Binary options: Media and government pronouncements coming off more like echoes of the markets.

Edward Dowd of Phinance Technologies made an interesting point yesterday on the YouTube show Palisades Gold Radio when he shared the following:

“Inside information is transmitted quickly. Markets tell me more than what my leaders tell me.”

When people ask me what sources of political information I follow, I tell them that I don’t do mainstream media. My usual starting point are the original government agency sources such as the White House, the courts, and the Congress. Rather than let the media decipher what these three sources tell me via a tainted filter, I read the pronouncements from the “three branches.”

The problem with the original source approach is that pronouncements are likely not market movers and even if they appear to be, you risk substituting your sentiments for how the rest of the market interprets what the government is saying. Granted, your views and sentimentalities should take first priority, but should you risk making a bet on the market based on the chances that your sentiments are misinformed?

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Think of those puffs of foam you may see on the surface of the ocean. Those puffs of foam are information, and they tell you that something is going on in the environment either right under the water or in the air above the sea. That is why I now start off with looking at the charts. If there is a price move around the announcement of an event, I can get a sense of what is happening in the environment based on the strength of the move.

As a binary options trader, I am interested in where the energy in the markets is moving the price. I put my focus on reading the energy of the current versus looking for where I can jump out of the raft at the moment I see a profit. I think you can get too caught up in the short-term noise resulting from a policy announcement versus thinking about where the current is going and how the gradient of the current is contributing to the price move.

I think that is the beauty of the binary option trade; the knowing and understanding of the currents that drive the event and how an event may impact the currents.

Yes, know what events are scheduled to occur but be prepared to know why those events should have any impact on where prices are going.

Alton Drew

1 July 2025

For a legal analysis of events surrounding your trade, contact me at altondrew@altondrew.com to reserve a 45-minute consultation.

Disclaimer: The above post should not be construed as financial advice but merely me sharing my experiences. Please consult a registered trading advisor before embarking on binary options trading.

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