Financial Profitability Using Binary Options

1
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• Markets often move remarkably quickly and this
  volatility especially in uncertain times can
  leave new traders with massive losses.
• There is of course an excellent alternative in
  the form of financial fixed odds trading and more
  especially products such as binary bets and
  binary options.
• Although they are relatively new to the world of
  trading they are now becoming recognised as a
  real and viable alternative to derivative
  products like spread betting and futures and here
  are some key reasons why.

2

• Firstly products such as spread-betting or
  futures are open to unlimited losses, hence the
  need for stoplosses. The problem with this, of
  course, is that in volatile, or even fairly
  moderately moving markets, if your stop is hit
  your trade ends often with a significant loss.
  You don't want to place your stop too close to
  current market action or too far away which is
  often a very difficult balance to strike.

3

• With binary bets / binary options you don't need
  to bother with stoplosses at all. Binary trading
  products protect you from any volatility as the
  amount you win or lose is known from the outset
  of the trade and cannot change. Yes let's just
  repeat that, it doesn't matter how much the
  markets move against you, you can only lose the
  agreed amount.

4

• Secondly binary bets and binary options require a
  low account size, often a fraction of a leveraged
  account like a spread betting or futures account.
• Thirdly these products can be applied to many of
  the major world indices over time periods
  preferred by the trader. So a binary bet / binary
  option can be placed for a single day, a week or
  longer with indices such as the FTSE 100, Dow
  Jones, Hang Seng, Australian Index to name just a
  few. They can equally be applied to Forex,
  Commodity and Share markets.This makes them very
  flexible.
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