Binary options are financial investment vehicle, where investors and traders speculate on the future direction of stock market traded on underlying assets- Commodities, stock, Indices and Currency pairs. Over the last eight years binary options took the investment world by storm. This has become so popular that they are now the swift growing investment vehicle in the world which has replaced FOREX also. Binary options allow traders to earn potential profit from global stock market trading. They provide the accessibility to the markets that wasn’t available before their existence. With low cost entry fees and intuitive trading environments, binary options have removed the barriers that previously put investing are trading on financial markets, out of the reach of the masses.

Merits of Binary option trading

Traders may not know the advantages and merits of trading in binary options. Earlier traders use to do offline trading but now many online websites and online trading platform are also available like Secured options and many others. Traditional trading vehicles are popular and new trading mediums like binary options are not so popular and hence traders are not aware of its merits as well as Binary option trading platforms also.

  • Potential earnings and returns- It takes weeks, months or sometimes years also before an investor makes a small profit in traditional forms of trading. With binary options, traders can make potential profit and as trades are fast, usually expiring between within 10 minutes to an hour; investors can make substantial returns in mater of an hour.
  • Accessible risk- Although, binary options are a high risk form of investing. The risk is easily managed. Traders know exactly what amount of profit they will make and how much they might lose. This enables the traders to calculate the total risk/ reward before spending anything. They can invest as much as they want.
  • Earn in both rising and falling markets – One of the considerable advantages of binary options is that traders can gain returns in any market condition, be it market rising, falling or range bound. So it does not matter what way an underlying asset moves, a trader can earn profit.
  • Reachable to everyone – To trade in binary option, a trader doesn’t have to be a professional trader, nor do they need large sum of capital to get it started. Low entry costs and simple trading process are two major factors that have made binary option trading so popular. A beginner can also start trading from binary options trading platforms available online.

To know more further about trading binary options Follow us on Facebook, Google+ and Pinterest for more tips like this on Binary Options