Binary Option Robot can receive signals from 6 different trade indicators.
HOW THE TRADING SIGNALS ARE GENERATED
If more indicators are selected, they must be related so that a signal is generated. For example, if RSI and MACD are selected, both signals must be PUT to give an indication to the robot to perform a PUT trade. Also, the two signals must be CALL signals for the robot to perform a CALL trade. When the RSI delivers a CALL signal, and MACD generates a PUT signal, the robot will not execute the trade. MACD and RSI are the indicators that give the best signals.
Direction of the Market
The trend is the most common indicator in the trade. These indicators will always provide a signal to buy or sell depending on market evolution based on previous rates.
Relative Strength Index
The basis of RSI is the magnitude of new profits and recent losses.RSI receives a signal if there is a lot of profit closes rates compared to loses closes rate (overbought situation) ) or when there are many loses closes rates compared to gains loses closes rates (oversold situation). The overbought situation gives a PUT signal while the oversold situation will give a CALL signal.
Commodity Channel Index
The commodity channel index analyzes the relationship between the current price, the moving average and the average differences from that moving average. The commodity channel index determines if the currency pair is overbought or oversold. A PUT signal is generated in an overbought situation while an oversold situation will give a CALL signal. This indicator is perfect to be linked to an oscillator indicator like MACD, Williams %R, RSI or Stochastic.