Recently I’ve been asked by one of my readers why I don’t trade binary options actively on Fridays. I guess I must have mentioned this in one of my reviews your articles in the past but it is true. I rarely do ever trade binary options on Fridays. There is quite a few reasons why that is, and today I’ll be going through a list of these reasons so that you understand my point of view, and can decide if you want to follow in my footsteps.
Binary Options Trading on Fridays
I don’t know if it’s exhaustion, or just the changes in the marketplace that frequently occur on Fridays, but it’s very common for traders, including myself, to lose a lot of the bank roll that’s been built over the week. Maybe it’s because the market closes at 4PM NYT, so the trading day is compacted, or maybe it’s because the majority of traders are closing their trades to ensure they don’t carry open positions into the weekend.
No matter what it is, trading binary options on Fridays has always been a bit of the arch nemesis for me.
So why not, take the day off and listen to an episode of the podcast?
The concept of over trading in binary options or any other market is highly contested. There are many people that believe there is no such thing, and that you can trade as much as you want whenever you want. I have to be honest here, I’m on the other end of the spectrum when it comes to this argument. I believe that when Friday rolls around, many of us are emotionally exhausted from the ups and the downs of the trading week. Even on Thursday nights I start to feel a bit of a fatigue, and need a bit of a break from the computer monitors.
When trading binary options on a Friday, do yourself a favor and listen to your body. While many will argue that binary options trading is purely mental, I find that there are physical cues that can help me understand my focus and concentration level. I noticed that my eyes get tired, and my ass gets stiff. If either of those 2 things are happening, I don’t care what day it is I stop trading immediately.
When I first started trading, I was so enthusiastic, that I would push through and trade marathons. Sometimes I would trade for 10 to 12 hours in a row. Now, when I look back at those trading days I can see a very specific pattern where the majority of the profit that I created during the first 6 hours of the day was lost in the last 6 hours a day. So, it’s very important to understand your threshold for focus and concentration when your trading binary options, especially on Fridays when you should be taking a step away, collecting your profits and looking back at the week that was.
What Can You Do On Fridays?
One of the things that I do on Fridays, that I recommend to all the binary today readers, is take account for the week that was. Look back at what you’ve accomplished throughout the trading week, and create a plan of attack for the next week. So, while you aren’t trading necessarily, you can still analyze past trades, educate yourself and see where you went wrong and where you went right.
Also, you can put a couple ice cubes in a glass and fill it with your favorite drink. I know that’s what I’m going to be doing today.
Thanks for stopping by and please let me know if you’re one of the binary options traders that likes trading on Fridays, and why.