This article will review the IQ Option Trading Log from 11/05 to 16/05 using the combination of Bollinger Bands and RSI. It will also prove that this trading strategy in IQ Option is very effective.
In the previous post of How to trade, we have introduced you to the reversal trading strategy in IQ Option using Bollinger Bands combined with RSI indicator. It is one of the most effective and popular trading strategies used by traders.
Video on reviewing of IQ Option trading log from 11/05 to 16/05
The video includes depositing $30 in IQ Option on 11/05 and withdrawing $187 to take profit on 16/05.
Notes: These are transactions using Live accounts. You should not follow unless you are aware of the risks. Trade when you are well equipped with necessary things during investment. For your financial safety, do not trade without assessing the losses.
Things to prepare when trading in IQ Option
To be able to make a profit in IQ Option, you must first have a good preparation. This is something that traders often overlook before doing business.
Effective trading strategy
Determine which trading style is right for you.
You are an introvert with the style of following every movement of the market. Then, choose a trendy trading strategy to earn a profit. Because most of the orders following the trend help to increase the winning rate of transactions.
You are a strong person who likes to do what you consider to be right despite everything. Then the reversal trading strategy is definitely for you. Go against the crowd and make the investments that you consider to be correct. You are a quite special person in the market which always values the opinion of the majority.
Suitable capital management method
Every good trading strategy should always go with a good capital management method to minimize the risk.
If the trading strategy has a high win rate of 75% – 90%, then apply the Snowball capital management method. It will bring huge profits when applying compound interest on investments.
For example, you have the first winning with an investment of $10, then your capital and profit will be $18. On the 2nd order, you will invest both capital and profit which is $18. Press on until you reach the limit of the set trading cycle.
If you want to regain the loss within a winning order, the Martingale capital management method is most appropriate. This is an exponential strategy after each previous loss. And when you win, it will offset the loss for all of your previous investments.
If you are a person who likes effective and steady growth then the Classic capital management method is best suited. This is the safest method of capital management but still ensures steady growth.
This is likely the most important part of the financial trading process in IQ Option. In each person, there are basic emotions of higher animals in nature. But most of our emotions are against us during trading in the market.
This is a negative feeling that any trader participating in the financial market carries. The awful thing is that it will kill you quickly and coldly like an assassin.
When this is a game of probability, unimaginable things can happen. You can lose a series of dozens of orders continuously without a single win. But this is just a game of probability, so respect it and don’t let fear overwhelm reason.
When winning and losing is in the middle of a thin line, a good order can suddenly become a losing order. This is easy to make new traders lose their temper easily. By all means, they have to take back what should have belonged to them. They rush to take revenge on the market when the one who suffers the most is themselves.
A developed set of principles to minimize risks
– Do not open an order unless meeting all the conditions of the strategy
– Trade when the trend is clearly confirmed.
– Do not trade more than the set volume for a day.
– Set a profit percentage goal within a day to limit your greed.
– Accept the failure as an obvious one in the probability game.
– Do not trade when emotions matter.
– Limit doing other work while trading to avoid distracting.
– Do not trade before and after breaking news is released.
Before starting to make money in IQ Option, you need to equip yourself with full luggage. This includes trading strategy, capital management method, and trading psychology. Regarding effective trading strategy in IQ Option, you can read more in How to trade. The method of capital management depends on the winning rate of the trading strategy chosen. As for trading psychology, you can practice through a demo account to control it in a better way. If you have prepared those things in the best way, then the return on investment will be within your reach.
Here, we will share the trading log of Mr.X – a trader in How to trade blog– a member of IQ Option Vietnam. If you have any questions regarding the trading process, please ask by leaving comments. We will support you in the best way possible.