Binary options trading explained

binary options trading explained

Note that it does not matter whether the price of EUR/USD skyrocketed up.40 or flash crashed below.00, both the profit and loss will be fixed at 85 and 100 respectively. Binary Options: Trading or Gambling? Also known as digital options or fixed-return options, binary options belong to a special class of exotic options in which the payoff is either a fixed predetermined amount or nothing at all. If you pick the right choice of the two you win the trade.

Binary Trading and Options Basics, an Overview Investopedia
Binary Option - Investopedia
Binary option - Wikipedia

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You do not have to be a financial expert to win. All of the different binary option contracts have these three key ingredients that traders need to take note. The best I could do is to warn him about statistical variance affecting his perceived ability and that short-term volatility along with the inherent disadvantage will make consistent winning incredibly hard. If you are right, you win about. Choose the amount you wish to risk.

Binary Option Trading Explained - The Options Guide

binary options trading explained