For the first time since Binary Options came into existence, we are taking part at the release of the most complex and tested strategy ever created for Binary Options Trading. Over 17.000 trades placed with a precision that leaves no room for interpretation, over 6 months of continuous testing have led to the clearest strategy and most performant statistics. It hasn’t just proved its profitability, it has the potential to guarantee a Binary Options or even Forex trader constant profits month after month.
Dear members, you who have waited for so long this strategy to see the light, I give you:
Romanus, the expert adviser that is based on the algorithm of the Invictus indicator was launched with the intent to operate for 6 months on 29 currency pairs, daily, 24/5.
What we got from this extensive test was a huge database that gives us the most complex strategy ever created.
That`s why you have been waiting for so long, but it was worth it. Thank you !
Now, get your pen and paper ready!
What is Invictus?
Invinctus is an indicator used in trading Binary Option with an expiry of 5 minutes.
The same panel used by the PinkFreud indicator, will show you which session is active and what the value of the SAC is (session average candle), for each session.
As long as the session panel is green, it means that we are in that session and that it is active. The letter C tells us how much time is left until the session closes, and the letter O indicates the time left until the next session opens. C – close O – open
SAC represents the average value of the candles across the session. Very important to remember: when SAC is below 20 then the volatility on that session is very low, so, trading can be extremely dangerous! I recommend you stay away from trading when the value is under 20.
Another important filter is given by the time. As long as this filter is colored in the background yellow or red it is recommended that you avoid the signals and trading. During these periods session changes occur or there are periods of unpredictable volatility, but in a few minutes everything will come back to normal.
This filter can be the most important and also the easiest to interpret. When a signal comes we need the filters color to be green or yellow. The RED color means we need to be patient and wait for green or yellow in order to enter trading. As long as the color is RED, avoid trading.
Represents the value at that certain time of the standard RSI indicator. This filter is of low importance, but it`s a good indicator of the movement and as long as its color is green or yellow we have an even stronger signal. Green means even greater signal strength.
High Momentum Trend Power. It is a filter that shows we have a very strong trend and we need to be cautious when taking a signal. This filter appears when we have a strong trend and it`s preferable to have a bit more experience before trading with this filter active on our metatrader 4 display. At the beginning of your trading with Invinctus you can avoid taking Binary Options signals when this filter appears.
An important and easy to interpret filter. When a signal appears we need this filter to be yellow or green. We never trade when the color is red.
When a signal comes we get a sound alert telling us what currency pair we must trade and if the signal is PUT or CALL. In the meantime, the display changes color in blue for buy or red for sell. It's extremely easy to follow even on 29 currency pairs because of the sound and visual alerts.
Invinctus automatically traces out in real time all major support and resistance lines. They are represented by horizontal lines dotted in different colors. Also, Fibbonaci zones are automatically traced.
The blue marked zones represent the most powerful support and resistance lines and are also automatically calculated by the Invinctus indicator, using complex algorithms.
When the PUT or CALL signal comes near these zones, it means that the signal given is very strong!
It`s not mandatory to trade only the signals given near these areas, but we need to know we have a benefit while it happens.
This is a perfect call signal given by Invinctus:
1. There is no tail on the candle when the signal appears.
(Off course sometimes it can happen that we have a small wick, but when it appears, it needs to be as small as possible in order to get the price at its maximum).
2. The signal appears right in the support zone traced automatically in blue by Invinctus.
It`s not mandatory for a signal to appear in this area or any area of support or resistance, but like said before, it gives an advantage when it does.
3. The time filter is neutral, we don't have red or yellow to recommend us to stay away.
4. The sessions panel is green and SAC is over 20.
5. When the signal came, the Bar is green.
It can also be yellow, but we will avoid trading when it is RED.
6. RSI and ACS are green
They can also be Yellow, but they can never be Red.
