Binary Options One Touch Strategy

Binary Options One Touch Strategy

Binary Options One Touch Strategy

Binary options one touch strategy if traded correctly can be one of the most profitable binary options strategies a trader will ever come across.

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The one touch strategy works exceptionally well in volatile markets such as binary options usually known for the fast breakouts and sharp movements.

 

This is one of the most efficient trading strategies with high profits and low risk. That being said, as many other strategies it can only be risky if used incorrectly or applied to an option in the wrong manner.

So let’s try and explain how this binary options one touch strategy can be used correctly and when it should be used to make high profits when trading options.

 

Making the Prediction

As with all financial trading markets the trader must make a prediction in which direction the market is about to move and when trading binary options these predictions are usually short term and are much easier to make.

With the binary options one touch strategy the trader must predict whether or not the price value of the option of choice will reach a certain price within a certain period of time which is usually around the thirty minute mark.

 

Binary Options Spread Trading

Binary Options Spread Trading

Binary Options Spread Trading

Spread Trading is a form of speculation which involves making a prediction on the price movement of an asset.

Binary Options Spread TradingUse this Binary Options Spread trading strategy wisely with leverage and you can make enormous amounts of money in binary options.

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The spread trading broker will usually quote two prices. These two prices are:

•           Offer price (Spread)

•           Bid price

The investors are tasked with trading the value of the asset to exceed or remain under the offer price. The investor doesn’t own an asset in case of spread trading. Their main task is to speculate on whether the price movement of an asset will go up or down.

Defining spread trading

Spread trading is termed as a derivative strategy, as the investors don’t own the actual assets they are trading on, commodity and stocks. The spread traders are just tasked with assessing the price of the asset in nearby trading time.

Using leverage is an important characteristic of spread trading. Other characteristics are wider markets availability, tax benefits and long or short capabilities.

Defining a spread

In case of stock market trading, two prices are stated in regard with spread bets.

These are:

•           A price for purchase

•           A price for selling

The variation between the buying and selling price of the option is called a spread. The investors benefit from the spread trading due to this spread. This also negates commissions as in the case of stock market trade.

Comparing stock market and the spread trade

In this case, spread trading and stock market will be compared side by side.

If for instance the FTSE 100 share index is trading at 4214, a company will quote its sell price as 4213 and buying price as 4215. The quote has a spread of 2 point spread. This allows the trader to trade on this spread.

For instance in stock market, a purchase has been made of 1,000 shares of a company for $193. The price increases to $196 and shuts down. Thus, a profit of $3 was accomplished on every share.

Now pay attention to the fact that $196,000 would have acquired 1,000 shares. Commissions are also needed to enter and exit the stock market.  The profits are subject to tax and stamp duty.

Risk management in spread trading

The risks are high in the case of binary options spread trading especially when using high leverage. Spread trading does offer tools to overcome such high risks, these are:

1: Standard stop loss binary options strategy

The stop loss strategy involves shutting a losing trade before it spirals down to a bigger loss. For a standard stop loss, the trade will be shut down at a price available suitable for the trader.

 Otherwise, the trade could have stepped down to a graver level. The binary options spread trading is a volatile market. Using stop loss order is imperative.

2: Guaranteed stop loss order

In case, the stop loss completely shuts down the trade at the value trader has set, not withstanding underlying market situation. This form of strategy will incur a fee from the trader which is a good way to manage trading loss. The online broker a trader chooses to invest with should provide this tool.

Leveraging for new traders

Over leverage is still a demerit many traders fall prey to and this is the main reason not to leverage in the first stages of investment for new comers to the financial and binary options trading market.

Still, with less capital involvement, better risk management software and tax benefits makes spread trading very appealing for traders, tread carefully.

Binary Options Spread Trading Conclusion

Binary Options Spread Trading is evolving and changing with the new electronic and online markets. The barrier level for entering spread trading has long been lowered. It is an immense and vibrant marketplace that can be very profitable.

 Binary Options Spread Trading

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Binary Options Touch Strategy

Binary Options Touch Strategy

Binary Options Touch Strategy

 

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The Binary Options Touch Strategy can make a trader an astounding 500% profit on a single trade in as little as one hour.

 

Binary Options Touch StrategyThe touch strategy allows the trader to break through many different trading conditions. The Binary Options Touch Strategy involves predicting the price of the asset in a given range. It can either beyond the barrier range or it can decline from the set range. For the former case, use the no touch options while for the latter case, use a one touch option.

