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AI Signal Generation Technology

Understanding our intelligent trading signal engine

1

Higher Timeframe Trend Assessment

Our AI engine begins by examining the 1-hour chart to determine the primary market trend direction before generating any trading recommendation.

Trend Analysis Methodology

  • Moving Average Evaluation: 50 and 200 period Simple Moving Averages identify trend direction via crossover detection
  • Price Correlation: Current price positioning relative to moving averages validates trend strength
  • Signal Enhancement: Recommendations matching the 1H trend receive bonus confidence points
  • Conflict Prevention: Signals opposing robust 1H trends are automatically filtered or confidence-reduced
2

Market Regime Classification

The ADX (Average Directional Index) indicator allows our system to categorize market behavior as either trending or ranging, enabling strategy customization.

Trending Market Identified

ADX above 25. Momentum-based strategies perform optimally. Follow trend direction for best results.

Sideways Market

ADX below 25. Range-bound strategies recommended. Target oversold/overbought levels for entries.

ADX Calculation Method

Computed across 14 periods, ADX quantifies trend intensity. Values exceeding 25 indicate strong directional movement, while readings below 20 suggest consolidation phases.

3

Trading Session Intelligence

Each global trading session displays distinct volatility characteristics and currency pair behaviors. Our AI dynamically modifies signal parameters to match current session properties.

London / New York Sessions High Activity

Optimal for momentum-based approaches. Trend-following strategies excel. Maximum signal quality during session overlap periods.

Asian Trading Hours Lower Volatility

Range-bound strategies preferred. Mean-reversion techniques more effective. JPY and AUD currency pairs typically show increased activity.

Sydney Session Minimal Movement

Higher confidence requirements applied. Reduced signal frequency but improved signal-to-noise ratio during quieter periods.

4

Multi-Indicator Confirmation System

Trading signals are produced only when multiple independent indicators converge on the same directional bias. Greater indicator agreement results in elevated confidence ratings.

Core Technical Analysis Components

RSI Detects extreme price conditions
Momentum Measures price acceleration rates
SMA Moving average convergence patterns
ADX Quantifies directional movement strength

Confidence Calculation Process

  • → Base score derived from indicator consensus
  • → Additional 10 points for 1H trend alignment
  • → Session-based adjustments ranging 5-15 points
  • → Trend-conflicting signals penalized or eliminated

Available Timeframe Configurations

Our platform supports 16 distinct timeframe configurations, each optimized for specific trading styles and risk profiles:

5S10S15S30S1M2M3M5M10M15M30M45M1H2H4H1D

Recommended: Demo Account Practice

Before trading with real capital, we highly recommend extensive practice using risk-free demo accounts offered by binary options brokers. This enables thorough signal testing and market behavior understanding without risking actual funds.