Binary Option Trade

 

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What are some advantages of trading Binary Options?

Sunday, December 6th, 2009

Binary Options are an investment tool, which allows you to get a high return on investment in a short time period.
For example, If you would invest a $100.00 by creating a ‘Call’ option (that means you estimate the stock price will go up by expiration time). At the time of expiration it turns out the stock went up by 0.00001%, that means it now worth’s 100.00001$. In a regular European option all you would get for you time risk and money is less then one cent! By investing in binary options you’ll get 60%-70% as long as it expires ‘In The Money’, no matter how much it went up! (or down, if it’s a ‘Put’ option)
Binary options are less risky than Forex trading
In addition to the high return mentioned above another advantage is that though you get a high return on your money there is not leverage and no need to deal with ’stop loss’ conditions and other tolls to hedge your money since there’s no way for you to lose more than what you invested in the first place. In fact, Some of the options in Binary Option gives you back up to %15 of the amount even if the options is ‘out of the money’ at the time of expiration (Nadaq options only)