 

Below given is the touch trading strategy for the new traders:

•           The particular assets

•           Rules of strategy

•           Trade setup

•           Setting up an expiry

•           Risk management

 

 

There are two kinds of touch options:

 

•           The value of the asset in no touch option shouldn’t reach a set value under the expiry date.

 

•           The value of the underlying asset in case of one touch option should exceed the value under the expiry date.

 

This is one of those high risk trades where the exposure is high. The Binary Options Touch Strategy is basically for the use of professional traders due to the risk involved, however as we may all know, the higher the risk in a trade, the higher the return will be and this is the reason why the payouts in this strategy are also very high, for instance, they could reach an astonishing five hundred percent return per trade.

 

 

Examining the Binary Options Touch Strategy

 

The one touch option strategy is an interesting trading strategy which hands out the trader a price when the price of an asset exceeds a set value. This option permits the trader a set position of the asset prior to expiration.

 

 

As mentioned before, this is a trading strategy which is utilized by professional traders, it is not that complicated to use or understand but it does involve some level of risk and should therefore not be used by new comers to this market.

 

The Binary Options Touch Strategy is also called lock-in options as well as touch digital options. These options have the highest payouts in the financial markets. The condition which must be met with the one touch binary option strategy is that the asset’s price needs to touch a particular rate level prior to the expiry of the asset, if this is met than the trade is positive and very profitable.

 

The novice traders can also easily comprehend this type of strategy and can easily trade it. There is a common mistake made where traders deem that rate has to cross in order to gain profits, although this is not the case.

 

The options will expire when the asset touches the set value in the trade, only then will the trader receives his profits. There are options available which can be bought for just an hour. This way, the trader can buy another option for same expiry date. The condition is quite simple to comprehend.

 

 

There are two results with this one touch strategy:

 

•           The barrier is broken through and the trader receives full payment

•           The barrier remains unbroken and trader loses the investment

 

 

 

This type of option is useful for traders who believe that the price of an underlying asset will exceed a certain level in the future, but who are not sure that the higher price level is sustainable.

 

Because a Binary Options Touch Strategy only has one barrier level, it is generally slightly less expensive than a double one-touch option. These types of options are becoming more popular with traders in the commodity and forex markets.

 

 

Examining the double touch options

 

This is another form of Binary Options Touch Strategy. It’s an advanced form of touch trading. The experienced traders are aware that this entails selecting a particular price for this form of trading.

 

The focused price can be greater or lesser than the given price. This results in trader attaining profits from the asset’s price boost. It’s better to watch as the asset’s price moves and out. Most traders believe that this is a sure bet, it’s not necessarily a case. This form of trading is reserved for the experienced traders.

 

As a new trader you can try out this winning Binary Options Touch Strategy using one of the free demo accounts the online brokers supply, this way you can learn how to implement this profitably and more important risk free.

 

 Binary Options Touch Strategy

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Binary Options Arbitrage Strategy

Binary Options Arbitrage Strategy

Binary Options Arbitrage Strategy

 

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When used correctly the Binary Options Arbitrage Strategy can turn a small investment into a very profitable one.

 

Binary Options Arbitrage StrategyThe private or smalltime traders are hesitant with respect to implementing the binary options arbitrage strategy. Its principles can be applied to utilize the benefits it offers to make better decisions and higher trading profits.

 

This binary options arbitrage strategy is more of a tool which assists the trader to bring together and assemble information from the market in comparison to the indicator’s results.

 

The binary options arbitrage strategy is not just limited to currencies, but is also applicable to all types of investments including binary options trading.

 

 

The fundamentals of binary options arbitrage are explained:

 

Basics of binary options arbitrage

 

The currencies are traded in pairs and the price movement is relative to each one of the currencies. When the demand of a particular currency rises, its price also rises accordingly.

 

Often, the demand for a currency is tremendous yet its price will rise and will affect just one of the traded currencies only. This can create a gap between the values of the currencies. The efficient trader can make a purchase and sell it off with a different currency at a higher price.

 

In real time, with computers and communications, the price differences are not as common as they used to be but they still occur from time to time. Normally when this happens, the financial trading institutions take full advantage of it and balance the difference in the gap.

 

But, it has a real effect on all currency pairs and it enables to keep trading at stable prices. For instance, when Euro drops in price against the dollar, it will lose its price in contrast to yen. This relative pricing of currencies can give an idea on where stock market would be heading.

