Currencies are a favorite of many binary option traders. Their extended trade hours and consistent movement provide plenty of profit opportunities. Some pairs are more popular than others, case in point the three listed below. Let’s review some basic and effective strategies for trading with these pairs.

The following pairs are traded within a decentralized, global market place that is in operation around the clock, five days a week. This does not mean that you’ll be able to trade with these pairs 24-hours a day, however. Expect to find specific trade hours within your chosen binary options platform. Nearly all brokers offer these pairs for trading.

EUR/USD

This currency pair is extremely volatile just after related news stories are released, so avoid trading with the pair for 30-60 minutes after information hits the presses. False movements can render technical analysis a tough task just after any related reports so wait for the storm to calm prior to entering into your next trade.

USD/CAD

Canada supplies lots of oil to the U.S., a fact which is quite important in relation to this currency pair. Because of the large amount of importing and exporting between the two countries, their exchange rates tend to remain relatively balanced. When looking for a strong binary options strategy to use with this pair, you’re most likely to find the best opportunities by closely examining oil.

USD/JPY

USD/JPY isn’t as volatile as some might think, especially when both economies are not under any excessive pressure. However, the Bank of Japan will intervene within the marketplace, working to keep the exchange rate stable. This can actually lead to spikes. One of the simplest strategies is to watch for these spikes and then trade with them accordingly.

For each currency pair there are a number of solid strategies. Each strategy is going to relate to the typical price action of the pair. There are indeed some pairs that are more volatile than others, so keep this in mind when selecting the type of binary options trade you wish to use. For those who have made the switch from Forex to binary options, use what you have learned about the pairs to your advantage.