Best reasons to trade Binary Options and improve your income

Why you should start with options trading?

There are many reasons to start with options trading and become a successful with the best binary options strategy. There are other financial markets in which you can trade in, but there are better reasons why you should trade binary. A relatively new way of trading and investing. Binary options trading only became available to retail investors when the US Securities and Exchange Commission ruled in 2008 that it is possible to trade binary outside of exchanges.

That ruling, and the explosive growth in binary brokers, online trading platform, and binary signal providers, and social trading networks made trading in binary options readily accessible alongside more the more traditional Forex,
commodities, stocks, and indices.

Because binary trading is still a relatively new way to invest and differs markedly from other investment vehicles, some of the key advantages and disadvantages of Binary trading are highlighted here:

Benefits of Binary trading

• Huge Returns – the best thing about trading in binary options is the high returns that are available to traders. Traders make a profit as high as 75 to 80% over a single trade.

• Market flexibility – with binary options, you can trade in almost all financial instruments such as FOREX, indices, bonds, and commodities.

• 24/7 Trading – since you can trade via the internet with computers and mobile phones, investors across the globe trade 24 hours a day as binary options cover international markets, and there are always readily assets to be traded on at all times.

• Loss is 100% – Find a good binary option broker to not loose your money with and go through the brokers education

• Market Regulation – Regulation of brokers in the industry is poor, and you could fall victim for a scam.
Successful people take the risk, and this principle applies when you trade binary. However, you can be highly successful if you learn the basic strategies in binary trading.

What is Binary Option Trading

Binary Options enable you to trade a wide variety of instruments across multiple markets. Unlike standard
investment vehicles like stocks where you purchase an underlying asset and bonds, where you effectively
purchase debt, binary options traders neither buy nor sell the underlying asset. Payoff on a binary option trade is one of two things only: a fixed return if the option expires ‘in the money’ or a loss, sometimes the total of your investment, if the option expires ‘out of the money’.

Advantages of Trading Binary Options

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Simplicity

Binary option trading is far simpler to learn than Forex or other financial instruments. While there is plenty of scope to learn sophisticated strategies and hone your trading skills to advanced levels, the basic mechanism of trading binary options is easy to learn, and brokers make the sing generally make the sign-up process quick and easy.

Essentially, using your markets knowledge and individual level of charting knowledge, you need only choose the financial asset you want to trade, decide your investment amount, select an expiry rate, and then make an informed prediction on the direction the market will move in
relation to the instrument you are trading, based on only two possible outcomes.

Binary options trades expire either what is known as ‘in the money’ with a successful trade or ‘out of the money’ with an unsuccessful trade. A successful trade guarantees the trader a
predetermined return on investment (ROI) which can be up to 91%. For the trader who predicts a trade incorrectly, he or she stands to lose up to 100% of their initial investment, depending on their broker. See our broker guide for more.

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Limited Financial Risk

All financial markets carry risk and are subject to volatility. This is especially true in the forex, stocks, commodities and spot metal markets. With binary options, while you might be trading the same instruments, your investment carries less risk. This is because binary options traders are not subject to elements such as leverage, margin calls, slippages, price requotes and the like. So not only does this make trading binary options simpler, it makes it less risky in terms of your investment and exposure.

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Returns

With most traditional investment portfolios, you will wait months or years to see a significant return on investment. Not so with binary options, which come with a large range of different, often short-term expiry rates. With these short binary options expiry times, sometimes as little as 60 seconds, returns can come fast and furious. Given that many brokers offer payouts of between 70-91% on a winning trade, and that you only have to be right 55% of the time to break even, traders looking to capitalize on short-term market trends have significant
potential to achieve substantial trading profits.

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