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Binary Options – what are they?

Binary Options Trading is the most easy and fast way to trade Stocks, Indexes, Forex and Commodities online. You need to focus on just three elements: the asset, the time period and the prediction. Basically, in binary options trading (also called digital options trading) you just need to predict whether the price level of an asset will increase or decrease in a given period of time.

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If you predict that at the end of the specified time the price level of the asset you are trading will be higher than the current level, that you should place the CALL option.

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Binary Options Types

There are 5 major types of binary options: cash-or-nothing, asset-or-nothing, one-touch, no-touch, and double-one-touch/double-no-touch.

1) Cash-or-nothing options; this is the most common type of option, as the name shows, this is a predetermined fixed contract in which you either win or lose the entire amount traded; the entering price and expiry time are also predetermined so there are no variables to focus on. You choose the prediction and wait for the expiry time to find out the result.

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