 

 

Binary options arbitrage strategy explained

 

While looking at the Euro in the stock market, analysis shows that the value of the Euro will surpass dollar soon, yet it remains same with yen. This means that the value of the dollar is going to drop in value. This permits the trader to collect more data points for trading options and work with changing trends.

 

Similarly, when the Euro’s value is rising with respect to the Dollar, yet not the Yen, then the Dollar will remain constant. Thus, a loss can be avoided by investing on the Dollar.

 

These strategies are not simple to use as they have their own anomalies and are usually implemented by the larger financial institutions. This can categorize the binary options arbitrage strategy as a tool for professionals.

 

to sum this up, after getting a signal for two currencies you need to triangulate the signal by looking at a third currency pair (one of the currencies in the pair must be similar to the main currency traded) and make the winning trade on the leading currency.

 

Arbitrage trading is the trading in which buying/selling differentials in the market among assets given in various markets and two assets closely associated.

For instance, binary arbitrage trading exists in these cases:

 

  • Stocks, Indices and Futures.
  • Gold can be traded in commodities section.
  • The stock exists in multiple markets (stock markets). For instance, a European company stock is shown in the US stock exchange.

 

 

 

Tips in binary options arbitrage strategy

 

The primary idea behind arbitrage trading basically means that in short intervals, price of an asset fluctuates in regard to one asset while in another market, it may surpass its value. The market will balance the difference soon enough and the asset with faltering price will certainly reach its designated value.

 

The trader can earn a very large profit by betting on the brief intervals of price fluctuations. The lagging asset takes time in reaching its designated value.

 

For instance, the Dow Jones index decreases its value for a short while, due to a report submission. But as Dow Jones opens for business, it will cover its index soon and will regain its initial value.

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Binary Options Trading Strategies Tips

Binary Options Trading Strategies Tips

Binary Options Trading Strategies Tips

 

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These binary options trading strategies tips for beginners will pave the way to a very simple and profitable trading.

 

Binary Options Trading Strategies TipsThe binary options trading are all about predicting the fluctuation of the asset’s price against the initial price, has the assets’ value closed either higher or lower, it’s as simple as that.

 

The binary options trader has to select either a call or a put. These binary options trading strategies tips will assist the trader in fine tuning the skills and gaining the necessary expertise to create extraordinary investments.

 

There are multiple avenues for an investor to achieve success in a binary options trading market.

 

1: Comprehend the binary options market

The first of the binary options trading strategies tips include a very simple but highly relevant tip and that is “Do not jump to conclusions”.

Put and call should be exercised with great caution. Learn about the market trends and their inclination, there are many free market reviews a trader can use to know where the markets are moving.

The brokers can also assist in this regard, they will supply the new trader with many trading tools to assist you in making good trading decisions.

 

2: Choosing a well-known binary options broker

The next binary options trading strategies tips look at the online brokers. Search for a broker who offers huge range of assets for the binary trader to invest in and gives a high payout, these range from 70% and upwards.

If as a binary options trader you may have a particular interest in a certain asset or market, then make an inquiry with the broker about it prior to signing on with them.

Check out the broker, read the online reviews on them and work on their virtual environment to attain familiarity of the live trades occurring.

New brokers are appearing on the stock market. Most of them are not yet well known and have their worth to prove. It is thus advised to go with the well reputed brokers.

 

3: Learning to trade

This is the most important of the binary options trading strategy tips to take note of.

The new traders are totally delirious about binary options trading and skip this section entirely. Although binary options trading is simple and does not require a great trading knowledge, in order to succeed over a long period of time and see your investments grow you need to educate yourself and become familiar with this volatile and stimulating market.

Most new traders skip the educational part and throw themselves into options trading not realizing how easy it is to make wrong trading decisions and as a result they tend to lose their capital and still fail to comprehend the magnitude of binary options trading.

It is imperative to pay attention to broker’s virtual environment. Practice trading on a demo account, try out new strategies and find the right one that will work for you. Live trading in the real market should only be traded once you have gained some experience.

The experienced traders make use of the free demo account to work out and try out new techniques and binary options trading strategies tips, it is the only way to gain the know-how risk free.

 

4: Researching the markets and deploy a strategy

Another one of the binary options trading strategies tips involve research, you do not need to get into complicated mathematical calculations or use complicated software, leave that to the larger financial institutions.

The experienced and cautious traders make use of the latest news and updates in order to ensure that the assets they are trading are a safe bet. They keep a hawk eye on the economic calendar which tends to move the markets. That can affect the rise or fall of an asset. They also work with tried and tested strategies which makes them profits.

