If you are not familiar with binary options trading, you should take into consideration that it’s a simple and often easy method to earn cash trading various assets (like commodities, stocks, indices or currencies) on the online financial market.
You are for sure familiar with the traditional stock exchange traders who buy assets all day and try to get some profits of it. In the past years, in the online trading it has appeared a new type of trading, where the aim is not to try to buy only the assets which increase their value, and lose when all the market is going in decline, but to predict correctly the trend of an asset.
If you make a correct prediction, the profits are every nice. Moreover, by the end of your trade you have two possibilities: you either lose the investment (unless some broker is offering you some loss coverage), or win a profit determined from the very beginning (sometimes it can be up to 70-90%).
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For example, let’s consider that you decide to buy 10 barrels of oil on the commodity market with a price of 100 USD. This is an 10,00 USD investment. By the end of the day, if the price is 101 USD, you win a profit of 10 USD. In the binary options trading what you need to do is to predict the trend of the price, or the level it hits. Let’s consider – if you predict the price for the same quantity and you now that you will have a 70% profit assured, all you need to do is determine if the price will go up (and then you place a CALL option) or down (when you place a PUT options). The expiry time of the option can be from 1 minute to 1 month. Therefore, you don’t need to wait much. Let’s say you invest 1,000 USD and predict that the price will increase (call option) and the expiry time is 1 hour. If after one hour the price rises to 100,01 USD, than you make 70% profit, which means 700 USD. If the price is 99,99 USD, you lose your 1,000 investment.
Here is your chance to begin your trading experience with a small amount of investment, we created a special website – “Binary Options Small Minimum Deposit”. Here you can find out information about the special promotions of all brokers who give you access to fully functional binary options account with investments which are very low – from just 5 to 50 USD.
