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How To Identify Forex Fraud

How To Identify Forex Fraud

How To Identify Forex Fraud

How To Identify Forex Fraud! The market got hit hard by brokers, software developers, trade signal providers, and others whose only interest was to scam people out of their money and get out quickly. The Forex market’s reputation suffered. The Forex market became known for its scams rather than its trading. But that has changed. It’s changed because the legitimate businesses have lasted through the Forex fraud debacle and have risen to the top. However, just because the bottom feeders are less prevalent doesn’t mean they don’t exist. Any Forex trader, novice or experienced, needs to be careful.

Free trials

Generally speaking, the groups in the Forex fraud business are not interested in giving their targets free trials. They want to get your money and get out. They certainly don’t want to hang around while you’re testing their system. If a service offers a free trial, whether it’s a demo account with a Forex broker, or a free trial with a robot trading system, or free signals from a Forex signal provider, these are all indications that the business is probably legitimate.

If they don’t offer a free trial, ask for one. You may not get one, but you’ll certainly get their attention. There are so many services regarding Forex today, there is no reason why you shouldn’t get what you want. And if you can’t, perhaps it’s time to move on.

First impressions

In all relationships, they say, you only have one opportunity for a first impression. The same is true for Forex tools and services. If someone is going to do business by Forex fraud, they are not really interested in a professional website. As a matter of fact, one of two things usually becomes apparent. The first thing that is a tipoff is if the website appears to be put together by a four year old. If it looks like it took about ten minutes to get the website up and running, it probably did. The second thing to look at is at the other end of the spectrum. If the website looks so slick and “in your face” that a used car salesman would be subtle in comparison, it’s time to question validity.

Always check for contact information and support. People involved in Forex fraud kind of shy away from their targets being able to get in touch with them.

Check things out

Particularly with robot traders and Forex signal providers, many of them will include impressive statistical success rates. Like anything else, if it sounds too good to be true; it probably is. You can always check the charts they might have on their site against real charts from the same time period. You can check quotes they give against historical quotes from another source. Don’t take their word for it. Spend some time to check it out.

Independent sources

Most importantly, look up some independent reviews. There are sources available that will tell you about Forex fraud and its perpetrators.

There are so many great, dependable, and legitimate Forex instruments out there. With a little research on anyone’s part, the chances of being a victim of Forex fraud these days are practically nil. Just be careful.

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Forex Rebates

Forex Rebates

Forex Rebates

The concept of ‘free money’ has always attracted people since the time money was first invented. And the concept of rebates is a common one; whether it involves a coupon from your breakfast cereal; an electronic device you bought; or a car. Everyone wants a discount or an added extra for trying their product. Why should a Forex broker be any different when offering Forex rebates.

Various forms and ways

Some Forex brokers’ sites will offer the potential trader a start-up amount of cash. It doesn’t sound like Forex rebates until you read the fine print. They say they’ll put up the first few hundred dollars for you if you open an account with them.

Some Forex brokers‘ sites will give you a ‘bonus’ for the amount of money you put into your initial margin account. The amount of money varies with the size of the account, the type of the account, and other factors that the trader must read about before signing anything.

It is not free money. Anyone that thinks it is free money should not be trading Forex. There are caveats involved and they’re rather obvious. The Forex broker doesn’t try to hide anything, and they don’t make the print that small. When you accept Forex rebates, you must use that money to trade. It’s not like they give you the money and you can then transfer it into your checking account. Brokers are not in the business of giving money away, however they will try to sweeten the pot with some incentives.

There is usually a minimum time the Forex trader must keep that money in his account. There may be other stipulations involved, also. The trader should read the whole deal.

The good and bad

There really is no down side of Forex rebates, when you think about it. They should always be accepted and taken advantage. Why not? However, the ‘extra’ money should not enter into the Forex trader’s decision making process when choosing a broker. It can be the last thing on his priority list, but certainly not within the top ten.

