Strategy for Pocket Option "Candlestick Absorption"

Broker Pocket Option recommends using the “Candlestick Absorption” system to determine the moment of trend reversal. This signal occurs when a candle with a body larger than the previous one is formed on the chart. It should also be turned in the other direction. That is, on the chart of the Poketoption terminal, the next candle should absorb the previous one.

However, the situation described is not enough to open a deal when trading binary options . You need to wait for the next candle, which will show the direction of the trend (whether the trend has changed or not). Trading on Pocket Option within the framework of this strategy begins after a new candle closes, which opened in the direction of absorption.

Also, do not forget that you can start trading with additional funds by using promo codes for replenishing your account from the Pocket Option broker, and to improve your performance with this strategy, you can use a promo code to cancel a losing trade for $10 .

Trading rules on Pocket Option

The principle of trading using this strategy comes down to the following:

1. You need to wait until a candle with a larger body appears on the chart, which is directed in the opposite direction.
2. Wait until a new candle appears, going in the same direction as the previous one.

It is necessary to open a deal after the specified new candle closes, placing an order in the same direction. It should be taken into account that the strength of the signal directly depends on the size of the absorption candle. In this regard, the Pocket Option broker advises, if you have sufficient funds on deposit, to take a certain risk in such cases. That is, you can open a trade immediately after the engulfing candle closes, and not on the next one after it.

Trading using the Squatting Candle strategy

This strategy is also used in trading on Pocket Option when determining the moment of a trend reversal. The formation of a squatting candle indicates that traders are uncertain about the strength of the current trend. Often such patterns form near price levels. Moreover, it is possible to form several similar candles at once. In addition, a trend reversal cannot be ruled out when a candle with a long shadow and a short body appears on the chart.

Trading using this strategy is carried out in the following order:

1. You need to wait for the squatting candle to appear.
2. Wait for the formation of a new candle that opens in the opposite direction from the current trend.
3. Open a deal to buy an option after the close of a new candle in the same direction.

To minimize risks, the Pocket Option broker recommends always waiting for the closing of the candle following the signal ones.

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