If you are looking for how to trade boom and crash indices successfully, then this article was written for you. As a rule of thumb, there is no strategy that is 100% perfect, but I will try to share some tips that will guide you in your journey to become a successful trader. In this article, I want to share with you all, the new powerful Crash 500 Spike Catcher System that is tested to trade only spikes on C 500. But If you have a time you can test it on Boom 500, 1000 and Crash 1000.
Boom and Crash Indices
If you are a newbie , you must have heard of Boom 500, Boom 1000, Crash 1000, and Crash 500. For the sake of clarity, Boom and Crash are ‘synthetic indices ‘ that is found only under the binary.com platform. With Crash 1000(500) Index, there’s an average drop in the price series that occurs at anytime within 1000(500) ticks. With Boom 1000 (500) index, there’s an average of one spike in the price series that occurs at anytime within 1000(500) ticks.
Without spending much time talking about Boom and Crash indices, let us move to the indicators used in this new Crash 500 spike Catcher system.
Fig 1: Full Setup
IIn the main chart, we have two indicators: Levels and Support and resistance
Fig 2: Description of Main Chart Tools
In window 1, we have four indicators: Min, Norma, Repulse, Rsi
Fig 4: Norma Tool Description
Fig 5: Repulse tool Description
Spike Signals Generation
To trade spike in all boom and crash indices, is the best money management that keeps you stay longer in the market and be successful.
First of all, check all tools or indicators in window 1 to touch on 90 level of Relative Strength Index. If this condition is met, check that the current market price is on resistance on main chart. At this time, do not wait, make a sell order and close when it spikes.
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