So many other factors should be taken into account before the topic of Forex rebates comes up, it should almost be treated as an afterthought. If it means the difference between you adding a couple hundred more dollars into your account, then it might be something you would consider. Why not? If all things things are even between a couple brokers you are considering but one broker offers more Forex rebates, then that might be the balance tipper.

You wouldn’t buy a car solely on the rebate, and you’re certainly not going to choose a Forex broker because of the Forex rebates. But it can be a consideration.

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How Forex Connects to Other Markets

How Forex Connects to Other Markets

How Forex Connects to Other Markets

How Forex Connects to Other Markets? Most Forex traders will simply stare at the currency pairs, completely oblivious to the world around them and the fact that it takes various reasons to move that money from one international border to another.

This is a very common problem with Forex traders, as they are brought into this world under the assumption that Forex is where all of their money will be made. They are often enticed by the fact that Forex offers the most leverage, and is supposed to be the most “simple” market out there. Because of this, they miss a lot of the more obvious signals that professionals around the world pay keen attention to.

By knowing some correlations, you can often see signals and other markets before you see them on your Forex terminal. As an example, the gold market is often either predictive more reactive of the Australian dollars moves. This is simply because Australia exports massive amounts of gold. If you think about it, it makes sense as companies will have to pay these Australian miners in Australian dollars. So as gold rises, as a general rule over time the Australian dollar will as well.

Another market the trader should pay attention to is the crude oil market. The futures market for crude can often have a massive effect on the Canadian dollar. This is because Canada exports so much crude oil to the rest of the world, with a special emphasis on the United States. Because of this, as the price of oil rises the value of the USD/CAD pair will fall – which of course signifies strengthen the Canadian currency. This is a double whammy of fact, has the oil markets are priced in dollars. So as the value of the US dollar falls, it will take more of them to buy those barrels of oil.

Quite often, the yen base pairs are a good proxy for risk. In other words, as the world’s markets rise in value – which of course signals that traders are feeling like taking risk, the value the yen typically falls. The main reason for this is that a lot of large institutions will borrow their funding in Japanese yen, and invest abroad in countries that have higher rates of return. As these institutions feel more nervous about the markets, they will often bring money back to Japan in order to pay off these short-term loans. This is essentially what the so-called “carry trade” was about.

By knowing a couple of these correlations, you can often see an anomaly in one market ahead of the other one. For example, if you see gold breaking through resistance, there is a very good chance that you will see a rise in the value of the Australian dollar. Or perhaps you see crude oil falling in price. As it breaks through support, the US dollar will typically rise in value over the Canadian dollar. As you can see, these are trading signals in and of themselves but rather a good way to get a “heads up” on where to be looking for trade setups in the currency markets.

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Regulation in Forex Markets

Regulation in Forex Markets

Regulation in Forex Markets

Regulation in Forex Markets? Despite the difficulty and expense for brokers to function under an authorized regulatory body, there are many worthy brokers that choose to do so and these should be considered above all others. Traders have a wide selection of regulated brokers in their own jurisdiction or in other regions as well and they will find all the same features—and more—with regulated brokers as with non-regulated ones.

The Foreign Exchange (FX) market is the largest, most liquid market in the world – with around US $5.3 billion traded daily. Day trading is quite common among currency traders but most investors depend on setting up trading accounts and executing their trades via Forex brokers.

There are hundreds of Forex brokers and new ones are constantly opening their doors to the public. This makes it difficult for traders to choose the best brokerage and leaves them at the mercy of the broker when it comes to honesty and transparency. Despite its huge size, regulation in the Forex market is scarce and there is no single global body to police it 24/7.

There are no accurate statistics, but the number of Forex and binary options brokers that work under a regulatory authority is minimal (5 percent is usually cited) and that leaves many firms able to take advantage of their clients and to engage in abusive behavior without any consequences.

