Binary System M1 M5 Indicators MT4 – Full Review & User Guide

If you're tired of testing those random binary indicators that repaint like crazy or confuse you with late signals, then you’ll probably find the Binary System M1 M5 Indicators MT4 surprisingly useful—tho keep in mind this is the free version, so it only shows history signals, not real-time entries. Still, for strategy development, learning visual patterns, and understanding how reversal signals behave on the lower timeframes, this tool can be quite a game-changer.

Binary traders often struggle with finding a reliable indicator that balances simplicity with accuracy. Most tools throw too many arrows or repaint after every candle close, making it almost impossible to trust them. But this indicator focuses specifically on overbought/oversold conditions, reversal zones, and fractal turning points, especially on M1, M5, and M15. And that’s exactly what binary traders need for short expiry trades of 5–15 minutes.

Let’s break down everything you need to know—how it works, why it’s helpful, how to use it properly, and whether the free version is really worth your time.

What Is the Binary System M1 M5 Indicator MT4?

The Binary Deal Trading Indicator (known as Binary System M1 M5) is an MT4-based tool designed for Binary Options traders. Unlike Forex traders who hold positions for hours or days, binary traders rely heavily on fast, accurate reversal points. This indicator attempts to solve that by giving signals based on:

  • Overbought / oversold detection
  • Reversal zone analysis
  • Fractal turning points
  • Market exhaustion logic

Its job is simple:
To show where price is likely to reverse temporarily, giving a potential entry point for short expiry trades.

Even tho the free version only shows “history signals,” it still works well as a learning and backtesting tool. It helps you analyze previous price behavior and see how often the reversal points were accurate.

How the Indicator Works (Explained Simply)

This indicator focuses on detecting momentum exhaustion. When price pushes too far up or down, the algorithm marks the reversal point.

Here’s the general logic:

1. Overbought/Oversold Calculation

The indicator internally tracks market pressure. When candles move too far away from equilibrium, the system marks it as:

  • Up exhaustion → potential sell
  • Down exhaustion → potential buy

This is similar to RSI but more visually aligned with fractal confirmations.

2. Fractal Confluence

Fractals help identify swing highs and swing lows. The indicator uses these to:

  • Confirm a pivot point
  • Measure how strong a reversal might be
  • Give a more accurate expiry window (5–15 min)

3. Reversal Signal

Once overbought/oversold + fractals line up, the indicator prints a history signal.
In the full version, this signal appears in real time.

4. Expiry Forecast

Binary trading requires timing.
The recommended expiry is always:

5–15 minutes after the signal appears
(depending on whether you trade M1 or M5).

Why Traders Use It

Binary trading is not easy—especially on M1/M5 where markets move insanely fast. This tool helps simplify the decision-making process. It allows beginners to visually understand:

  • How reversal points form
  • Where price tends to reject
  • Why certain zones act as turning points
  • What happens after a fractal “break”

Many traders use this tool to:

  • Build manual trading strategies
  • Learn candle exhaustion behavior
  • Test binary entries on history
  • Understand M1/M5 reversal psychology

Even tho this free version doesn’t generate live signals, it still gives a complete picture of how the full indicator performs.

Recommended Timeframes & Expiry Logic

Binary traders often get confused about what expiry to use with which timeframe. Here’s the clean guideline:

M1 timeframe → 5–7 minute expiry
M5 timeframe → 10–15 minute expiry
M15 timeframe → 20–25 minute expiry

The indicator is built specifically for M1, M5, M15, but most traders prefer M1 or M5 because they offer more setups and faster market cycles.

Strengths of Binary System M1 M5 Indicator

Below are some reasons why traders prefer this indicator over many others:

1. Very Clean Visuals

No clutter, no confusing filters—just reversal points.

2. Perfect for Beginners

You don’t need advanced knowledge.
Signals are simple to understand.

3. Works on Any Instrument

You can use it on:

  • Forex pairs
  • Gold
  • Indices
  • Crypto
  • Volatility indices (VIX style)

4. Ideal for Strategy Building

Since it shows history signals, you can develop:

  • Trend reversal setups
  • Sideways market strategies
  • Overbought/oversold reversal plans
  • Scalping-style binary approaches

5. Overbought/Oversold Accuracy

The indicator uses deep candle exhaustion logic, not just basic RSI overbought/oversold.

Limitations You Should Know

It’s important to be real—this is the free version, so there are some limitations:

  • No real-time signals (only history)
  • No alerts
  • No full dashboard
  • Not optimized for choppy markets
  • No push notifications

If you're looking for real-time entries, you need the paid version (not included here).

How to Use the Indicator – Step-by-Step Guide

Even though the free version is limited, it’s still very useful for manual testing. Here’s how to use it:

1. Load it on MT4

Go to
Navigator → Indicators → Binary Deal Indicator → Drag to chart

2. Select Timeframe

Choose M1, M5, or M15.

3. Study History Signals

Look at:

  • Where reversal arrows formed
  • What candle shapes triggered signals
  • How strong the reversal was
  • Whether the expiry would’ve won

4. Mark Winning/ Losing Zones

This helps build your strategy logic.

5. Create Your Rulebook

For example:

  • Only take signals aligned with bigger timeframe
  • Avoid signals during news spikes
  • Only trade when price hits a strong support/resistance
  • Follow candle confirmation

6. Backtest Consistently

It’s easy to assume a system works until you test it over hundreds of candles.

Best Market Conditions for This Indicator

This binary indicator performs best in:

  • Ranging markets
  • Slow momentum
  • Lower volatility conditions

It performs poorly in:

  • High news volatility
  • Sharp trend moves
  • Big spikes
  • London open / New York open chaos

If using the paid version with real-time signals, avoid major news events like NFP, CPI, and FOMC.

Who Should Use Binary System M1 M5?

This indicator is perfect for:

  • New binary traders
  • M1/M5 scalpers
  • Traders studying market behaviour
  • Strategy developers
  • Anyone wanting a free reversal study tool

But it’s not ideal for traders expecting:

  • Real-time entries
  • Automated trading
  • Full dashboard analytics
  • Auto-expiry suggestions

Final Verdict: Is It Worth Using?

Absolutely—if your goal is to study, backtest, and understand reversal logic. The free version is more than enough for that. The indicator gives clean and accurate historical points that help shape a strong understanding of binary price action.

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