Deriv Synthetic Indices Explained Volatility 75 Boom Crash Strategy Guide (2025)

Deriv Synthetic Indices Explained: Volatility 75, Boom & Crash Strategy Guide (2025)

Deriv Synthetic Indices Explained Volatility 75 Boom Crash Strategy Guide (2025)

🔥 Introduction: The Rise of Synthetic Index Trading in 2025

Deriv Synthetic Indices are actually catching up with retail traders. To be honest with you, if you prefer to trade round-the-clock, enjoy round-the-clock volatility, and experience some clean price action, you’ve struck gold here.

That super thrilling Volatility 75 Index and those crazy swings in Boom & Crash are virtually a goldmine for traders, particularly for short-term tech analysts and scalpers.

In this blog, we’re gonna cover all you need to know:

What are Deriv Synthetic Indices? What exactly is Volatility 75?

  • ✅ Break down Boom & Crash
  • ✅ Proven trading strategies for 2025
  • ✅ Purpose-built tools and indicators to control
  • 💥 Great trader energy and some great tips!

Access our Live Forex Chart to analyze major currency pairs in real-time. Use interactive tools to track trends and make informed trading decisions.

🤖 What Are Deriv Synthetic Indices?

Synthetic indices are essentially these digital markets created by Deriv. Unlike traditional assets such as forex or stocks, synthetic indices aren’t:

  • ❌ Not interested in news or economic things
  • 🎲 Powered by super secure random number generators (RNGs)
  • 🕒 Available 24/7 — even on weekends
  • 📈 Highly volatile, yet structurally patterned

These indices are ideal for traders who prefer fast moves and good technical consistency.

💡 Breakdown: Most Popular Synthetic Indices

🐉 Volatility 75 Index (V75)

They nickname it the “beast,” and V75 is among Deriv’s most outlandish instruments.

  • 📉 Replicates market fluctuations at 75% of the real market variations
  • ⚡ Displays some deep trends, wild spikes, and firm tech reactions
  • 💹 Available on Deriv MT5 (DMT5) at 1:1000 leverage
  • 👨‍💻 Beloved by scalpers, day traders, and swing traders

💡 Hot tip: A clean 1-minute chart can really illustrate those large movements of 1000+ points. Just be careful how much you’re investing!

💥 Boom 1000 / Crash 1000 & Boom 500 / Crash 500

These artificial indices completely possess embedded spikes and crashes.

  • 🚀 Whoosh: Jumps 1000 ticks (or 500) like
  • 📉 Crash: Drops sharply downward every ~1000 ticks
  • 🔄 Great for countertrend trading, scalping, or automated bots
  • 🧠 Renowned for their timed rhythm, making them great at identifying patterns

🧪 Strategy: Wait for a sequence of candles before a known spike window and use price action entry.

⚖️ Why Should You Trade Synthetic Indices?

Unlike forex or stock trading, Deriv’s synthetic indices provide you with:

FeatureTraditional MarketCounterfeit Indices
24/7 Trading❌ Nope✅ Yup
News Sensitivity✅ High❌ None
Manipulation-Free⚠️ Possible✅ RNG-Based
Leverage🔻 Limited📈 Up to 1:1000
Ideal for Scalping⚠️ Mixed✅ Best

💡 It’s all about being fast and efficient—just the thing you’ll want for 2025 trading systems.

📚 Proven Synthetic Trading Strategies for 2025

Okay, let’s examine some genuine, proven techniques for Volatility 75 and Boom and Crash pairs.

✹ Strategy 1: Pullback from Volatility 75 EMA (M5 Scalping)

Ideal for: Day Traders and Scalpers
Chart Setup: M5 chart, EMA 20, EMA 50

Rules:

  1. ✅ Trend Confirmation: EMA 20 > EMA 50 = Uptrend (Buy pullbacks)
  2. 📉 Price Pullback: Wait for the candle to touch or slightly break EMA 20
  3. 🔍 Rejection Candle: Look for a bullish engulfing or a pin bar
  4. 🎯 Entry: After confirmation, enter the trade
  5. 🛑 Stop Loss: 1500–2000 points
  6. 🎯 Take Profit: 1:2 risk-to-reward ratio

✨ This works because V75 actually pays close attention to EMAs in lower timeframes when volume is good.

