In recent times we hear in the press such term as binary options. To understand what its strengths and weaknesses in comparison with the Forex market, you need to define the concept. The world economy today is experiencing hard times: daily stresses and risks, maintaining of information war, as an instrument of diplomatic games, quotes and rules that dictate the rating agencies, famous codes, bank and government agencies, which experts to report fading expects the entire planet... Investors have long abandoned the idea of "keeping your savings dollars, euro or gold". Instead, they are looking for ways and means not only to keep up with relentless inflation, but also to provide a decent level of existence , not only themselves, but also their descendants. By these simple and of legitimate circumstances arise invariably those "safe havens", allowing to wait out the storm and the terrible crisis of the sample in 2008. Among them - mostly OTC structures or same exchange tools for a "limited number of users" because of its novelty, complexity, risk or ... speculation. Of course, few people will be attracted by too sophisticated profit. Simple methods, by contrast, mean high competition. Speculative principle of operation of the market suggests that in this case it will be about opinions, projections and estimates - purely subjective factor, and, as it is banal, and psychology.
No wonder most of the world's best-selling investment geniuses in exchange markets and a significant number of pages devoted to it in the field of knowledge of the subtleties of the human soul, which is the essence of darkness. Get the basics right and the laws of behavior of market participants can safely say that half of the work on the extraction of profit is already done. It remains to choose the most appropriate tool and, in fact, the stock exchange. Experts of Option Broker Optionova decided to help in this difficult task.
To make a "dual solution" and win...
In recent times we hear in the press such term as binary options. To understand what its strengths and weaknesses in comparison with the Forex market, you need to define the concept. Most beginners think that the principle of operation is similar to futures options. This is partly true. However, these two instruments are more different than similar. If a futures contract obligates the end of term purchase goods specified in the contract, the option - it is only right to purchase it, no more. A kind of "ticket" to the select club with the possibility of subsequently become its permanent member. It is curious that any options in times of tulip mania in the 17th century, when people on the prospect of owning cherished bulbs purchased paper that assure their right to buy them at a specified value. For a long time the options were out of stock trading, but later they "recognized" and took to their heart and home of the world famous institution. Over the past two decades, options have become a lucrative destination for independent investors who prefer to make investments in several trading tools, which is quite reasonable, given the current volatile situation, when the world is again threatened the existence of the bipolar hegemony. Because it inevitably leads to confrontation and the threat of conflict.
- "Trade with binary (or digital) options at the moment is the fastest and most exciting way to generate a profit from trading in financial markets, the famous " - experts explain of the company of Optionova (rated among the TOP Binary Option Brokers Masterforex-V World Academy http://www.masterforex-v.com/). Here it is all about speed - at the exchange forex fastest - it scalpers. In the case of options it is possible to "outrun" even on the level of profits even those "reckless." By minimizing risk. How I can minimize it - you ask. It's easy to do if you have already made 'insurance' from the usual hassles such as incorrectly defined trend. In binary options trading (including Forex) can enter into transactions on the 1-hour period. At the same time can be purchased as Call- options (to buy) and Put (sell). Trading binary options is ideal for beginners entering the financial markets with minimal attachments. Experienced traders often need to be "reset." Too many "experienced" "fighters for increasing profit " note that finding the most suitable trading tool started " in a new way to understand the market ," which, as a result , led to quite expect positive results . And for investors in times of uncertainty usual markets binary options will be most welcome: Because we all know the simple truth that "times of war " survived the speculators - traders who are able to realize the desired beneficial public resources at the market price . So no wonder the stock experts are seriously considering this financial instrument as an additional source for investment. It remains to deal with the priorities and elect a more convenient form with options depending on their duration, which is divided into American and European style. The first implies the possibility of redemption for any date up to the end of the contract. Under the European will have to wait with the purchase until the end - the maturity date or performance.
Buyer upon receipt of the instrument of the option pays a benefit - the amount of money to the seller to sell when he makes the option contract with him. The price of the option (benefit) is formed by the alignment of supply and demand curve for options as among buyers and sellers. Organizers of the trades or broker using mathematical models calculate the theoretical value of the options.
What else is the advantage of options? Previously we mentioned about how they differ from futures. One of the options is essential to acquire the binary options on futures. If the trader does not yet have a certain amount for the purchase of the latter, options on futures - the best solution. It turns out that in our time there are options on almost all known tools that traders use around the world. A time interval of one hour will allow you to learn to accept the later more complex trading solutions: for example, it is necessary to forecast the cost of gold futures or trend in the currency pair euro-dollar. The difference will be only one point of the predicted value upward or downward. Proceeding from this, you need only purchase the desired option - if the price increases - to buy (call option Call), if reduced - to buy (call option Put). At the same time, and amount of the transaction and the risk level and the expiry date of the option is set by the trader. Trader at binary options trading can earn up to 85 % of the transaction. In the case of the traditional exchange forex and even the most risky, aggressive trading methods traders are unlikely to make a short period of time with the minimum level of risk of at least 65% profit. And if you elect a conservative way, or is very popular and quite effective PAMM profit will be a smaller percentage. That's why binary options trading is both high-yield and virtually risk-free method of trading in all markets of the world famous "- notice experts of the company Optionova.
For trader's note
However, you should always remember about the legislation in the country of residence of the trader. If trade of binary options is recognized by English law, in the Russian legislation such thing is just not provided. That is why the possibility of binary options trading involves participation in questionable companies and hedge funds, most of which fail in the first five years. Investor also need protection and guarantees, which can only give jurisdiction broker. And also - the credibility and reputation in the world's leading markets , earned over many years that has been years in a row demonstrates the company Optionova. Its clients using the trading platform of the company are protected well in the world's best traditions of saving data about transactions and funds for personal accounts.
The company actively cooperates upon partnership programs, which are additional guarantees of stability and give you the opportunity to earn additional income. All this and much more with impeccable and both simple and transparent service for sure will interest both beginners and experienced.
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Original Source: Optionova: Why Are Binary Options Better Than Classical Trading on Forex
