money on Olymp Trade - Secrets, Strategies, Trading Recommendations

Considering the question of how to make money on Olymp Trade, it can be emphasized that the secrets of making money on options are much greater than successful traders. And even many newcomers to option trading believe that they allegedly possess them. As a result, there is a lot of information and video on the Internet about how to make money with OlympTrade. But, the same type of information about the earnings in the system of doubling the rates (Martingale) did not teach the beginners to trade successfully and profitably. Consider further the main strategies and the fundamental secret of earnings in Olymp Trade.

How to make money on Olymp Trade

Official site - https://olymptrade.com


How to make money on Olymp Trade


The essence of working with options is to predict changes in the price of a particular asset (currency pair, cryptocurrency, or commodity). And in order to make money on Olymp Trade, you need to correctly predict whether the price of the selected asset will rise or fall in the transaction you open, that is, the price chart goes up or down.

In options trading, you can make a significant profit simply by determining the direction of the transaction, it will become cheaper or more expensive, for example, a dollar relative to a rupee or bitcoin against a dollar.

Each trader who trades in options knows in advance what he risks and how much he can earn. Revenues and risks are recorded before the conclusion of the transaction, and the profit ratio can reach 92% on the VIP account.

Considering further how to make money on Olymp Trade, you should not look for secrets and universal methods of obtaining quick income in options trading. It is only necessary to understand that every successful strategy is always based on an exact mathematical calculation. Stable and fast earnings, even with 10 dollars, will bring only that strategy, which will provide not less than 70% of profitable transactions. And, of course, for this you need to learn how to properly understand the basics of the market trend on the stock exchange and understand who buys a financial asset and who sells.

Understanding who wins this confrontation between sellers and buyers in exchange trading will allow you to look for good points for opening profitable deals.

In order to consistently make money with Olymp Trade, it is not necessary to be an experienced trader, you need to find the best points to enter and open trades.

In order to successfully learn how to earn money in options trading, first of all you need to start by opening account for training (read the detailed instructions on how to open a training account in OlympTrade). The demo version of the account will give the beginner valuable experience in trading financial and exchange-traded assets in real market conditions, without financial risk. You will get the opportunity to test and choose the best strategy for making money in financial markets for free and without replenishing your account.

Read the full review of the Olymp Trade.


RSI strategy trading


One of the most reliable strategies for trading options Higher / Lower is algorithmic. It comes down to the formation of certain rules for opening deals and on the basis of them the purchase and sale of options is carried out. And the most competent and profitable tactic is the RSI strategy on the trend reversal.

To open a trade in the OlympTrade trading platform, an option "Higher" or "Lower" is bought, but only after the appearance of a reversal level of 30 or 70 (overbought / oversold) by the RSI indicator.

For trading, it is better to use the timeframe (time period on the chart) M1 - M5 and set the term of the transaction for at least 10 minutes. Shorter periods of time (60 seconds), widely advertised, cannot be successfully used, because they are the result of the activities of HFT (high-frequency) exchange robots.

Therefore, it is not possible for a novice trader to predict high-frequency operations and especially the direction of the trend on short timeframes (1, 2 minutes).

It is worth remembering that the rules are the main one for earning in every successful strategy, since it is impossible to trade on Olymp Trade and consistently make a profit without the transaction analysis algorithm.

It is the rules of trade, taking into account the chosen strategy, that are able to eliminate the psychological impact on the trader and allow them to start earning stably. And there are no secrets in earnings: you only need to understand the direction and dynamics of the trend of the selected asset, and correctly analyze charts on large and medium timeframes when trading.


Night Option Trading Strategy


Among algorithmic strategies, there are those that are based on the peculiarities of the movement of currency quotations in a certain period of time. For example, the currency pairs EURGBP, EURCHF, GBPJPY, NZDCHF, AUDCHF are in a narrow corridor at night and move between its borders. Due to the large spread on Forex at this time it is impossible to earn, but in the options trading it is available and realistic.

Probably, this strategy is the only opportunity for newbies to quickly make money on OlympTrade from scratch. The secrets of the strategy are as follows: after 21:00 GMT on the above currency pairs, presented in the form of candlestick charts, you should find a narrow corridor in which the price moves for more than 1.5 hours.

Then it is necessary to determine the boundaries of the price corridor, denoting them by maxima and minima. The next step is the visual determination of the configuration of the price movement channel: almost straight (side trend), upward or downward.


