Today, binary options belong to the category of financial instruments that shows the highest growth rates and popularity among the subjects of the global financial market. Many users believe (but this is a controversial issue) that the Chicago Board Options Exchange is the birthplace of this instrument, which, since 1973, has developed the main trading rules based on options, which eventually became mandatory standards for all market participants. The terms of operations have become tougher, and the rules of trading were fulfilled by all participants in the stock market. This had a positive effect on the level of confidence in the options and the number of traders working with them.
In 2008, the above Chicago Board Options Exchange and the American Stock Exchange began to trade systematically with these tools. Seven years later, many bidders began working on a scheme that was slightly different from Chicago. Therefore, making a deal, always be interested in all the nuances of this operation, so that your calculations are fully consistent with the actual results.
Types of binary options
Traditionally, binary options are divided into American and European. In the first case, the price of your asset can be fixed at any minute. In the European version of the option value is checked only at the time of closing the transaction.
In addition, the considered financial instruments are classified:
• Call / Put Options. In the first case, the trader expects that the price of the selected asset will rise, and in the second – will fall.
• In / Out options. In – the trader sets the corridor in which the price of the financial asset will be. Out – the value of the asset will leave the specified corridor (regardless which way).
• One Touch / No Touch Options. The trader must determine: will reach / not reach the value of the selected asset. Further movement of the price of shares, commodities, gold does not matter.
How do binary options brokers attract traders?
Studying this popular financial instrument, it should be noted that when making a deal, a trader always knows the amount of a possible win or loss. Another important point is the lack of the need to acquire the asset itself. This feature allows you to work with financial assets, even for users who do not have significant cash savings. But even with a minimum start-up capital, you always have a real chance to get an amount that far exceeds the value of assets. The simplicity of operations with binary options is another parameter (for some main users) attracting the attention of both experienced and novice traders.
What binary options trading platforms to choose ?
The growing popularity of binary options, as well as the great interest in them, both participants of the world financial market and the representatives of the criminal world, creates a serious problem for everyone who wants to make money with this financial instrumentsl.
Which binary options trading platforms are best used by brokerage companies to solve at least two issues:
1. Provide high speed information transfer.
2. Protect your customers from intruders who want access to financial and personal information of traders.
The main problem of this situation is that all computer technology, software, as well as the criminal world is developing very rapidly. It’s hard to say who is more active: fraudsters or programmers creating new platforms, protection in transferring information, etc.
Also, the development and introduction of new platforms has long been one of the most effective ways to compete with other brokers. Often, novice traders initially do not attach importance to this factor, considering that there can be no significant differences in this direction. Therefore, it makes no sense to spend your time and money on the study of used trading platforms. Especially, if we are talking about binary options, where the essence of the tasks set, against the background of modern software, can be compared with school tasks for the first class. But practice shows that this is a very serious mistake. All platforms have their own nuances that must be taken into account when choosing a broker.
According to analysts, the best platforms for brokerage companies since the development of online trading in binary options are:
Naturally, this list can change a lot over time, but the fact that brokers choose these platforms, and traders like to work with them, shows that their creators did a good job and achieved their goal.
Binary options brokers experienced traders recommend working with
If you set a goal – to make an independent rating of binary options brokers and at the same time ask them to do the same task of another trader, you will most likely have some discrepancies. Someone is guided by the views of users, others – by key parameters, there are also paid lists, etc.
But if you set a goal on the basis of general information (independent parameters, user opinions, opinions of authoritative analysts, clients who cooperate with a broker, etc.), then you can make an approximate list that suits everyone.
The list of the best binary options brokers can include:
• IQ Option.
• Olymp Trade.
The list, as mentioned above, is the “golden midle” between the opinions of users, professional analysts and various independent ratings of authoritative web resources. But in general, he displays an overall picture and an experienced marketer, even on the basis of these brokerage companies, will be able to say that the trader who specializes in binary options is interested in the feauture.