In any case, investing using your gut feeling in binary trading and in the absence of adequate research is highly not recommended.

 

5: Asset selection

Select more than one asset for trading. News and analysis is available for most commonly chosen assets through your chosen online broker. They are discussed all over the net and many other websites for the trader’s advantage.

Stay away from the assets which are unknown to the general traders and options which are not traded heavily, it will be difficult and even risky to invest in an asset which has no movement. Work with known assets and make educated predictions on its rise or fall using trading strategies.

 

6: A trading platform

There are many binary options trading strategies tips we can give you, one of the leading tips would include the trading platform your online broker will supply you with.

Check out the virtual interface of the trading platform and get comfortable with it. It should be a fully interactive and easy to use trading system apart from slides and information.

 

7: Manage money and risks

Money management is also one of the binary options trading strategies tips you cannot afford to skip. This is by no means a critical and very important aspect of trading in the financial markets.

As a trader you should not put all your eggs in one basket, diversify your portfolio and trade a different assortment of assets. Don’t risk all or most of your capital in one trade, it is usually advisable to invest approximately five percent of your money on a single trade.

Binary Options Trading Strategies Tips

This Binary Options Trading Strategies Tips article is one of many you can read and educate yourself with before engaging in real trading. Make use of them and pave your way to a profitable trading binary options career.

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A Beginner’s Guide To Binary Options Trading

A Beginner’s Guide To Binary Options Trading

A Beginner’s Guide To Binary Options Trading

 

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What is binary options trading and why it has become so popular?

A Beginner’s Guide To Binary Options TradingThere are many advantages in the binary options trading market, the main one being the ease in which a new trader can make money. Instead of buying the asset, the investors can just speculate the direction in which the assets are about to move in.

 

High profits

The price of the binary options can rise or fall according to the market situation at the time of investment and a trade in this market can be made in either direction whether up or down, if the prediction is correct than the trader makes a profit starting from 70% upwards.

 

Purchasing the binary option, the contract is made between the investor and the broker. The purchaser can buy the asset at a price fixed during a dedicated time frame.

 

A binary option trading is an interesting and novel method of investing in the stock market. These options are flexible and straightforward to trade, newcomers to this type of trading need no previous knowledge in order to invest profitably. 

 

 

Two Potential Outcomes

The binary options are frequently called digital options as well as all-or-nothing options. They are also known as fixed options returns due to the known profit prior to making the trade. There are two potential outcomes in this trade which is either up or down and the investor knows well in advance about the loss or profit to be made in each trade.

 

 

Money Back Trade

Let’s take an example of binary options trading of an asset. Say an investor purchases a commodity option for $100 predicting that at the time of expiry, the asset will stand on at a higher price level. If the asset is in-the-money, then the trader is has made a good prediction and the trading account will be immediately deposited with the profit made.

 

If on the other hand, the traders prediction was wrong and a loss was made, the trader is will get back anywhere between $15 and $25 of the initial investment in this case, the trader ends out-of-the-money but the broker will reimburse a certain amount back.

 

 

Controlling risk

The nature of these binary options is such that investor knows the profit and risk margins himself. The trader can assess and weigh the risks involved before making the investment. In this case, the stakes are pretty clear to the trader in advance, there are no hidden fees or charges after the trade is over.

 

 

Easy accessibility

In binary options trading, the trader is just purchasing a contract, not the entire asset which opens up to a huge market of investors in the binary options trading. Otherwise, the audience would be limited due to high asset prices.

 

This is one of the main reasons why binary options trading have become so popular in a short period of time, almost anyone can invest in this simple and very profitable market.

 

For instance, if the shares of IBM cost $50 per share, in the conventional financial markets purchasing 20 shares would require a huge investment of $1,000. If the trader made the right prediction and the share made a rise to $55 per share, then the investor is in profit. In this case this trade would have made a ten percent profit margin, a $100 in all. 

 

In binary options trading, the asset only needs to close above the purchase price and the trade is in profit. If for instance the trader invested the same $1000 in the binary trade the profit would have been anywhere between %70 – %80, that is an amazing profit of $700 to $800.

 

 

Profits

The profit is linked with change in direction of the rise or fall of an asset’s price. The trader can make great earnings from just trading on the predicted direction of the asset. The trader has the option to either call or put (buy or sell) an asset.

 

 

Simple yet effective

The knowledge required regarding an asset is minimal in binary options trading for that matter. The payouts solely rely on asset prices changing directions and either closing above or below the predicted price. An asset’s history and detailed knowledge are not needed in binary options which make this form of trading easier.

