Bearish Strategy PDF Print E-mail

Whenever you need to make any kind of financial decision, it is obvious that you need to know what exactly your goals are before making any action. We strongly suggest that you are going to be 100% clear on what you want to accomplish before starting and trading any financial instrument.

 

You are recommended to use a market-analysis-based strategy even with binary options  risk levels are well-outlined before a trade. Here we are going to look into the strategy called a bearish strategy. Bearish strategy and bullish strategy are known to be the simplest ones.

 

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In case you are sure that asset you are analyzing is going to head downwards after observing the market utilizing fundamental or technical analysis, a BEARISH strategy may be the one to employ.  According to the data that you receive at your disposal an ABOVE/BELOW option type, you are able to click a "PUT" option or a "BELOW" option using your careful prediction.

 

For instance:  After observing your analysis of the technical charts of the EUR/USD, you are certain that the market is headed downwards in the very near future. You see the current price of EUR/USD is at 1.3850.

 

If you witnessed the payout on EUR/USD options is 75% at your broker, employing a bearish strategy can be wise, by selecting a $1000 PUT contract with a 1 hour expiry. If you are right, and the price of the EUR/USD gone up even 0.1% throughout that term, you are going to profit 75% or $750.

 
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