Opening deals


Consider how to open an option deal in OlympTrade for this strategy. This is a sale from the upper borders and a purchase from the lower ones in the case of a horizontal channel on the chart. The second option is only to sell the option from the upper boundary of the downward channel with ignoring purchases from the lower one. The third option is only to buy an option in the uplink from the lower limit. The expiration date is set in the platform for 5 or 10 minutes, depending on the price dynamics, the timeframe on the M1 chart is M5.

In the pair EURCHF and EURGBP in the evening and late at night, a 15-minute expiration is justified. It is important that the amount of the transaction on the option is set so that the trader has the opportunity to repeatedly repeat the rate of the same amount for the entire trading period. In the question of how to make money on Olimp Trade, there are no secrets in night trading, as this strategy is simple and quite effective for making $ 500 deposit.

The main thing that is in the strategy of night trading range, it is a fixed amount of the option in each transaction. You can not double the amount of the transaction and give in to excitement. This is not a game for money, but rather a painstaking work. Using this strategy, in 3 hours of night trading you can earn about 1,000 USD in Olymptrade, each time risking only 50 USD.


Combined Options Trading


There is also a combined strategy, in which for beginner traders a huge amount of uncertainties. And if a respected reader wonders about how to make money on Olymp Trade, then he can learn something useful.

This strategy consists in the use of options as a hedging instrument for intraday transactions made on Forex. Their goal is to eliminate the risk if the forecast for the transaction in the foreign exchange market is not justified. Then you should close the Forex transaction with the lowest possible profit and make a profit on the option previously opened. The option is opened in the opposite direction of the currency transaction.

How to make money, earnings on Olymp Trade - secrets, strategies, trading recommendations

The benefits of options trading:
Low minimum deposit amount - from 10 dollars.
Low minimum transaction amount - $ 1.

To earn money on OlympTrade, use the following advantages of the trading platform:

"Cancel a losing trade" This function provides the ability to insure yourself against an undesirable outcome of the transaction. If you notice that after the conclusion of a transaction, the chart has started moving (rising or decreasing) in an unfavorable direction for you, you can easily cancel the losing trade.
"Early closing of the transaction" The ability to close the transaction before the expiration of the option. The amount of the return will depend on the degree of change in the price of the asset. The maximum amount of return is up to 120% of the transaction, for cryptocurrency assets up to 100%. Due to this, you can get up to 20% of net profit without waiting for the end of the transaction.


Summary


Perhaps the information in this review will allow you to understand that the issue of how to make money on OlympTrade, the secrets to trade do not mean anything. All profitable strategies for options have long been developed, tested and successfully used in exchange trading, because financial and exchange markets have been around for many years.

Churning and Burning, A message To all The Non-Daytraders and Skeptics

So last night, I discovered a huge spike in pageviews for my post about losing a shit-ton of money (the post above, which I changed the publish date in order to keep at the top of the page). The post was getting 100's of views from the usual expected sources, like Twitter, Facebook, Stocktwits, mostly from traders within my community such as InvestorsUnderground, or people that I know personally. Then all of sudden, it was getting 1000's of pageviews at a time -- now over 40,000 in the last 24 hours. Holy shit. 


I found out this was because someone re-posted it on Hacker News. Pretty exciting to see my humble little blog that had less than 1k pageviews last month reach an unexpected audience! I wrote the post for an audience of daytraders who could relate to what I was going through, but I never considered how I would be read by non-daytraders.

I then checked the actual thread and read through a lot of skepticism and negative feedback, both regarding my risk/money management (totally deserved regarding this particular trade, although misunderstood) and my use of technical analysis. Needless to say, a lot of people, based off one story that I haven't yet finished, now think I'm just another halfwit gamble-my-savings-away day trader.*
*On some days, I feel the same way about myself.

Here is a sample of the comments:
You sound like the people I've seen on gambling forums postings about their unbeatable roulette system that they've "really won with in the long term".
No surprise to me that these guys win some and lose some. All they are doing is trying to predict the future of a stock with absolutely no knowledge other than a graph of price movement. If it's going down, it will continue to go down. It it's going up, it will continue to go up. It's a fools game.
when you do understand probability and backtest these strategies, they are known not to work in the large. Stat arb is what happens when you actually do statistics, and these days it's got only a slim to nil advantage.
Reading this sort of stuff from manual prop traders makes me laugh. It sounds so amateur hour. How in the world can manual traders ever compete against a short-term stat arb or HFT strategy? It just sounds like pure luck that any of them will make money.
We call it picking up pennies off a train track.
Yeah, I alo made a fortune in the market except for the money I lost.
Do you think technical analysis works? Look at the mountains, try drawing resistance lines, my god, you are able to predict when the mountain ridges are going to break through right past 9000! Are you Jesus?
Don't forget the magical term 'support'. Or 'Fibonacci levels'. Or 'resistance zones'. If I see another blog post by the brokerage firm I'm with about freaking 'supports' I'm going to hurl. Technical analysis puts everything from astrology through religion on to homeopathy to shame in its bullshittery.

