The Strategy Scanner is a new and innovative binary options trading tool. The Strategy Scanner allows traders to choose from three different data analytic strategies and then use these strategies for further insight into the behavior of different stocks, currencies, indices and commodities.
The three strategies used in the Strategy Scanner are:
- ‘Bollinger Bands’ — Was invented by John Bollinger and it is based on a technical analysis tool. The Bollinger Bands strategy uses a simple moving average and two standard deviations. There is middle band, one upper band and one lower band. The algorithm generates a moving channel of prices consisting of an over sell channel and over bought channel. The algorithm then compares the last executed price in the channel and creates a sell or a buy signal for traders.
- Relative Strength Index (RSI) — This momentum oscillator was created by J. Welles Wilder and it calculates price movement using speed and changes as its measuring points. This momentum indicator compares the range of the latest gains to latest losses so it can determine overbought and oversold assets based on the closing prices of a recent trading period.
- Moving Average — The Moving Average gets its name because it calculates information and analyzes data points and creates a series of averages. These averages are calculated using a number of subsections taken from a full set of data. The Moving Average is used for two main things; first, it is used to indicate the direction of the current trends and second, it helps provide clean data by removing daily price fluctuations found in the financial data.
In order to use the Strategy Scanner all a new user needs to do is choose one of the strategies from above. The Strategy Scanner then calculates and analyzes the data and provides a call / put recommendation based on previous expiries of the stock, currency, commodity or index.
The Strategy Scanner is an innovative device that will help make accurate predictions using real asset trends. This tool will allow traders to place trades with high confidence in order to ensure maximum profits.