Here`s the funny part:
As we gathered statistics, the data started to become more clear, and the power of this Binary Options trading strategy reached a maximum potential. You are now looking at the most advanced, secure and profitable strategy ever created, one you'll be able to use in order to become profitable.
Now that we understood how a signal is generated by our Invictus indicator, we`ll carry on with the strategy.
Because we managed to gather so many statistics on Binary Options trading, we managed to observe how each currency pair has its own biorhythm. What is even more important when trading Binary Options, is that each pair has its own sweet spot when it comes to the timeframe when it should be traded.
Our 5 minute Binary Options trading strategy becomes perfect once we analize the statisctics we gathered and have analized on www.fxstat.com
Let`s take an easy and clear example:
At 10:17 PM GMT + 2 we get a valid signal as you can see in the images below:
From the statistics that we already have we want to see what is the ITM rate that took place at that specific time in the past.
First of all we see the profit evolution for all the PUT transactions we got on that currency pair, EUR/USD, ITM rate and number of transactions that took place since October 2016 untill April 13 2017:
As you can see, in 6 months, Invinctus did 490 trades on PUT signals for EUR/USD. A total volume of 9800, a net profit of 245 and a success rate of 58%. I remind you that this test went on for 6 months on a 5000 USD account on the GO markets broker. The trades have 20 USD value and no Martingale or other method was used. It was all done automatically by the Romanus expert advisor, and the payout given by GO markets was 75%.
There were no news filters that would have stopped the trading, it all took place 24/5, for 6 months. The data is officially stored by www.fxstat.com and are publicly available, with an included History database where you can observe all the 17456 trades taken over this period.
All clear until now.
Now we check the ITM rate by hours.
The official hour taken into account for the statistics is GMT + 2, GO markets hour.
As you can easily see there are times when this currency pair, using the Invinctus 5 minute Binary Options trading strategy, is very profitable. There are also hours when this currency pair is unprofitable.
For our initial hour when we got the valid signal, 10:17 PM we can see the following results:
In 6 months we had 18 ITMs and 13 ITMs for the 10 – 11 PM GMT + 2 hour.
That means 58% winning rate
For a 75% payout per trade it practically means that from 100 valid signals taken at that time, 58 are profitable, 42 not profitable. For a 20 $ bet/trade on 100 transactions we would have a profit of (58*20*0.75) – (42*20) = 30 USD
The 58% winning rate is not profitable, it is practically an equilibrium state that, on the long term, will only have small profits. When the success rate is at the equilibrium margin of profit (you don`t make much, you don`t lose on the long run), the variations are also very high on short term. I will make a small simulation so you understand how your graph will will look for such a situation on long and short term on a 58% win rate and 75% payout:
For precisely 490 trades, the exact number we have on our account, the graphs look like this:
I used a Variance Calculator, modified for our conditions in order to generate 20 possible graphs on a sample of 490 trades, 20 USD bet size, 58% win rate.
The best profit situation that could have occurred is the turquoise one. In that situation if we had 490 trades on PUT for EUR/USD (the Invinctus signal) we could have made a profit of 717 USD.
The worst scenario is the dark red one, were we could have ended up in a loss situation of 200 USD after all the trades.
Actually, we have obtained a profit of 230 USD, on our graph meaning Sample no 13, the exact middle situation, the one that normally has the highest occurring probability. We can see that what the variantion calculator has put out on sample 13, middle situation, perfectly matches our real tracked account from FXstat, for that precise situation and currency pair.
Putting it otherwise: If we traded that currency pair 490 times with the Invinctus signals during those hours (10-11 GMT +2), every time we had a signal, at the end of the 490 transactions we could have a result similar with 717 profit or 200 losses, the minimum and the maximum, but, statistically, you will end up in the middle, like the math and the graph have shown us.
Let`s see now what variations we can have on a smaller lot of 50 transactions:
We could have made a maximum profit of 180 or a maximum loss of -180. The most profitable situation is the equilibrium one, where we make either a small loss, or a small profit.
