Choosing binary options markets that suit you

Binary options are emerging as one of the most exciting, and potentially most profitable, ways to trade a wide range of financial markets. Many traders who had previously enjoyed forex, stocks or commodity trading alone can now access all of these through a straightforward online binary options platform. The simplicity of predicting whether these will move higher or lower than the current strike price makes them particularly attractive for both fundamental and technical traders who no longer have to worry about the degree to which price moves higher or lower in order to determine their profits.

Binary options are all about timing and less about large price movements

The unique way in which binary options allow trader’s to make large profits through fractional movements in the price of an underlying asset make it essential that traders choose a market that suits their trading style. From the many markets offered by binary options platforms, introducing the new factor of timing, which determines whether the options will expire in or out of the money, will help a trader to decide what it the best market to trade. For those who are traditionally fundamental investors, relying on key indicators to influence trading decisions over a longer period of time the choice of longer-term expiry dates will be most attractive. Traditionally, forex and commodities markets offer great opportunities for fundamental traders to position and swing trade these underlying assets.

Selecting the best binary options market to trade

Choosing a market to successfully trade binary options will very much depend on an individual trading style. The first consideration will be the timeframe and trading time that you would be looking to buy and sell binary options. During market hour’s stocks, commodities and forex will all be active markets to look for trading opportunities, however, for those unable to access their trading platforms between early morning and evening, looking for the more active currency pairs during these periods will be the best way to take advantage of market movements. Helpfully, binary options’ trading is available 24 hours per day, and also at the weekend for those who find it difficult to access the markets during the working week. Selecting the available times to trade will therefore offer the choice of active markets available at any time of the day.

Fast or slow trading with binary options?

The increasingly popular sixty second binary options have attracted many to make fast and large profits through correct decisions on higher or lower binary options. These type of options are excellent for technical traders who trade short-term signals during the busiest market hours, and binary options are undoubtedly the best investment to make for short-term gains. Due to the fact that they don’t require the market to move substantially in order to be fully profitably, in fact just a single point can provide up to 85% return, they are fast becoming the preferred investment tool of scalpers and day traders.

For traders who prefer to trade longer timeframes, binary options can also offer hourly, daily and monthly options. This means that a traditional swing strategy can be applied to purchases through an online binary options platform and offer good opportunities for fundamental traders who see a general move higher or lower over a period of time. Again, the fact that the degree is not important means that fundamental analysts do not have to consider stop losses or take profit levels in their analysis and a simple prediction of the market moving higher or lower is enough for the options to close-out in profit.

Multiple markets trading with binary options

Binary options market selection will depend largely on preference and a trader’s availability during the day or week to trade. Since most platforms contain the entire range of underlying assets, together with the varying expiry times of sixty seconds to one minute, they provide a great opportunity for all types of traders to take advantage of profitable opportunities. They also allow different markets to be traded at the same time, as well as hedging strategies to be employed in the same market. This means that traders can also choose to offset their exposure in one market with another and therefore lowering risk and increasing the chance of more profitable trades.


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