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Binary options are the latest addition to the asset trading game. The assets include stocks, futures, and Forex. The trading process is simple but the process of trading is not.Many options traders approach it as a gambling venture. That's OK if that is your goal. You will have a 50/50 chance of winning 80%. As far as I'm concerned, those odds stink. You will lose all of your money.A little education goes a long way, notably with binary options, since the results are quick to come. You can get rich or poor very quickly. If you must guess, at least take an educated guess.Before you trade, at least take the time to understand the game. The markets in general are subject to time tested laws, similar to the law of gravity. What goes up must come down.OK, it's a little more complicated than that, but simple rules indicate much of binary market movement.Please take the time to learn and understand the simple concepts on this page. Binary option trading is the most simple form of trading market price action. If you learn about support, resistance and trends you will be way ahead of the pack. The best binary systems and binary signals are based on price action.Binary options trading is purely speculative. Although brokers refer to as investing, the primary purpose of these options is to speculate on the price movement of certain assets. Select stocks, commodities, and Forex pairs are the assets traded on the various platforms.Binary brokers earn money by creating a payout that is less than your original stake. Most brokers pay out 75 to 80% but some may pay up to 90%. The difference could be considered the spread.
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