Quotex Trading Strategies

Learn beginner-friendly strategies to improve your trading results on Quotex

Risk Warning: Trading involves high risk of losing capital.

Important Risk Warning

Trading involves significant risk of loss and is not suitable for all investors. The strategies presented here are for educational purposes only and do not guarantee profits. Always practice with a demo account first and never invest money you cannot afford to lose.

Candlestick Patterns

Candlestick patterns are powerful visual indicators that can help you predict market movements. These patterns have been used for centuries and remain effective in modern trading.

Doji Pattern

A Doji forms when the opening and closing prices are virtually equal. It indicates market indecision and a potential reversal.

1

Look for a Doji candle after a strong uptrend or downtrend

2

Confirm the reversal with the next candle moving in the opposite direction

3

Enter a trade in the direction of the reversal

Hammer and Shooting Star

These patterns indicate potential reversals. A hammer appears at the bottom of a downtrend, while a shooting star appears at the top of an uptrend.

1

Identify a hammer (long lower shadow, small body) at the bottom of a downtrend

2

Look for a shooting star (long upper shadow, small body) at the top of an uptrend

3

Enter a trade in the direction of the potential reversal

Engulfing Patterns

Bullish and bearish engulfing patterns occur when a candle completely engulfs the previous candle, signaling a potential reversal.

1

Identify a bullish engulfing pattern (a green candle engulfing a previous red candle) at the bottom of a downtrend

2

Look for a bearish engulfing pattern (a red candle engulfing a previous green candle) at the top of an uptrend

3

Enter a trade in the direction of the engulfing candle

Candlestick Patterns Chart
Martingale Strategy Chart

Martingale Strategy

The Martingale strategy is a popular money management system where you double your investment after each loss, aiming to recover previous losses and gain a profit with a single win.

How It Works

The basic principle is to increase your investment after each loss, so when you eventually win, you recover all previous losses plus a profit equal to your initial stake.

1

Start with a small initial investment (e.g., ₹1,000)

2

If you lose, double your investment on the next trade (e.g., ₹2,000)

3

Continue doubling after each loss

4

When you win, return to your initial investment amount

Example Sequence

Here's how a typical Martingale sequence might play out:

Trade 1: ₹1,000 (Loss) → Balance: -₹1,000

Trade 2: ₹2,000 (Loss) → Balance: -₹3,000

Trade 3: ₹4,000 (Win at 90% payout) → Profit: ₹3,600

Final Balance: ₹600 profit

Risk Warning

The Martingale strategy carries significant risk. A series of consecutive losses can quickly deplete your account. Only use this strategy with a strict loss limit and never invest more than you can afford to lose.

Trend Following

Trend following is one of the most reliable strategies for beginners. It involves identifying the direction of the market trend and placing trades in that direction.

Identifying Trends

There are several ways to identify market trends:

1

Moving Averages: When price is above the moving average, it's an uptrend; when below, it's a downtrend

2

Higher Highs and Higher Lows: An uptrend creates progressively higher peaks and troughs

3

Lower Highs and Lower Lows: A downtrend creates progressively lower peaks and troughs

Moving Average Strategy

A simple yet effective trend following strategy using moving averages:

1

Add a 20-period Moving Average (MA) and a 50-period MA to your chart

2

When the 20 MA crosses above the 50 MA, it signals an uptrend (Golden Cross)

3

When the 20 MA crosses below the 50 MA, it signals a downtrend (Death Cross)

4

Place trades in the direction of the trend after a pullback

Support and Resistance

Combining trend following with support and resistance levels can improve entry points:

1

Identify the overall trend using moving averages

2

Mark key support levels (in uptrends) or resistance levels (in downtrends)

3

Enter trades when price bounces off support in an uptrend or rejects resistance in a downtrend

Trend Following Chart

Practice Tips for Beginners

Follow these guidelines to improve your trading skills and manage risk effectively

Start with a Demo Account

Practice all strategies using a demo account before risking real money. This allows you to test and refine your approach without financial risk.

Try Demo Account

Keep a Trading Journal

Document all your trades, including entry/exit points, strategy used, and outcome. Review regularly to identify patterns and areas for improvement.

  • • Record entry and exit points
  • • Note the strategy used
  • • Document market conditions
  • • Analyze winning and losing trades

Risk Management

Never risk more than 2-5% of your trading account on a single trade. This protects your capital and allows you to withstand losing streaks.

  • • Set a daily loss limit
  • • Never chase losses
  • • Take regular breaks
  • • Withdraw profits periodically

Ready to Apply These Strategies?

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