For what it's worth, I don't take any of the criticism or snarkiness personally at all. I welcome it. I always felt like I could be someone who could help bridge the intellectual gap between the momentum/technical trading school and the probability/statistics-oriented quant school, due to my background as an online poker player who relied on observing betting patterns and probability-based methods rather than tells or "gut feel". I spent my formulative online years reading through a gambling forum where concepts like variance and expected value became casual-speak in any given thread, even if the subject was sports, politics, or food. Some of my favorite non-fiction books include Fooled by RandomnessThe Black SwanFortune's FormulaThe Quants, and When Genius Failed. I'm far from an expert on probability or behavioral finance, but I like to think I have a decent novice's understanding of both. 

From what I've observed, TA skeptics are often sharp-minded, quanty/hyper-logical types who understand probability concepts very well. They scoff at the idea of drawing lines on a chart to predict the future movement of an entity of enormous complexity like the financial markets. I totally get that, it can seem too stupid to believe. Your beliefs are further confirmed when, if you surf the web about TA, you often stumble upon wannabe traders who use charts like this:


I was once a skeptic of technical analysis too, for all the same reasons listed in that thread:
  • No predictive edge when backtesting patterns
  • Human minds are too vulnerable to creating patterns out of noise/randomness
  • Markets are too efficient for charts to have an edge, because everyone can see them
  • Every decision or governing rule seems way too arbitrary and made up on the spot, as opposed to decisions that can be systematically applied across the board

I'm not the type of guy who can just blindly say "Well it's working, why question it?"* I've had to wrestle with these thoughts in real time and work intellectually to put these concerns to rest, as another part of me just wanted to draw trendlines and press the BUY key. Additionally, I've also read a lot from well-known technicians (here's one such guy, who I highly recommend. here's another for good measure. I think this is a decent quick read too) who went through a similar process in order to intellectually accept the validity of technical analysis.
*It's my observation that the best traders never really explain the edge well beyond "because it's simple supply and demand" because it comes so naturally to them. They'll just eventually ignore you because "you don't get it" and then keep making money.

I'm guessing 95% of these new influx of readers, while probably super bright, don't trade on a regular basis outside of the occasional portfolio adjustment. And if they do trade, it may likely be through different methodology than what I employ -- which is standard price-action/sentiment based trading, straight out of the Jesse Livermore school, with some kinks thrown in to adjust for the modern era of electronic trading and an awareness (but not detailed research) of news and fundamentals to adjust for the idiosyncrasies of trading individual stocks.

Anyway, that is my effort to tell you where I am coming from. You have no idea how much I've read up on financial history, probability, and behavioral finance. You have no idea the number of profitable traders (whose track records I get to see or witness in real time) I've spoken to whom use a variety or combination of different methodologies. I don't think I'm naive or delusional. So with that said, here are a few responses to some common generalized arguments:

1) "You're just picking pennies off a train track".
This is more about my risk management and the risk profile of my trading strategy, then about technical analysis. I get that when you don't see all my results nor do you have complete understanding of the trade in question and you only read the (unfinished) story, you only see "this trader made X every day and apparently, he then lost 100X in one day". Thus you immediately think I'm one of those suckers who got owned by an unforeseen fat-tail risk -- that my trading was a miniaturized version of what LTCM was doing or something like that. Well, it's apples to oranges because I had far more control over my situation, but failed to exercise that control to keep the loss manageable. There is a huge difference between losing $ because you were undisciplined or emotionally compromised versus losing $ because you were blind to risk. You'll just have to read to the end to understand.

