Why Binary Options


The 8 Prominent Advantages of Binary Options





1. Simple & Straightforward
2. Highly Profitable
3. Controlled Risk

In Binary Options trading, the risk reward ratio is always predetermined. With the exact downside always made known, it is impossible for trades to be overexposed to risks – a common downfall in traditional trading. This transparency and perfect foreknowledge of risk exposure also allows for robust money management strategies and trading decisions that can translate to greater level of success.

 

4. Fast

Binary Options trades on contracts with fixed expiration times that typically range from 60 seconds to an hour, with instant gratification when it expires. This also means that Binary Options is able to generate high returns in relatively shorter timeframes. Traditional trading can range from hours to days or even held up for months before substantial returns can be observed, putting the trades to the prolonged risk of unforeseeable changes in market conditions and judgmental errors.

 

5. Predictable

With parameters of trading greatly reduced, probabilistic accuracy significantly increase. Additionally, many analytical tools are available to assist in the making of informed decisions. With knowledge on historical price movements coupled with adequate technical and fundamental analysis, the most profitable entries can be isolated.

 

6. Many Opportunities

Binary Options thrives and capitalizes on price movement. Be it in periods of high or low volatility, opportunities are still abundant. Unlike in traditional trading where almost no profits can be made from a non volatile market, Binary options simple require a single change in tick to realise the full 85% profits. In essence, Binary Options do not have to wait for huge market movements in order to capture good returns, instead, every 60 seconds can be a window of opportunity for 85% returns or more.

 

7. Performance in Any Market Condition

The dual directional nature of Binary Options means that money can be made in both bullish and bearish market conditions. When the market trend identified is rising, traders can buy and conversely when the signs show a falling prices, traders can short the market and reap the same rewards. This opens up many different trading strategies, putting the trader in good stead to take advantage of fluctuations regardless of market cycles, troughs or peaks.

 

8. Flexible Diversification

Binary options can be placed on virtually any financial product, enabling a wide portfolio. This offers diversify investments across uncorrelated assets that improves profit potential and further minimizes risks. The trader has the full flexibility to set all the rules to his or her advantage – which asset, direction to choose, investment amount and which timeframe to undertake.