Disclaimer: This is an idea which is not fully baked. Also, the thread title has nothing to do with what most people mean when they say "Price Action". Nevertheless, I think it is appropriate because the idea is based solely on the prices of NADEX binary contracts.
The essential idea: NADEX binaries on currencies expire at the top of the hour. 30 minutes before expiry we will examine the prices of the NADEX binary contracts on EUR/USD, GBP/USD, AUD/USD, USD/JPY, and EUR/JPY (why just those? Don't know, but that is what I am focusing on at the moment; remember the idea is not fully baked). We identify contracts which have a Bid of $80 or higher and those which have an Offer of $20 or lower. The market is saying that a contract with a Bid of $80 or higher is most likely going to finish in the money. It is also saying that a contract with an Offer of $20 or higher is most likely going to finish out of the money. We think the market is correct. However, we aren't going to risk $80 to find out. Instead, we wait for a pullback in the price of the $80 contract to $50 so we can BUY it. Further, we wait for an increase in the price of the $20 contract to $50 so we can SELL it. We can setup up our orders ahead of time. So, for the $80 contract, we put in our order to buy at $50. It will sit in our Working Orders until the contract comes down to our level and we get filled. Or for the $20 contract, we put in our order to SELL at $50. Again, it just sits there until the price rises enough for us to get filled. After we have our orders set up, we just wait. At 5 minutes until expiry, we CANCEL ALL OPEN ORDERS. If the order hasn't been filled by then, then we don't want it to be filled because by the time it does, the underlying currency may not have time to reverse its direction in time for us to be profitable.
It is easy to identify potential trades just by looking at the Bid/Ask prices of the contracts, but on the mobile platform the charts of the contract price can be consulted as well. Here's an example:
On this chart which is a screenshot of the NADEX app on my Android phone, I have marked with arrows the time showing the :30 minute mark, the point on the line graph showing the price of the contract and the price on the Y axis on the right. You can see that this contract was trading with a Bid/Ask midpoint above $80 at the time I did the screenshot. It is for GBP/USD > 1.6864. So, based on what I have laid out above, for this contract we would put in an order to BUY the contract at $50.
In the case of the contract in this chart, the order was never filled because the price did not move down enough before the :55 minute. So, I just canceled the order according to the rule. That is what is going to happen most of the time. None of the orders will be filled. And you will have to cancel at the :55 minute. However, you sometimes will get filled and when you do, the expectation is that you'll be showing a loss for a little while in the position but in the end, you expect the underlying currency to reverse and you finish with a profitable trade.
I think the time to trade this is probably between 7AM and 3PM when the markets in the US are most active.
What I like about it is that it depends only on the "price action" of the contracts. There's no indicators and charts. The only chart I would use is like the one shown above which graphs the price of the contract not the level of the currency. This is why I have borrowed the "Price Action" term so many people are fond of. My apologies if you price action lovers feel I have co-opted your terminology and misused it.