A very important aspect: What would have happened if our payout would have been 70% and not 75% ? Let`s calculate again on 490 trades, like in the real situation.
The most likely 20 simulations show that in case we make 490 trades of put in between 10 to 11 Pm GMT + 2 using the strategy and Invinctus indicator for Binary Options, on $ 20 bet size, with a payoff of 70% this time, instead of 75%, the situation changes dramatically. Considering the two extremes, maximum and minimum computer generated variations, we may be 450USD and 440USD gain or loss. The most likely outcome would be one of balance graph, either very low profits or a very small loss.
It’s a quite simple and logical situation. Let’s take our real case and the trades that already occurred on the account. In 490 trades we have had a win rate of 58%. That means 284 Binary Options trades win and 206 binary options transactions loss. That is an approximate 245 USD, the same as we have got on our real situation.
For a payoff of 75% we receive a 15USD profit for each transaction that is profitable out of the ITM 284. For a payoff of 70% we receive a 14USD profit for each transaction profitable out of the ITM 284.
Namely, we lose one US $ on every 20USD trade, when the payoff decreases from 75% to 70%. In the 284 ITM we would lose due to the difference of 284 USD and 5% payoff. Real meaning: in our account instead of 245 profit, we now have a loss of $ 40.
Why am I explaining this?
I want everyone to understand the importance of long term trading and the importance of each aspect of Binary Options trading and the trading conditions offered by the Binary Options broker. The smallest variations of conditions can produce enormous change of the results.
A single percentage plus or minus or one point can overturn a profitable situation into an unprofitable one. I wanted to note this because we are going to come back to it later during our work.
Main conclusions to be drawn out of this brief analysis:
In a payoff 75% offered by the Binary Options broker with a win rate of 58%, the trader is in a situation to profit only if the number of trades is very high, so just in a long term situation. On short term, the Binary Options trader will suffer huge variations, both negative and positive, and therefore it is not a favorable situation because it can create both emotional and financial imbalance.
So, in our case, the Invinctus signals given for EUR/USD pair between hours 10 to 11 PM GMT + 2 does not yet offer, on the sample that we have, very favorable earnings and the signals that occurs during that segment should be avoided.
Let’s take a closer look:
At 14 o'clock we have 15 registered ITM and 5 OTM. That’s a winning rate of 75%. Let’s simulate some sample for 490 trades made at that time.
You should also note that we theoretically consider that the winning rate remains constant at this value. We basically rely on real data that we have so far. The payoff 75%, $20 bet size.
In this case the simulation would look like this:
We can now observe things are completely different. On a sample of 490 trades, the simulator shows us a maximum profit of 2600 and a minimum of 1400.
So, if we trade now whenever Invinctus gives us a PUT signal, our profits after 490 trades would look like in the chart above. 14 o’clock is a very favorable time for “PUT” signals provided by Invinctus for the EUR/USD pair.
If we make a small excel table, the win rate for the Invinctus indicator on EUR/USD PUT signals on trading hours 14:00 PM GMT + 2, would look like this:
So, if for example, a valid signal to PUT the EUR/USD occurs at 2 PM GMT + 2, all you need to do before entering the signal is to check the success rate it has at that time.
In our case, this time success rate is 75% so it is a very strong signal that should be taken.
Of course, many of you have a different time zone so often it is difficult to see when there is a signal and what is the time zone difference.
That is why we have created a table of all time zones so you can see in real time and very quickly what is the time correspondents in GMT + 2.
All you have to do is to position the mouse in the right time zone where you are and you will see that time is our time reference correspondence, GMT +2.
What you need to do?
Install Invinctus, wait for a valid signal on one of the currency pairs you have on MT4. When the signal is given, verify the ITM rate in the EXCEL table you will receive. If the ITM rate is good at that corresponding hour, take the signal.
All the Graphics and data from excel will be received very soon!!