raviranjan
February 14, 2026
Deriv MT5
,
Escalpando Indicator
,
M and W Patterns
,
Price Action Trading
,
strategy
,
Swing Trading V75
,
Synthetic Indices
,
trading
,
V75 Trading Strategy
,
VIX 75 Strategy
,
Volatility 75 Index
Trade Synthetic Indices with Precision and Strategy
Overview of Indices
We specialize in four primary Volatility Indices. These are synthetic markets that move 24/7, independent of traditional currency news and geopolitical events:
- VIX 75 (High Profit/Leading)
- VIX 50
- VIX 25
- VIX 100
Pro Tip: VIX 75 is the most volatile and profitable, followed by 50, 25, and 100. Our specialized strategy applies seamlessly to all four.
Start Trading Synthetics Today
Minimum Deposit: $10 | Minimum Lot Size: 0.01
All Volatility Indices are found exclusively on the MT5 Synthetic Account.
*Instant deposits and withdrawals for VIX 75 traders via our partner broker.
The Core Strategy
Volatility Index trading is highly effective when you understand its specific rhythm. Unlike the Forex market, VIX often manipulates standard retail patterns like basic support/resistance, flags, or wedges. To be profitable, you must move beyond basic Forex knowledge.
Example 1: The M-Formation setup on a higher timeframe.
Our Execution Tools:
- "M" and "W" Formations
- Clear Candlestick Rejections
- Higher Highs & Lower Lows
- Escalpando Indicator (Scalp Reversals)
- V-Formations (Inline with Trend)
Optimal Timeframes:
- Daily Chart: Overall Trend Analysis
- 4-Hour Chart: Pattern Confirmation
- 15-Minute Chart: Precision Execution
Swing Trading Strategy (Sell Setup)
For long-term swing trades (holding for 3 to 5 days), we follow a strict multi-timeframe sequence to ensure the highest probability of success:
- Daily Analysis: Locate the Daily peak. We wait for the Escalpando Indicator to show Overbought conditions.
- Pattern Identification: Look for an "M" or "Inverted V" formation. There must be sharp rejection wicks on the peaks.
- H4 Confirmation: Drop to the 4-Hour chart to verify that the bearish structure is holding.
- M15 Execution: Switch to the 15-Minute chart. Wait for a final upward rejection wick, then enter your SELL.
- Holding: VIX moves in aggressive straight lines. Scale into the position as long as red candles dominate. Hold until the market reaches the Daily oversold zone.
Example 2: A W-Formation indicating a reversal from the bottom.
Trading the "M" Formation
When the Daily or 4H chart is overbought, look for a "Naked Peak"—this occurs when no previous candles are visible above the current price level.
- The "M" must show clear wicks (rejections) on both legs.
- Once the second leg confirms on the H4 timeframe, zoom into the 15-minute chart for entry.
- Enter after a rejection wick and target a 3-5 day hold for maximum pips.
CHART EXAMPLES: M-FORMATIONS
Trading the Inverted V-Formation
This is an aggressive reversal setup used when the market becomes parabolic and overextended:
Example 3: Inverted V-Formation showing a sharp rejection peak.
- Wait for a sharp peak where no candles exist above the current price.
- Identify the "Long Wick" rejection candle.
- Enter SELL as soon as the following candle confirms red momentum.
- Pro Exit Strategy: Hold the trade on the 15-minute timeframe until a clear bullish Buy setup (W-Formation) appears at the bottom.
Strategic Summary Checklist:
- Always confirm the trend direction on the Daily/H4 charts first.
- Look for clean structural peaks (M or Inverted V).
- Verify that clear rejection wicks are present.
- Use the 15-Minute chart to time your entry for the tightest stop loss.
- Hold your runners until an opposing pattern (W-Formation) forms.
Disclaimer: Trading synthetic indices involves significant risk of capital loss. Ensure you master the strategy on a demo account before trading live funds.
