Binary Dow Jones Industrials lost ground for a third consecutive session. It was partly due to the slowing Chinese import growth in June. This fact adds concerns about deteriorating global economic conditions. Volatility is about to be the main drive force for the binary index. It enables the binary traders to place many traders and to transform their trading activity into a business.
Binary DJI is still in good shape and could withstand to some downside pressure. The earning season brings lots of sideways moves to the markets. The binary traders should assess the quarterly results and pass their judgment by buying binary call or put options. It is not so easy to trade during this time of the trading year. The mood of the binary market changes dramatically sometimes. It is important to hold positions for shorter periods and trade regarding the market conditions.
Currently, the binary options are hovering just above an important trend line drawn from 12000 points through 12500 points. It will be a strong intraday bullish signal should the binary asset manage to push higher from 12715 points. It corresponds to 50% retracement from the wave starting at 12450 points and ending at 12980 points. The aforementioned level has been tested 3 times for the last 3 daily candles. It might be useful strategy to attempt buying binary call options.
The bigger wave from 12000 points to 12980 points is about to be retraced 38.2% at 12615 points or there is a space of some 100 points between current levels and the projected target. It coincides with a retracement of 70.70% from the smaller wave. So, it represents a natural target attracting the binary traders. However, it is below the strong support. It could be hit just for the sport with a subsequent upside pressure.
Disclaimer:
The information in this analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.
