Home Investing Top 7 Advantages of Binary Options Trading

Top 7 Advantages of Binary Options Trading

by WhereWhatHow
Top 7 Advantages of Binary Options Trading

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Binary options trading is the most easily accessible kind of trading available. Investors do not have to follow a set time schedule and can access their accounts and invest in any available assets at any time.

No Large Investments Required

Previously, small investors were discouraged from investing as trading involved huge amounts of investments. However, the scenario has now changed and even small investors can now easily trade in expensive markets. An investment amount as low as $200 will be sufficient to start trading in the market.

Simple and Easy to Understand

Usually, the financial markets are very complicated and involve charts, analysis and various indicators. Binary options trading is pretty simple compared to other forms of trading and do not require investors to understand such complicated details. The investors only need to anticipate the direction of the shares and predict whether the share prices will rise or fall after a certain period of time. Based on the knowledge of the market and their own intuition, investors can then decide what to do with their binary options. By predicting correctly, investors can end up making a huge amount of money.

Fast Results

An investor is at the liberty of choosing an expiry time of his own. Investors can select the life cycle of a binary options contract, such as daily or hourly and then can be certain of the time they will receive their payout. There are also short term trades available to the investor ranging from 30 seconds to 15 minutes. 60 seconds trading has become very popular because you can make up to 75% in profit within a minute.

Risk Management

Trading in binary options allows investors to use various strategies that minimize the risk in their trading. However, all strategies are based on proper money management. You should never place a trade that will exceed 5% of your entire capital. Most binary option traders use 2% of their capital for each consecutive trade. This is a very important aspect to understand and a guideline to follow. Without proper risk money management trading becomes a pure gamble.


In all other forms of trading, the factor of uncertainty is very high and traders are very anxious while making their investments. In case of binary options trading, there is not much uncertainty as most settings are predetermined and the traders know the exact expiry times.

Variety of Choices

Binary trading platforms usually offer a number of choices to traders. The binary option contracts that are available to traders range from commodities (oil, silver, gold, etc.), Forex (USD/CAD, USD/JPY, etc.), and stocks (Facebook, Google, etc.). This lets the trader freely choose any contract based on their interest and knowledge.

Source by Bart Kali

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