
IQ Option is a comprehensive trading platform that provides its users with a wealth of alternatives, and after starting out as a binary options broker, IQ Option now allows customers to trade Contracts for Difference (CFDs) on stocks, Cryptocurrencies, Exchange Traded Funds (ETFs), Forex, and a range of various digital options.
How to use a trends based strategy with IQ Option.
Trends based strategy IQ Option.
Step one have a trading account
Open a trading account. For purposes of this guide, I recommend you open an IQ Option demo account. It’s absolutely free and easy to get started. Your demo account should have $10000 in it.

Step two
Login to your demo account. Choose the assets you wish to trade. These are simply asset pairs such as USD/EUR. You can select the one you wish. Our goal here is to identify a trend.

Look at the chart displayed on your screen. You’ll notice a green dot that’s moving up and down creating peaks and troughs. The line it creates indicates the trend.
The trend can be falling, rising or neutral. The neutral trend doesn’t see a lot of price movements and it’s better to avoid entering into a position at this time.

You can easily determine the trend your chosen asset is following based on specific time frames. This ranges from 2 minutes to 30 days. You can view these at the bottom of the chart.
Step three
Click on the different time frames presented starting with 30 days. Look at the trend for each of these timeframes.

You’ll notice that the longer the timeframe, the more complex the trend is. For example, you might notice that trend reversal occurs sporadically. You might also notice that shorter time frames such as a day or 60 minutes give you more reliable data you can use. For example, trend reversal occurs after an average of 7 minutes.
The point I’m trying to make is, when looking at trends, your goal should be identifying similar recurring patterns. These will make it easier to predict the best time to enter or exit a trade. 
Step four
Enter your trade based on the trend you’ve identified. If you think that the price of your selected assets will rise over a certain timeframe (as you’ve identified in your trends analysis), enter your investment amount, the expiry period and click on the UP button. If you expect the trend to drop, click on the DOWN button. IQ Option will indicate the expected return amount.

Step five
This is not really a step but additional advice regarding managing your trading account. Trends based trading strategy might seem very easy and it is when you get the basics of reading charts. However, you should remember that price movements are affected by a number of underlying factors. A trend might suddenly reverse leading to loss of your invested amount.
So,I will only invest an amount equal to or less than 8.5% of my account balance. For example, if my account balance is $1000, the maximum amount I can invest in a single trade is $85. This way, even if I incur losses on trades, I will still have enough left in my trading account to enter future trades and recover the loss.

