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Binary Options Types

Binary Options Types

There are 5 major binary options types: 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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2) Asset-or-nothing options are a type of option where the stake is the asset itself, rather than the amount of money invested; in this type of option, the traders win or lose the value of the asset he traded, depending on the price of the asset at the expiry time.

3) One-touch binary options represent a different type of trade from the two already presented above. In this type of option, the trader has to predict if an asset will “touch” a specific price level during the specified time of the trade.

4) No touch binary options trading is the opposite of a one-touch option; the trader predicts whether an asset price will not touch a specific level during the specified time.

5) Double one-touch and Double no touch are similar to the types 3 and 4 described above, with the single difference that there are two levels this time. In the double no-touch option, there are two price levels that the asset needs to hit before the expiry time, while in the double no-touch option, the asset price trend mustn’t touch any of those two levels until the time expires.

iqoption Binary Options Types

Binary Options Types