kinds of binary options
There are several forms of binary options, each and every one with different trading style. In the...
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KINDS OF BINARY OPTIONS

There are various types of binary options, each one with different trading style. In the options market today, there has recently been a creation of different kinds of binary options trading by various brokers. Binary options involve determining prediction of market price direction of an underlying asset. An underlying asset can be a commodity, stock, index or currency;. It's more like a 50/50 win situation. In this article, we will discuss these types of binary options
Published on: Mar 3, 2016
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Transcripts - KINDS OF BINARY OPTIONS

  • 1. kinds of binary options There are several forms of binary options, each and every one with different trading style. In the options market today, there has recently been a creation of different types of binary options trading through different brokers. Binary options involve making a prediction of market price direction of an underlying asset. An underlying asset can be a commodity, stock, index or currency; it's much more like a 50/50 win situation. In this article, we shall discuss these types of binary options VARIOUS TYPES OF BINARY OPTIONS 1. 'Higher/Lower' options: This is a type of binary options which you must predict whether or not the price should go upward or downwards within a particular timeframe. If the price at the time of expiration moves above or below your entry point you will either win or lose eg. Let's say you made a call option at 1.4567 for Apple on One hour timeframe and at the particular time of expiry the price moved above 1. 4567, you will make a profit but if the price moved below 1. 4567, you will make a loss on Apple stock. The volume of profit or loss that a trader will make depends on the pip value. The higher the pip value against your entry point the greater your loss value and also the higher the pip value in line with your entry point the higher your win value. 2. 'Touch /touch "options: It is a type of binary options that requires a trader to predict if the price of an asset will touch a particular point within a specific time that has been fixed by the broker. E.g. The options may read ''Will the value of Apple stock touch 1.4567 point within an hour, if you predicted touch and at the time of expiry the price of Apple stock touched 1.4567 you win the option and vice versa. 3. 'Boundary' options: This is a kind of binary options that requires a trader to predict whether the price of an asset at expiry will fall within or outside a certain range. E.g. The options will read ''Will the price of Apple stock fall within 1.4567 to 1. 6789 at expiry of an hour, if you anticipated 'fall' and at the time of expiry the price fell within 1.4567 to 1.6789 you win and vice versa. 4. one minute Options: This is actually a type of binary options that requires a trader to predict whether the particular price of a asset will go up or down within 1 minute. Eg. Let's say you made a call option at 1. 4567 for apple stock on 60 seconds timeframe, if at the time of expiry the price is above 1.4567 point, you win but if it's below 1. 4567, you lose. So this type of options requires a investor to make his or her decisions as fast as possible. many traders choose this type of options because you earn much more money in just a short time period compared to various other choosing the right broker to trade binary options involves risk taking http://www.binaryoptionscan.com/topoption-broker

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