2) "These strategies have no edge when backtested."
I'll preface by saying I only have a limited experience in actually backtesting a strategy but here's why I suspect there has been a huge gap between the supposed "backtesting edge" and the actual results of real-time traders with a large sample of trades.
  • it's too difficult to quantitatively define a chart pattern, so only the broadest definitions get tested and the sheer number of noisy examples take down the overall expectation
  • there are too many ways to manage after the entry (like time stops vs. price stops) and I don't know how you test this. 
  • it's hard to test profit factor e.g. "this breakout can gain 5x vs. losing 1x" versus merely testing whether it can predict future direction >50% of the time
  • the chart pattern itself may only be a timing mechanism for a trade idea that has multiple conditions (fundamentals, market breadth, correlations, etc) to establish an edge
  • the easiest things to test are usually indicators that have a numerical output and from my experience, the best price-action traders scoff at using indicators for anything beyond a simple visual aid
Remember that technical analysis isn't just charts, it is ALL market-generated information (price and volume or deriving from price/volume), which HFTs and quants are using as inputs as well.

3) "The only profitable traders are the ones who haven't blown up yet. (Insert textbook example of XXXX people flipping a coin heads up and one guy winning it X straight times thinking he's the man)
Take any profitable technical daytrader's long-term track record and run a stat analysis on it. Trades are not binary outcomes like coinflips. If you think someone with a consistent 70% win rate with 3:2 profit factor or 50% win rate and 3:1 profit factor on over 5000 trades is just the benefactor of survivorship bias, then you must be the type of guy who thinks a 10-sigma event happened after flipping 100 straight heads, rather than concluding it was just a rigged coin. How is this trader generating similar outcomes across so many different stocks? How is he producing similar numbers as markets keep changing (bull, bear, volatile, non-volatile, rangebound, trending)? How are his numbers still consistent even when you zoom into random smaller samples? You're probably still stuck thinking in casino land rather than understanding the true relationship between probability and markets. 

Also, read Warren Buffett's rebuttal to the coinflip BS about "luck". The more observations of traders with a similar strategy and approach making money, the more it reduces the chances that outcomes are only due to pure luck.

Back to writing
I could probably add more to it but since my post was such an unexpected hit, I don't want to leave my audience hanging because I'm too busy debating everyone. I want to work on finishing it. I haven't actually explained why I personally think technical analysis works but I don't think that matters. I just want to encourage a bit more open-mindedness. Believe what you want.

I hope some of you wait until I finish the post before you jump to conclusions about what I am doing, how much edge there is behind it, how risky it is, and especially what the true mistake behind my loss is. Feel free to post any comments (please stay constructive) but I will only address them after I'm done writing.

3 Psychological Characteristics That Will Hinder Your Forex Trades

Foreign exchange is often presented as a domain where profits rain in plenty and everyone gets to see riches. However, that's far from the reality. Forex trading can be a terrifyingly difficult financial market to thrive in. Aside from the market risks and erratic events, there are a number of elements within you that can hinder you from emerging successful in your exchanges. 

A trader's psychology plays a vital role in his/her career. Several times, traders blame their losses on market movements and strategies when in fact the problem lies within. Since many approach Forex trading with a lot of predefined misconceptions, finding success becomes hard. 


Here are 3 psychological characteristics responsible for affecting your Forex career:

1) Biased Opinion-Making: 

As a Forex trader, you will have an abundance of sources to pull information from. Be it charts, news or other traders' opinions, there's always something to influence your opinions. While most traders end up believing in their opinion formed on abstract grounds, they are often mistaken. Forming opinions based on one observation of news or one viewing of the charts will only lead to your inevitable downfall! Forex trading is a field of unpredictability, and your Forex Trading Strategies have to be made keeping the latest of market movements in mind. 

2) Sticking To The Comfort Zone: 

To succeed at Forex trading, you have to be ready to take risks. When you take a handful of well-planned risks, you can reap big profits. The downside here is that you also stand a good chance of losing a lot of money by risking, which is why risking has to be done keeping the repercussions in mind. Additionally, you have to prepare yourself for the risks with stop orders and other loss management means. 

3) Expecting Unrealistically: 

Expecting unrealistically from the markets will lead to you building castles in the air and then watch them come crashing down. Always keep things real when it comes to Forex trading. Getting your hopes up will affect how you judge your trades! Employ strong Forex trading strategies and leave the rest to the markets.

Forex trading is without doubt a tricky field to be in. There are a number of dangerous risks present in the markets. To dodge the risky obstacles while simultaneously building yourself to be a good trader, you will need the backing of an expert. Partner up with WesternFX, the best Online Broker in Vietnam, and avail our top-tier brokerage! With our experts by your side, you will become mentally adept in no time. Call us now to get started!