Hubba Hubba’s Style — a simple system for 5-15 minutes expiration

Sometimes you can wonder what the old-timers of trading forums are able to. Unfortunate people do not see the light of day, they leave their family and friends, but they always know the course of EURO accurate to the fifth sign. But it is necessary to give them their due, sometimes collective intelligence can give birth to something very useful and, oddly enough, high-quality and thoughtful. Thus, the strategy for binary options Hubba Hubba’s was born, that was named after its creator.

The system is unique because the author moved into the system his vision of the market and trading experience. Additionally, the author trades according to this system for more than a year and, apparently, he does it quite successfully. If you believe the trader who invented this strategy, he had not even a free day till now. During the year, all his free time the trader spent in the painstaking study of the charts. What was the result, we will know now.

Characteristics of the Trading System

• Platform: MetaTrader 4
• Currency Pairs: any
• Timeframe: M5
• Duration of the option - 5 and 15 minutes
• Trading time: round-the-clock
• Recommended broker: IQ Options

Description of principles of the strategy work

The main for this strategy is not following the formal rules but the correct interpretation of the idea. The basic idea underlying TS is as old as the market itself. The essence is to determine the moments when the buyers have bought everything they could, or the sellers have sold all they had. In practice, this allows determining the moments when the price is going to change its direction.

The strategy is divided into two components: trend and flat. During strong directional movement, the market has higher inertia, due to which the signal may come too early. Therefore, you need to choose a more long time of expiration for trend. In flat, on the contrary, the signal is processed almost instantly, literally within one candle. The combination of these two methods rescues the strategy from bottlenecks and makes it nearly impervious to various states of the market.

 

Used indicators

Support and Resistance (Barry) – the indicator draws on the chart the levels of support and resistance based on the fractals of Bill Williams. When a new fractal appears, the key level is created, which replaces the level that was formed by the previous fractal. Due to the nature of fractals calculation, the indicator can be redrawn during the last three candles.

VCustom3 – in a separate window the indicator shows the dynamics of changes in the values of the stochastics for the bar. In fact, it is the standard analog of stochastics but somewhat modified. First, the visual indicator signals visually about the crossing of overbought level or oversold level using red or green color, respectively. Secondly, the system of sound notifications is added to the indicator, and this system informs the trader about the appearance of the signal to buy or to sell.

aFFCal – the indicator displays the time left before the release of the upcoming news. Many traders prefer not to trade during the news release so that you have the opportunity to define your trading plan in advance.

EMA – exponential moving average with a period of 21. In comparison with the simple average, EMA gives more importance to the new data. This allows EMA to respond more quickly to an immediate price change, thereby reducing the signal delay.

Magnified Market Price – auxiliary indicator displaying the current price of the instrument on the chart.

 

The rules for entering a position

1. Wait for the alert from the indicator VCustom3. The indicator informs about the appearance of new trading opportunities with the regular MT4 alert. As a rule, it is not an immediate signal to buy the option, but it only alerts you of a potential deal. The period of time between the alert and the entry can take from several seconds to several minutes, depending on the speed of movement of the instrument price.

When the indicator moves outside the upper boundary of the overbought, it prepares you for buying PUT option. When the value falls below the oversold, a signal to buy CALL option appears.

After receiving the alert you should wait for the current candle closing.

2. At the opening of a new candle, we should check that the price was above the moving average in the case of buying a PUT option, and it was below average in the case of buying a CALL option.

The break of the fractal level (marked with gray points on the chart) means a strengthening of the trend movement while the rebound indicates consolidation. The combination of exponential moving average and indicators of the levels of support and resistance allows you to fairly accurately predict the movement of prices in the range of 2-3 candles that is more than enough in binary options trading. If the previous level of resistance has been broken, we buy the binary option with the expiry time of 15 minutes. If the level has not been broken we buy the option with the period of 5 minutes.

Examples of transactions on EURUSD, 5 minutes ( transactions with the expiry time of 5 minutes are marked with single lines, transactions with the expiry time of 15 minutes are marked with dual lines):

Conclusion

Sometimes a favorite hobby turns into a job. The same happened with the trader from the U.S. who created this system and posted it for free access. Painstaking daily analysis of charts gives off and allows you to see the real causes and interactions that are behind the formation of prices. Given the use of standard instruments (not counting the changed external appearance), the system simply amazes with its efficiency and makes you think that maybe it’s not as difficult as you thought.

Download strategy “Hubba Hubba’s Style” files