Non-Regulation Risk

For retail FX traders, the biggest downside to the lack of Forex regulation for most brokers is that of illegal activity or outright fraud as well as runaway losses in a market increasingly dominated by speculative activity and large institutions.

Following a spate of currency-related swindles during the period between 2001 and 2008, the CFTC created a special task force to deal with the problem and stiff Forex regulations were introduced several years later to protect retail FX traders.

Under the Commodity Exchange Act (CEA), the CFTC assumed jurisdiction over leveraged Forex transactions offered to retail clients in the United States. The Act permits only regulated entities to act as counterparties for Forex transactions with retail customers in the States and it requires that all online Forex dealers be registered and meet the strict financial standards enforced by the National Futures Association (NFA).

On the institutional level, banks, which are responsible for 95 percent of daily FX trading, are heavily regulated. The U.S. Federal Reserve and the U.S. Treasury Department are highly attentive to regulation in the Forex industry and monitor brokers carefully for evidence of manipulation.

Forex Regulation-Why?

Why is regulation in Forex so important? The objective of regulation is to ensure fair and ethical business behavior. Under current regulatory contracts, all foreign exchange brokers, investment banks and signal sellers are required to operate in strict compliance with the rules and standards laid down by the Forex regulators or their activities can be deemed unlawful. These bodies must be registered and licensed in the country where their operations are based, which ensures quality control standards are met. they are Brokerage houses are subject to periodic audits, reviews and evaluations which force them to maintain the industry standards. In addition, regulated Forex brokers must keep a sufficient amount of funds to be able to execute and complete foreign exchange contracts concluded by their clients and also to return clients’ funds intact in case of bankruptcy.

Should a regulatory agency find a broker infringing on its guidelines, it can use a wide range of enforcement powers – criminal, civil and regulatory – to protect consumers and to take action against firms or individuals that do not meet acceptable standards.

It can publish notices that are important to ensure the transparency of decision made by the authority and inform the public thereby maximizing the deterrent effect of enforcement action.

Some regulators issue alerts about financial services firms and individuals, based both overseas and in their local areas.

Of course, there can be no assurances that any action taken by a regulatory agency such as the FCA in the UK will result in a payment or return of funds or securities even where formal disciplinary actions are taken and sanctions imposed.

Many of the actions taken by regulatory agencies against the brokers covered under their authorities can also be applied to non-regulated brokers that find themselves in similar situations by police and other enforcement agencies but their mandate is limited and is less likely to be imposed leaving investors with reduced recourse in the event fraudulent behavior.

Forex regulators operate within their own jurisdictions but often work together in pursuit of duplicitous activities. In fact, in the European Union a license from one member state covers the whole continent.

Over the years regulators around the globe have tried to organize some sort of universal regulatory umbrella. MiFID (Markets in Financial Instruments Directive) was introduced in the UK in 2007 and has been the cornerstone of Europe’s financial regulatory regime since then.

The MiFID regulation is now being revised to improve the functioning of financial markets in light of the financial crisis and to strengthen investor protection. The changes are currently set to take effect from January 3rd, 2017, although discussions are taking place between the European Commission, European Parliament and the Council of the European Union about the possibility of implementation being delayed. The new legislation is known as MiFID II and includes a revised MiFID and a new Markets in Financial Instruments Regulation (MiFIR).

There are, however, powerful voices working to lobby against the wholesale Forex market coming under a wide regulatory cover. The Association for Financial Markets in Europe (‘AFME’), an industry body, has come out against the MIFID II strict regulations and has published a paper recently stressing that “unintended consequences” could result in over-regulation of the Forex industry which would prevent brokers from serving their traders comfortably.

Local Approaches

At the moment, there is no uniform approach globally when it comes to this market. The regulatory industry continues to act on a local level with each broker applying for regulation in a chosen location and some organizations are more active than others. In Japan, one of the world’s most active retail Forex market, the Financial Services Authority (FSA) regulates all markets including retail foreign exchange. The FSA is proactive in regulating retail Forex trading and has reduced the maximum leverage that can be made available to retail Forex traders several times in the last few years. In the United Kingdom where the FCA (formerly the FSA) is the main regulatory agency and in most of continental Europe, regulation is in scant amount and as mentioned above, there are few limits on the amount of leverage offered.

