One of the most popular exotic options in the market right now is binary options. This is an innovative way to make money and you can master the basics after demo trading for a week or two. In case you are new to binary options trading, you should realize that there is no easy money in the financial market place. Binary options are easy to trade but this does not mean that you can make money easily. Like every other investment, you need the right combination of skills, information and investment ability to succeed.
The purpose of this article is to discuss the advantages of 60 second trading but first, you have to know exactly what binary options are. In very simple terms, binary uno can be described as a trading system where the investor tries to predict the future price of a particular commodity, security or index correctly. If you get the prediction right, you make money. If your prediction is wrong, you lose the money you invested in the option. Another thing you ought to know is that binary options have a strike price and an expiry. The strike price is the target price while the expiry is the time or date that you either get paid or lose your money. The example below will make things very clear.
Let us assume that you bought an option at 8:30 am today that Microsoft stocks will be trading for $155.55 at 12:30 pm today. In this example, your strike price is $155.55 and the expiry is 12:30 pm. If at the expiry, the stock is trading at $155.55 or over, you have finished in the money so you get paid according to the terms of the option. On the other hand, if the stock is selling for less than $155.55, you have finished out of the money. In this case, you have lost your money because you were not able to predict the price of the stock correctly.
Now, let us relate the information above to 60 second trading. As the name suggests, 60-second trading refers to binary options with an expiry of just one minute. This is one of the most popular options in the market right now because you can trade many 60 second options in one day and make a lot of money from different trades.
The best way to trade 60-second options successfully is to concentrate on securities or commodities that you know very well. This is sure to increase your chances of making money with each trade. For best results, you should have a demo account and practice for a while before you start investing real money.
When you start trading with real money, you should do your research the previous day so that you have enough time for the day’s transactions. Finally, you should invest only a part of your capital and aim for small but safe margins with each trade. These are the secrets of success in 60-second binary options. Try them and they will work for you.