In this article, we’re going to get down to brass tacks. What are the strategies that people have been using to make money using IQ Option, also known as IQ Broker? How do these trading strategies work, and how does one get access to them?
No strategy can guarantee you a profit or truly protect you from the possibility of loss. With that said, people are making money. Here’s how you can do the same.
Strategy 1: Value Investing
You can put a value investing strategy to work for you by using the diverse markets and investment opportunities accessible to you through IQ Option.
Look for long-term, established companies with a long history of growth and development. You want to pay particular attention to firms which have continued to offer a rising dividend on their stock.
Long-term success combined with a 52-week low provides you with an opportunity. Another opportunity to look for would be a historically strong company that’s experiencing deflated stock prices as a result of bad press.
If you can get on these long-term opportunities at discount prices you can collect the dividends on your shares over time, offsetting the opportunity cost of a long-term hold. This is by no means the fastest strategy, but it minimizes risk while providing the opportunity for steady increases and the occasional windfall.
Strategy 2: Trend Monitoring
This strategy applies your risk tolerance directly to your portfolio structure.
Here, you’ll stratify your investment categories based on risk, and then allocate funds according to those risk strata.
For example, determine how much of your investment capital is suitable for high-risk, then allocate that percentage of your funds to high-risk categories.
Any time there is a significant change in your overall balance, take profit from the categories that are largest in order to restore overall portfolio balance. This serves several purposes, but it is an overall hedge that ensures you are taking profit from your windfalls and continuing to invest in opportunities.
As your risk tolerance changes, you can dynamically reallocate between holdings in order to take advantage of shifting market trends, or leave the balance aligned for a longer term strategy.
Strategy 3 – Dynamic Monitoring
This strategy involves the use of automated trade tools to manage your portfolio. IQ Option gives you access to a wide variety of them.
With dynamic monitoring you literally turn your investments over to a sophisticated AI that is designed to trade faster than opponents can, and to do so as opportunities emerge. This leaves investors who aren’t using the same technology lagging behind, giving you an edge.
Dynamic monitoring can skyrocket your profits, though you will need to thoroughly educate yourself on how to use these techniques.
Keep Your Risk-Management Plan in Mind
All investments come with risk, which means you need to develop a risk-management plan. Adjust your strategies to your plan and you’ll insulate yourself against losses while positioning yourself to take advantage of profit-making opportunities. A mixture of all three strategies can also be a good way to insulate you, as this will diversify your strategy and give you the opportunity to make the most of your capital.