CySEC, the financial regulatory agency of Cyprus, is part of the European MiFID regulations but it has attracted a number of overseas firms who wish to take advantage of what is seen as light regulations and an easy way to get a license without having to meet the stringent requirements that are imposed by other European financial regulators.

Presently, relative non-regulation of the institutional Forex market continues to pose ongoing risks to the retail investor which includes higher currency volatility and discrepancies in available public information.

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Types of Binary Bets – Ladder

Types of Binary Bets – Ladder

Types of Binary Bets – Ladder

Types of Binary Bets – Ladder! In continuation of our series on binary options bets, we will discuss the Ladder binary option trade. It is a new variety of binary options trading which was introduced by IG Markets and is gaining popularity.

What exactly is the Ladder trade, and why does it get the name “Ladder”? A Ladder option is a type of binary option trade in which the trader is given a range of price levels which are lined at equal intervals like a ladder, for the trade to finish higher or lower than, at the end of the trading day. More simply put, a ladder binary option specifies that the market has to rise beyond a certain price level, after a certain period while the trade is active.

What this means is that there are several price levels to be set, and several periods to be set. The price levels are arranged just like the rungs of a ladder. For the trade to be successful, the asset has to have “climbed the steps” at certain times in order for the trade to be in the money.

Trade Example:

Let us imagine that the EURUSD is trading at 1.2789, and you want to trade a currency ladder binary trade with your Binary options broker. You want to perform a ladder trade with three price levels: 1.2750, 1.3023 and 1.3060. How do you trade this for the trade to be profitable?

In setting your trades, the first thing to do is to choose an expiration time, which for the purpose of this example, we will set to 2300hrs. The next thing is to look at the array of the trade this way:

  • EURUSD to be above 1.2750 1.20 (20% payout)
  • EURUSD to be above 1.3023 1.35 (35% payout)
  • EURUSD to be above 1.3060 1.50 (50% payout)

What does this translate into?

  • For trade number 1 to be successful, EURUSD has to close ABOVE 1.2750 (i.e. > or = 1.2751) by 2300hrs. The trader will then get a 20% payout.
  • For trade 2, EURUSD must be > or = 1.3024 i.e. must close ABOVE 1.3023 by 2300hrs for the trade to be successful. The trader will then get a 35% payout.
  • For trade 3 to be successful, the EURUSD must close ABOVE 1.3060, i.e. > or = 1.3061 by the expiration of the trade at 2300hrs. This will guarantee a 50% payout.

Close Option

What this means is that the trader has to do his analysis on how the price action of the EURUSD will look like on the trading day, and then choose from any of the ladder trade options.

One strategy that a trader can use to play the ladder trade is the pivot point strategy. To use a pivot point strategy, the first thing to do is to plot the pivot points on the charts of your chosen asset using a pivot point calculator. This will show as three lines of support (S1, S2, and S3), a central pivot point and three lines of resistance (R1, R2, R3).

Next, use the pivot points as guides to what the price could do during the day. Since we are using an intraday expiration, the trader could use a 1-hour chart for analysis. Typically, you would be looking at prices that are just above support levels for a bearish market, or in a bullish market, look for prices that are just above resistance levels that have been breached to become intraday supports.

With those points in mind, you can look at ways to set your trades, using these levels as a benchmark to set your ladder rungs. You would typically be looking at setting your ladder price levels at about five pips above the necessary levels. That way, you can be sure that your trade has a sure chance of success.

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Best Way to Learn Binary Trading

Best Way to Learn Binary Trading

Best Way to Learn Binary Trading

What is the best way to learn binary trading?