⚡ Strategy 2: Boom and Crash Spike Timing (M1 Strategy)

Ideal for: Traders seeking quick spikes
Chart Setup: M1 chart, RSI (14), Bollinger Bands

Rules:

  1. 📈 Overbought (Crash) / Oversold (Boom): RSI > 70 (Crash), RSI < 30 (Boom)
  2. 📊 Price near Bollinger Band extremes
  3. 🕵️‍♂️ Wait for rejection candle
  4. 🎯 Enter trade immediately after confirmation
  5. ⛔ Set tight SL (e.g., 5–7 candles max)
  6. 🎯 TP near next resistance/support or spike point

🤖 This system is suitable for small lot sizes, good win rates, and is all about automated bot scripting.

🧱 Strategy 3: Support & Resistance Breakout (All Indices)

Ideal for: Swing and Momentum Traders
Chart Setup: H1 or H4 chart

Steps:

  • 🧭 Draw horizontal zones of recent swing highs/lows
  • ⏳ Wait for consolidation before a breakout
  • 🔍 Confirm with volume spike or candle close beyond the level
  • 🛡️ Place SL below the breakout point
  • 🎯 TP = 2x Risk or trailing stop

📊 Use TradingView to see things, then proceed and trade on Deriv MT5.

🛠️ Leading Indicators for Synthetic Index Scalping

Try these tips which are ideal for quick synthetic trading:

🔧 Top Tools:

  • 📏 Average True Range (ATR): Place your stop loss
  • 🔄 RSI + Bollinger Band Combo: Filter for overextension
  • 🌀 MACD Divergence: Spot early reversals
  • 🚨 Boom and Crash Detectors
  • 🧭 VWAP or Anchored VWAP: Institutional levels on Volatility indices

🧠 Need to make your own indicator? You’ve got to see the Best Scalping Indicator for TradingView in 2025!

🖥️ Platforms to Use for Synthetic Trading

✅ MetaTrader 5 (MT5)

The official trading platform is Deriv MT5.
Supports indicators, robots (EAs), and fast order execution.

  • 🤖 Ideal for Boom/Crash bots!

✅ TradingView

Hi, so although TradingView doesn’t support synthetic indices, you can absolutely use it for analysis.

  • 🔍 Chart patterns, simulating and testing indicators
  • 📈 Match VIX, S&P 500, and Nasdaq proxies to simulate their synthetic behavior

💡 Try hybrid scalping: see it on TradingView first and then do it on Deriv MT5.

⚠️ Risk Management for Synthetic Indices

Through all the fluctuations, monitoring your risk is a necessity.

  • ⚖️ Use low leverage (1:100 or less) if new
  • 🛑 Set SL and TP levels before entering
  • 💰 Risk no more than 1–2% per trade
  • 🧾 Track your trades and log setups
  • 🚫 Avoid overtrading — spikes can deceive

📛 Many traders blow accounts on Volatility 75 by not using SLs. Stay disciplined.

🗣️ Real Traders Say…

💬 “Volatility 75 has taught me more about what the market is thinking than anything else. It’s hard work, but honestly quite incredible once you master it.”

💬 “So my Boom 1000 bot is making around 6–7 profitable trades a day. Seriously, trading automatically on synthetic indices is altogether a game-changer.”

🧠 Final Thoughts: Should You Trade Synthetic Indices?

If you’re looking for an exciting, high-opportunity market where price patterns matter more than news, Deriv synthetic indices are unmatched.

  • ✔️ Loads of money and no slippage
  • 🤖 Perfect for algorithmic trading, dude!
  • 🕒 You can trade 24/7!
  • 📈 Ideal for scalpers, swing traders, and even beginners

🔥 Begin at the beginning, persevere, and pair your setup with the proper indicators and platforms — and you’re well on your way to becoming a trading expert.

📈 Ready to dominate synthetic indices?

👉 Create a free Deriv Demo Account
👉 Download MetaTrader 5
👉 Explore more tools on tradingviews.blog
💬 Got a question? Comment below or explore our blog on Best Deriv Scalping Strategies

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