Binary Options Trading

Why Trade Binary Options

Binary options system (BO) is easy to learn, and that is the key reason why more people are trading binary options than currencies and commodities in the regular forex market or stock market. The other reason is that binary options offer prompt payout. Besides, binary options trading process is dynamic and continuously interesting. Binary options brokers offer a lot of bonus incentives to the beginners willing to start trading online, including no deposit bonuses. Variety of promotional offers makes them same attractive to the experienced users interested in testing new trading and investment possibilities. BO traders look for best binary options platforms offering decent percentage payout. It is not less important to find a trustworthy binary options broker caring about their clients’ security and easement of all operations.

We see at Forex Awards see our mission in providing our community members with the most essential information in regards to the top binary options brokers.  With us it is possible to compare binary brokers’ profiles, offers, advantages and to sort out those fitting traders’ individual needs best. Our comparison tool is indispensable for new binary options traders who want to figure out “who is who” among the binary options brokers currently working in the market.

Binary Options: Basic Idea

Binary options (sometimes also called “digital options” or “two-way options”) represent the trading style that is actual, up-to-date and most in demand.

The term “binary” means that there are only two types of options: “call” and “put”. Buying a call option will let you earn if the price increases; on the contrary, buying a put option means profit if the price goes down.

Due to binary options any trader can earn worthwhile amounts of money in a much more simple way compared to regular trading. Significant returns can be provided within quite a short period of time, at that initial investments can be quite small.

Learning to Trade Binary Options

Binary options generate the highest profits compared to all other types of trading. Good news about learning option trading system is that it will require minimum of your time and effort. High returns can be generated within short time, and your only task is to correctly predict the asset movement in the course of a pre-defined period of time.

Practically speaking, you have to make a choice between buying a call option and a put option. A call option should be chosen if you presume that the market is to go up by the time the option expires (say, in 1 hour). It doesn’t matter how much exactly the market goes up – your call option will bring you 75% ROI (return on investment). In case you assume that the market is to go down, a put option is the right choice.

What makes binary options so attractive to forex traders? It is the solution that provides high ROI in quite a short time. As a matter of fact, digital trading allows you receiving 75% within just one hour. Comparing to conditions of getting returns trading with regular brokers, which means days, weeks and months, binaries’ swift turnover is really impressive.

Two-way options have a fixed ROI depending on the traded asset. A binary options trader always knows the ROI value before purchasing an option. In case a call option expires above the purchasing price, the trader receives a fixed ROI. In case of a losing trade, that is, once a call option expires below the purchasing price, the trader gets a refund from the broker. The refund amount varies from 10 to 15 percent depending on a broker.

Due to the BO nature, binary betting, that is, buying options without any information or analysis, still gives 50% winning chances. Using analysis increases the winning rate significantly. In binaries the potential profit has no limits. The best strategy is to buy a portfolio of different assets and markets with different terms of expiration. There are digital options with effective period of hours or days; there are as well longer options with life-span of weeks or even months.  Very strong strategies and money management techniques can be applied in the digital trading because of its binary nature. It is possible to stick to some specific values and be able to make a steady profit. The number of trades and the winning ratio can boost your long-term profits.

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