The best way  of learning binary trading is to learn binary trading and how to be successful and all beginners’ traders ask this question. They want to learn binary trading very fast and earn profit easily!

We can ask the same question about all matters! For instance:

What is the best way to win in a casino?

How to learn math well?

Which method is the best for being large?

I believe that the above questions are not true because there is no specify rules or way to learn new subject. I personally suggest you when you faced with such advertisement. Don’t believe them most of them and try to attract your attention to their product or their page but why they do that?

There is a simple answer. Most people like to earn or rich something easily and quickly. Then when they see a sentence like this: “best way to earn profit in binary option”,  they will go to their website to find the fastest way to earn profit!

Anyway here I want to teach you my own experience to get profit in binary option trading. But my rules are not the best rules so this rules can be useful for you if you follow my rules step by step. You can be a successful trader.

The best rules for being successful:

    1. Comprehend the binary option words and terminology

      First of all, try to learn the Forex and binary option words. It’s very necessary for beginners to know and comprehend the forex terminology.

    2. Learn your broker platform completely.

      This is very important for beginners before you start your demo trading, start to learn technical rules or fundamental parameters. You should learn how to trade with your broker platform and how to set analysis tools on your chart and etc.

    3. Start Trading Demo without any analysis learning

      I think it’s the best choices when you learned the forex words and platform. You can trade on your platform to try to predict market condition yourself without any knowledge. So do this training for at least 3 weeks.  If you are able to earn profit without any knowledge so don’t try to learn more! If you learn more, you will confuse but 3 weeks is not enough continuing your demo trading for 3 months.
      When you try to earn profit without any background knowledge, you will discover new way and rules to earn profit. It’s very good because you comprehend your own rules and it’s enough for you to earn profit well. why do you want to lose your time to learn more?

    4. Start learning!

      After demo trading, if you lose on your demo account, it means that you can’t stay on your mind to catch the profit on the market. I personally suggest you learn technical method and then learn fundamental rules and both of them are important on the condition that you like to be a professional forex or binary option trader.

    5. Choose your binary broker

      It’s very important before you start your live trading research about your broker and read your broker reviews. Check their platform feature and their client supports team also check their regulation.

    6. Start your live account

      If you pass step3,  you can leave step 4 and start your live trading account but remember if you lose in your live account don’t recharge it stop your live trading and back to the step 3 and 4.

    7. Withdraw your profit!

    The last step is withdrawing your profit till you reach your initial deposit.

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Binary Options Trading: Addiction and Dangers

Binary Options Trading: Addiction and Dangers

Binary Options Trading: Addiction and Dangers

Today some psychologists notice people about new addictions problems like mobile addictions internet addictions gambling addictions and etc. Addiction and Binary Option mean you do something unusually and more than the other people in this behavior. When you don’t do it, you will have a bad feeling. Sometimes you are angry sometimes you are sad and etc. In the other hand if you have uncontrollable behaviors you become addicted.

Am I Addicted to Forex or Binary Options Trading?

First, and most important question is how much time you will trade being addicted?

If you spend more than 4 hours on a day just for trading even Forex trading or binary options trading, you have big potential to become an addiction.

Sometimes you don’t spend all your time for trading but you are surfing the internet go to the chat rooms through your trading in this situation you should think about another addiction I mean internet addiction or computer addiction, unfortunately, it seems that a trader addicted have two or three addiction problems together I mean computer, internet and trading addiction

I can’t control myself when I see a computer! Or laptop or smartphone!

If above sentence is true about you don’t doubt that you are addicted!

Am I Addicted to Binary Options or Simply it is an Internet Addiction?

Just do a simple test to understand you have an internet addiction or binary option addiction.

Remove your trading software and just surf the internet without trading. And doesn’t search for Forex or binary option, does another search surf the internet about another subject for 2 days, not on holidays. You should do it when the market is open after 2 days if you had a bad feeling or if you tempting most time to trade binary option or search for binary option. You are binary option addicted not the internet addicted.

