Today, a quite interesting topic that may change the attitude of some investors. We all know very well that the most attractive form of opening a position is betting every few or several minutes - this is due to the fact that we feel that we have more "control" over the profit and if we think we can make up for it quickly. In both cases it is only an illusion because we have no control over the market and if we try to make up for the losses, it may end badly for our deposit. By definition, opening a position for one day is not a long-term trading, but in the case of binary options, it is a long-term trading given that most people bet for around 15 minutes.

Advantages of long-term investments

• Less stress
• Greater effectiveness
• Overtrading is impossible

If someone really can't cope with stress, investing for long periods can be a relief. You get a signal, open positions and go to deal with your affairs without worrying about what is currently happening. The next day you check whether the option you opened turned out to be profitable or not.

Long-term markets are more stable, and this is mainly seen in repeated candles. In practice, if you bet on every signal generated by any indicator, you have a chance to win. Of course, I'm not suggesting you do that - sooner or later, such behavior will lead to a series of losses. You have to remember that there is no need for analysis and you should see what you really want to check. However, keep in mind that the markets over a wider timeframe are much more stable.

A big problem for many novice (as well as experienced) investors is overtrading, i.e. opening too many positions to play. Most often, this behavior leads to even greater losses. If you invest for at least 1 day then you have the rule that you open one position after receiving a signal and wait some time (e.g. several days for the next play). If you lose, you have a lot of time to cool down and you are not so nervous when opening subsequent positions

A simple example

Let me give you a very simple example based on the NZDUSD chart. In the screen below you see the 1-day interval, and the signals were marked for 5 candles (5 days). In the first case, we see a very strong trend that lasted about 5 months. You have regular income for almost half a year because the market is currently in a strong trend. In the second case, we see a situation that has recently occurred in the aforementioned currency pair. Clear stagnation is visible, therefore the signals have been marked with Stochastica, and the options have been marked in the redemption / sale zones

Am I a supporter of this type of investing? No. It's true that I don't like to look at charts for too long, but I enjoy following how the price moves. So why am I writing about all this? I hope that someone who may not be successful on short terms will try to invest for at least one day. Maybe he or she will decide that this is a better solution and by changing their approach, they will discover that "long-term" trading is something that the person is comfortable with.