What is Binary Options Trading

Binary Options trading is a method of earning profit from the movement in the value of any commodities, stocks, assets and shares including Forex. The main reason why binary options trading have become one of the popular financial trade is that here the traders have to make one good possible decision at the time of placing them. In binary option “yes” or “no” decision is represented as “Put” or “Call” trades.

In binary options trades, you don’t need to buy actual products, all you have to do is place a binary options trade on the value of any asset, stocks, commodities etc. For instance, if you think the gold value will rise in the coming days, then you place the binary on gold, so that when the value of gold increases, you will gain the profit out of it. On the other hand, if the gold value decreases, then you gain nothing but will obviously lose.

The best part of binary options trades is that you can find different range of expiry times of commodities, asset and so on. The expiry times are shown to the traders (some commodities or asset values expiry time is too short, it may even be 60 seconds or it can also expire as late as one month). As a trader, you have to keep in touch or stay connected with the latest information regarding the fall and rise of commodities value.

If it is your first time to know about binary options trades and wanted to learn the process of placing binary options trades, then I suggest you go through the below steps.

How to Place Binary Options Trades:

As a new user, you may not be aware of placing binary options trades that’s why I have arranged certain steps for you to follow. These steps will enlighten about the whole process of placing binary trades.

  • On the first step, you have to take one good decision of placing your trade on, that means you should place any asset, stock, commodities etc. For trading purpose. Once you are done choosing the trade options by keeping in mind that, this particular commodities value will increase in coming days.

  • For instance, if you think the value of kerosene will increase in coming days, then you have to place a “Call” option on it. However, let’s say you expect the value of kerosene will fall in coming month or days, at that time place a “Put” option.
  • Now it’s time for you to choose your binary options broker for placing your own trades. You will see a list of brokers. Select any one broker according to your convenient.
  • The broker list that you have seen are fully verified binary options brokers, each of those brokers offers tradable commodities (some broker provide a welcome bonus to new users). The given broker list consist of different account types, make sure that you choose the open account for getting extra benefits of any trades your place.

  • On the next step, you have to focus on the expiry time for your trades. After selecting the types of asset and broker for placing your trade, the next step will be about deciding expiry time for your trades.

  • If you want, you can place your trades for just 1 minute or else longer than that maybe one month. You must be careful while selecting expiry time for your trades, as other events may affect the value of your financial assets which you have placed on.
  • You must also understand the potential of gaining the maximum of what you have invested. Different binary options broker offer different amount of interest, you ought to compare one binary options brokers with another, so that you can understand which brokers provide good interest of your investment.
  • Look for the trending options, as a trader, you need to check the trending things in today’s world. It will be a good idea if you can check the latest financial information from different brokers, by doing this you can place relevant binary options trades. Basically, you should know about the thing or commodities base on its popularity and hence you will gain a good amount of profit.
  • You should also take care of increasing your budget, if you think that there is a high probability of success then it’s better for you to increase your budget when placing your trades.
  • When you think that your trades is going to be affected in the coming event then you must exit your trade before the expiry date or else the profit which you have received before will eventually go in loss. An Early exit in trading an asset or commodities is also a good idea.

Advantages of Trading Binary Options

For both the investor and traders, using the Trading binary options can give you great success. And there are true possitve advantage having the knowledge of binary trading otpion before staring the trades. So the advantage that you can see are like-

  1. Fast Returns – when you use the binary option with the investment you make, you will experience the fast returns compared to those having the invest without Binary option. While the binary options traded is not for a longer period and expires within a times of 1 day.

2. High Returns – You can have the highest return from the trade when use the binary options. In most cases, there is a possibilty to see return rates upto 70% that is one of the most awesome deal or goal for any trade markets.

3. A Numbers Game – Best way to succeed in trade is using the binary options trade, and evn the average trade with binary opton can give you 55% of benefits. And thus doing more research and making smart trades will defitinely bring you more success. Example- predicting the price of gold or oil would that increase over a period of time and with a little smart trading decision of buying the good when the price is low can give you great benefits.


The above guide is sufficient enough for you to understand about binary options trades. These steps will not only provide you a guide but also to be a better trader.