Another test is open your trading software or web browser just for looking at the market and test yourself can you just look at the market movement without trading?!

In brief, an addicted person is a person who can’t control himself when face with his favorites situation if you can control your behavior you are not addicted.

Why Some People Become Addicted?

Some traders trade binary option for fun only they have a good job and they earn money sometimes they trade on binary option just because this market is engrossing for them this kind of traders will not become addicted very soon.

Other traders trade binary option just to earn money they try to become rich or millionaire! These traders have a big potential to become addicted. The forex or binary option advertisement is very attractive for these people.

We have middle trader too! middle trader I mean the trader who trade binary option to earn money but they have other jobs too they don’t trade binary option for their life costs!

Most people prefer that to have their own job, not to a company or a boss. in binary options trading, you can earn money very fast. it will increase your greedy sense! when you become greedy you want to earn more and more you will try to make a lot of trade earn huge money!

Regardless that about traders type all traders can become addicted.

 Answer these questions about yourself:

1-Do you like trade always?

2- Do you have a lot of dream about the binary option when you are sleeping?

3- Do you become very angry when you lose?

4- Do you become very excited when you earn the profit?

5- Are you talking about binary option a lot with your friends or wife or etc.?

6- Will you deposit very fast if you lose all your money?!

7- Will you hold your pee and just look at the market?!

8- Will you become hungry and don’t leave market?!

9- Will you eat your breakfast or lunch on your desktop?!

10- Do you have bad filling when don’t know the market price?!

11- Do you lose a lot of money frequently?!

I can write another question too anyhow if your answer about five of them is yes you become binary option addicted! try to cure yourself.

There are several simple ways that are highly recommended:

1-Just leave the market for a while for example 2 weeks. Don’t worry you have enough time to lose your extra money.

2- When you leave the market, try to learn more. I mean learning binary option trading strategies or watch movies, read articles but don’t trade.

3- Another suggestion has set to specify the time for your trading for example 10 AM to 12 AM it will help you to stop Forex binary option addictions.

4- Try to trade with your friends

If you have binary traders friend, invite them and try to make trading with them in this situation. You are not alone and they will help you so you will help them to decrease emotional trading. When your emotion decreased, you will solve your addiction problem too.

5-Withdraw all your money from your account.  When you withdraw all your money then the market movement will not tempt you to trade again!

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5 Binary Options trading Strategies for Newbies

5 Binary Options trading Strategies for Newbies

5 Binary Options trading Strategies for Newbies

Choose one or more from our 5 Binary Options trading Strategies for Newbies. When you make up your mind to being binary options trader you don’t only become a player but mainly you become an investor. You actually invest your real money the same way you could invest it in any other project; only that binary options trading is riskier but also very profitable if done in the right manner. With this in mind, you should get yourself a binary options trading strategy since this is your greatest weapon when it comes to binary options trading.

There are a variety of binary options trading strategies. For you to succeed, you have to actively learn and use those strategies that you think will make you profits. For beginners, they should start by training with those binary options strategies that are simple to use.

The binary options market is made of a vast and complicated mechanism of the financial market, which operates in accordance to certain regulations and laws.

Below are five binary options trading strategies that are ideal for beginners:

Diversification Strategy

When you choose a certain option when trading binary options, the result of that option depends on the general condition the market and the actual current price of the asset that you are trading. By using a good binary options trading strategy, you can be able to reap big from the options.

As a trader, you should understand that every strategy, even that one that looks to be very promising, isn’t ideal at any one time. Just as it with human trading, binary options trading strategies also make some minor losses from time to time; with the only difference being that the strategies make fewer losses than the human traders and thus the trading strategies make more profits.

But even when using binary options trading strategies, you should never put all your money into one option; rather you should look to see that you divide your capital in a way that enables you to make at least ten investments at a go. This is what is referred to as diversification. Most successful binary options traders always keep Diversification Strategy in mind.

