Binary Training Tutorial What Is Binary Options Trading
Welcome to Binary ! Since 1999, we've been a true pioneer inthe Binary OptionsTrading industry, with a flexible, awardwinning platform;fully licensed, safe, and secure business practices;and exclusive, patented pricing technology, hosting over $2 billion in trades to date. But what is â€œBinary Options Tradingâ€�é It's a special type of online trading witha fixed payout, in which you predict the outcome from twopossible results.
The word â€œBinaryâ€� in Binary Options Tradingcomes from the choice of two potential outcomes, in a perfectly clearcut,dualsided scenario. For example:Will the price of Gold trade higher than the current spot price in 15 daysé No matter how you slice this scenario, thereare only two outcomes possible: Yes, it will trade HIGHER. Or no, it will trade LOWER. Let's just say that you take the positionthat it will trade HIGHER, and decide to purchase this option.
If your prediction is correct at the endof the set period, you'll receive the payout that was determinedat the start of the trade. o Note that this amount is automatically calculatedand reported to you through Binary 's pricing technology,before you even press the button to purchase this trade. If your prediction is incorrect at the endof the set period, you'll only lose your initial stake, andno more. o Note that the stake is equal to the amountthat you initially pay to purchase the trade
â€“so there are absolutely no surprises. Thus, as you can see, Binary Options Tradingis a very easy form of online trading, with entirely predictable outcomes. With Binary , you know exactly what youstand to gain or lose before purchasing each and every trade. There are never any hidden fees or commission;what you see is precisely what you get. And you can jump in and start trading withas little as $5! So what are you waiting foréLet's get started!
One Touch Option is also called touch or notouch option. One touch option is different from simple call or put rate option. In simplecall or put rate option you need the price to close above or below the strike price,in order to make a profit. When it comes to one touch trading the price only need to touchthe strike price once or cross, beyond it within the expiration to make a payoff. So I will show you this on the diagram here.For one touch option the price need to touch the strike price once or cross, beyond itwithin the expiration in order to make a payoff. As with simple call or put rate you couldplace one touch for call or put, if you believe
the price will hit the upper strike price,you will place the call one touch trade. If you believe the strike will touch the lowerstrike price, you will place the put one touch trade. The next element is the strike price.Usually the strike prices is offered by a broker. So it's offered by broker and therewill be different range of strike prices for one asset. The third aspect of one touch tradeis expiration. The expiration of one touch trade is one week or five business days usually.With most of the brokers you can trade one touch binary option, on weekends that is Saturdayor Sunday only. As the trade type is longer term so you need to perform analysis, thatis also longer term in order to take advantage,
of this type of trade. The payoff is the mostexciting part of one touch binary option. The payoff is a way higher than simple callor put rate. In simple call or put rate you make from 70 to 80%, whereas in one touchbinary option trade, you make around from 150% to 400%. Next I want to show you how one touch binaryoption trade looks over a live trading platform. So in order to show you this I will open myweb browser. Enter my broker name. That is anyoption . Next I will enter my userid. My password and click login. This is my live trading account and I'm recording thistutorial on Sunday, so you will see most of the
simple call or put rate options are not available.Just like most of the other binary options broker anyoption also have a separate sectionfor one touch trades. I will click this. Now you can see different one touch trades fordifferent assets over the screen. I will scroll this lower in order to see the euro dollarone touch trades available. Now you can see four different one touch trades for euro USDcurrency pair. The first one is euro USD with a strike price of 1.336. It had a return of350%. So what does this meané This means like if on the last Friday let me just scrollafter the recording area. This means if the last close price of the euro USD which wason Friday, was 299 you need the price of the
euro dollar to go above and touch the 1.366,in order to make a profit of 350% over your investment. The expiration time of these optionsis 8th of June 2013 so it's a five business days expiration. The one touch options aretraded in multiple of $50, on this particular platform so I could select any number of units,and it will represent me the corresponding dollar value. So four units mean $200. Thesame goes on for put one touch trade if you believe the price of the underlying asset,will go down you will place a put one touch trade. That means if the current price orif the last close price of the euro USD was 299, you need the price of the euro USD, todepreciate in value and touch the 1.263 or
go or fall beyond this level, in orderto make a profit of 350% over your investment. Again the expiration time of this option isalso same as before. That is 8th of June 2013. That is on one touch binary options. If youhave any questions or comments please leave them in the comments section below. To learnmy strategy please visit my website that is binaryoptionsgain . Thanks for watching.