 

 

Personal Comfort

The international binary markets are open day and night for that matter. This allows the investors to trade in the time or place which is comfortable to them, be it from the mobile on the go, from the office on their break or from the comfort of their home.

 

 

The qualities of binary options trading

1: In case of short term times of expiry (60 seconds trade), the traders can make a quick profit here. These are much more flexible than the known vanilla options.

 

2: There are only two outcomes in the case of binary options, while vanilla options the trader’s pays according to the contract. It depends on the expiry level and strike price difference.

 

 

3: The trader has to keep up the binary option until the option expires at the date of expiry.

 

 

Binary options trading is a great and easy way to make an extra income and financial independence, if you are considering getting into the fascinating world of trading, than binary options trading would certainly be the right market to start in.

 

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Binary Options Trading Guide

The Highly Effective Breakout Strategy

binary options breakout strategy

The Highly Effective Breakout Strategy

 

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The Breakout Strategy is one of the most effective trading strategies for making very high profits.

 

binary options breakout strategyThe breakout strategy is a highly effective and simple trading tool which is employed by many expert traders for noting down the assets trend in its earliest phases, thus giving the trader an opportunity to make a winning and highly profitable investment.

 

 

How the Breakout Strategy Works

The signals for the breakout strategy trades appear as the volatility rises with prices, rising and falling below their actual ranges. With the help of proper money management tips, these breakout traders can lessen the risk of a loss and take on approaching price moves as other traders may be unaware of the new trend.

This is a major advantage in financial investments, as most expert traders know, being amongst the first in entering a winning trade will make certain you will maximize your profits and the binary options breakout strategy does exactly that.

 

Why a Breakout Occurs

The binary options breakout strategy takes place when the price of an asset exceeds beyond their resistance levels, it may be a high or low resistance level for that matter.

Long positions are shown when values cross over the resistance. In case of short positions, prices drop under a given level of support. These breaks are rare and unexpected and the markets are generally unaware of this taking place.

As a result of this, the volatility of the asset increases. Most of the traders have a stop loss order in place if the range trading increases to avoid loss. The commonly defined range is exceeded and trading stops for most traders. However, prices have a potential to rise and gain momentum.

The breakouts are visible on all timeframes. In case of long term charts, notable changes are seen in volatility and momentum which indicates suitable trading for ambitious traders. Similar rules on all chart timeframe, whereas the breakouts observed on a monthly basis have greater chances of displaying a true change. This shows the reality of the breakout strategy.

 

The advised breakout strategy steps:

This is the advisable method of following the breakout strategy to maximum benefits:

 

Find the appropriate binary option

Take time and find the assets that have the tendency to have strong resistance levels. The outcome is better for strong resistance assets. Thus, carefully comb through the assets.

 

The breakout

Wait for assets prices to make the first move. Wait until the end for the breakout as asset prices exceeds the resistance level.

 

Set an attainable goal

Ensure you are aware of the direction of the assets price as a whole. This will be in your advantage as exiting the trade will become difficult if the assets price moves against your initial prediction. Calculate the average move which the stock prices make. Note down its resistance level.

 

The acid test

This step is very important for the trader. When the price of an asset breaks the resistance level, the previous resistance becomes the next support. The old support is now the new resistance. In most of the cases, the asset tests the level broken after a few days.

 

Breaking the resistance

If the asset tests the resistance level and a breakthrough occurs than the binary options breakout strategy has failed. This would probably mean that this particular investment will go south unless the market changes direction once more prior to the options expiry time.

 

Exiting as market closes

It is vital to predict the direction of the assets price in the preliminary stages of the investment and prior to the trade itself.

This is why stock traders wait for the market to close to get a clearer picture of whether the trade is a losing trade or a winning one. In case the stock remains outside the resistance level when market closes, it’s time to end the position.

The main advantage in binary options trading is knowing the expiry date in advance, that and the ability to trade in a short timeframe (the 60 second trade) allows investors to close all positions on a daily basis thus not being exposed to losses in volatile markets.

 

In conclusion

The binary options breakout strategy revolves around volatility. The prices move in a fast and volatile manner, when volatility occurs subsequent to a breakout. This offers the ambitious and experienced traders to acquire great amounts of profits.

If you are a new trader you should undoubtedly become familiar with the Breakout Strategy, it is highly affective and when applied correctly, it can assist you in making very high profits.

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