Five Minutes Strategy

This is a very simple strategy, and it is best for beginners with no experience in binary options. Although it doesn’t guarantee to100% of success, according to estimates, it has a success margin that is close to 80%.

The strategy doesn’t really an emphasis on the amount of capital that the beginner deposits. But even with the small amount of deposit, the trader can use this strategy repeatedly in a day, thus increasing the small capital.

The Five Minutes Strategy uses the fact that most binary options brokers allow traders to place options on their farthest extent, which is within 5 minutes before expiration. So, the trader needs to look through the assets in the market and find one that is steady and that has been growing for a long time or, on the other hand, one that has been decreasing. Then the trader should trace its maximum or minimum value depending on the prevailing trend. This value is most likely to be the turning point for the trend.


The Martingale Strategy is based on the principle of the Martingale, which is less risky and safe when applying it in trading binary options. The Martingale Principle is based on making doubling the trading amount so as to cater for a previously failed trade. This means that, if a trader loses $150, he or she have to trade again with an amount of $300. If he or she loses $50, he or she puts $100. According to this strategy, a trader should double the trading amount.

However, the success of this strategy purely relies on luck. It is very risky at some point if the subsequent trades turn out to be losses. To reduce the risk of making losses, a trader should look for a currency pair that has a clear upward or downward trend of price movement. Also, traders can use binary options indicators to increase the chances of winning.

15 Minutes Strategy

This strategy simply states that a trader should track assets on the 15 minutes time frame. If there are 3 or more successive candlesticks of the same color, a trader should buy binary option after two minutes hopeful for a rolling back. For example, if a trader sees three successive white candles close, then a new candle opens and it moves in the opposite direction. The trader should wait for 2 minutes and buy Put binary options with an expiration time set at the close of the current candle which is ideally after 13 minutes (meaning 15 minutes of the time frame minus the 2 minutes waiting).

Buying an option is also recommended if the bodies of three similar successful color candles collectively add up to make more than fifteen points.


It’s true that there are different types of triangles. However, no matter the type of triangle, they all used to show when a breakthrough price is imminent. For example, there are rising/ascending triangles that foretell an imminent increase in prices and may be a probable breakup. Then there are falling triangles, which on the contrary foreruns a likely price fall. Depending on the kind of triangle, traders can successfully trade to make profits.

During an uptrend, price movements form an ascending triangle. However, to visually see the triangle, a trader has to draw two lines joining the resistance and support level. Resistance line is usually horizontal while the support line is normally located at an angle in an ascending triangle when the trend is rising. For the descending triangle during a downtrend, the support line is usually horizontal while the resistance line is normally inclined at an acute angle.

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What is Binary Options?

What is Binary Options?

What is Binary Options?

What is Binary Options? In the financial world binary options is a type of option that has only two possible outcomes. Basically the trader must choose if, the targeted asset will be above (CALL) or below (PUT) the current strike rate price, after certain time expire. For example if, the trader put 100$ on Call of the asset EUR/USD from strike rate 1.0650 for 1 hour expiry if, the price is above that price no matter how far even 1.0651, he/she will profit from 75% to 95% depending on the Broker’s payout rates.

Binary options trading is also suitable for those who are new in the world of finance, because they can’t get into debt if they lose. Only the capital that they decide to invest at the given moment is at risk and there is no possibility of overdrawing their current trading-account balance.

Each option has a time of expiry (expiration). The period in which an option expires may differ – from 30 seconds to several hours. The trader is not as interested in the price trend during the trading as he is in the price at its end. Once the option expires, we learn the closing price, and if it is as predicted, profit is gained.

Binary options are appealing as they are both simple to understand and yet offer the potential for high payouts. Most are based on a simple ‘higher’ or ‘lower’ forecast of where you expect the price of an asset to end at the agreed expiry time. All the trader has to do is select the asset, contract duration and the direction that they expect the price to move. They then decide how much they wish to wager on the outcome. A correct prediction wins the payout.

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