Beginners Guide to Binary Options

Beginners Guide to Binary Options: Binary options trading  has been in existence since years. However, it remained unnoticed until 2008. With the rise of the technological advancement and the Internet, binary options trading systems have observed an impetus. The binary options can be traded anywhere in the world. The traders just need the Internet access and a computer device to access their trading account. With the rapidly-moving technology, the binary trading systems are now available as smartphone applications as well. This offers greater flexibility and ease of access.

Binary options brokers and automated trading sofware are classified as a lucrative means of earning money online. It offers to the traders a certain amount of profits upon the investment of a specific amount of money. If at the end of the expiry period of trading, the trade is a win, then the investors get huge profits. On the other hand, if it is a loss, then the investors might end up losing their money. As there is either a win or a lost case, it is referred to as “binary” options trading system. Normally, binary options have only two outcomes. However, several binary trading brokers like IQ Option also offer several varieties some of which include the high or low (call/put) option. And all this can be made so much easier by obeying prequalified Binary Options Signals!

Trading Requirements for the Beginners

Binary options trading offers lucrative measures of making money on the online platform. If you are a beginner at this, then you must be aware of the trading requirements that you must fulfill to earn the desired profits. Some of them are:

  • First of all, the desiring candidates for binary options trading must be more than 18 years of age. Each platform would require an identification proof to validate the age of the candidate.
  • The newbie traders must have the basic knowledge about the financial markets. They must also be aware of the recent trends that are occurring in the financial markets across the world. With a better understanding of the binary trading market, the traders will be able to gain higher profits in a short span of time.
Beginner Guide
  • The trader must be aware of the fact that as there is the possibility to earn huge profits, there also might be the possibility of the loss at some points. Therefore, the traders are advised to spend only the surplus amount of their savings into the binary options trading portals.
  • The traders must invest legal tenders from their own online wallets or credit cards for funding their trading accounts. The traders would also be required to present their ID proofs along with proof of address and other personal information. This would ensure that the traders are getting secure payment.
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1Sounds great, where do I get a Binary Option Robot?
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2Open a Binary Option Robot Account
I recommend that serious traders, open a number of different accounts with the different Binary Option Robots, listed. The reason for this is simple: anyone with knowledge of the market understands that you must spread your risk over as wider area as possible, no matter how good the system, if you put all your eggs in one basket, you run the risk of losing everything. Thus, as with everything else, you should spread your risk over a number of Binary Option Robots, to maximise potential profit and prevent loss. Each one of the Binary Option Robot suggested in this article, has been rigorously tested, regulated, licenced and approved for the territories listed in the drop-down menu.
3Binary Option Robot – How they work in practise
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1. Your Binary Option Robot will analyse the market and decide, which asset (currencies, indices, commodities and stocks), is right to trade at that point in time.

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2. The Binary Option Robot Will Predict the Price Movement

Your robot will assess a wide-range of factors, and then make a prediction on how the assets price will move, saying: Call (up) if it believes the price will rise and Put (down), if it believes the price will fall.

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3. Decide on how much you want to Invest

Then you need to decide how much you want to invest in the commodity and when that investment will expire.

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4. Collect your Earnings

Finally, you collect your earnings (the good part!)

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Important Terminologies Related to Binary Options?

For a better understanding of the binary options trading system, the first-time traders must be aware of the vital terminologies that are linked to the trading platform. Have a read:

  • Assets: The understanding of the assets is a vital step in binary trading. The individuals who are trading for the first time must understand the importance of assets to earn higher returns on their investment in the trading platforms. Assets are the financial instruments of the trading market that has certain significant values associated with them.

In binary options trading, the traders usually do not buy the assets in the physical form. They just have to determine the rise or fall in the value of certain assets. The assets in binary trading are classified into four categories. These are:

  1. Currency Pairs: Currency pairs are usually available in the pairs like EUR/USD, USD/JPY, USD/INR, GBP/USD and so more. There are around 25 currency pairs associated with binary trading. The first currency is referred to as the base currency. While the second currency is referred to as the quote currency.
  1. Index: An index is referred to as a means of security that is used to represent the market or some of its portion. Each index has its individual calculation value. If several companies are performing badly during a certain period, then it affects the overall index representation as well. This would result in the decrease in the value of the assets.
  1. Commodities: On the binary options trading platform, the common forms of commodities include gold, silver, rice, sugar, and several others. They all come with the motive of speculating whether the value of an asset will rise or fall. Trading on the commodities tends to be highly volatile. Therefore, the beginners in binary trading are advised to gain some experience before trading in the commodities.
  1. Stocks: There are a variety of stock options in the international market when it comes to binary trading. Stocks are usually the shares that are owned by the companies and the traders buy them. In the binary options trading system, the traders have to predict whether the stock of a company will rise or fall.
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How to Begin Trading in Binary Options?

It is imperative for the beginners to be aware of the fact that trading in the binary trading platforms is quite easy. They just need to understand the working of the trading platform along with some knowledge of the common techniques that can help the traders to earn substantial profits. To begin trading with the binary options trading system, the traders must, first of all, know the meaning of some technical terms. Some of them are:

  • Call and Put: In binary trading, call indicates that the price of an asset will rise above the predetermined price. When the traders would be placing a call action on the EUR/USD currency pair, then they might be assuming that the value of the particular currency pair will move higher than the actual price.

On the other hand, the put action would determine that the value of a particular asset might fall down the expected price. With the binary options trading system, the traders can win the particular trade even when the value is falling down, provided that you have placed the put action.

  • Expiry Time: This is referred to as the end of the trading session. All the binary trading that are carried out by the traders will come with a stipulated expiry time that will indicate the time when a particular trade would close. The expiry time tends to differ along the different trading tools. The traders are also sometimes, given the liberty to choose a particular time as the expiry time.
  • Strike Price: It is known as the price at which the asset might be sold or purchased within a specific time period. In binary trading, the strike prices tend to vary from Put action to Call action. For a call option, the strike price denotes the buying price of an asset. Whereas in a put action, the strike price denotes the selling price of an asset at a specific time.
  • In-the-Money: This term signifies the winning position of a particular trader. It implies the particular trade placed by the trader has been successful. As a result, the trader will earn some profits.
  • Out-the-Money: This is contrary to the “in-the-money” situation. Here the trader has lost the trade and earns no profit.

Effective Trading Tools in Binary Options Trading System

The trading tools in the binary trading platform are the different sets of options with the help of which the traders will be able to trade. Each of the trading tools in binary trading come with a specific expiry time, different assets, trading amounts as well as different percentages of payouts. When the newbie traders would be aware of the different trading tools, they can get a better hold of the trading strategies to help them trade better. Here are some of the innovative trading tools that can come handy to the traders:

  • Classic Binary Options: This is the basic binary trading tool with the help of which the traders can make the selection of the particular timeframe along with the selected amount.
  • Long term: This refers to the longer expiry time that can range from one day to even several weeks.
  • Speed Option: The speed option offers arrayed timeframe into 30, 60, 120, 180, and 300 seconds. This will help the traders in observing their investment to cumulate in a rapid manner.
  • One Touch: With the help of this trading tool, the traders are able to forecast whether the asset price at which they have traded will reach the strike price or not. Once the asset price reaches the target, the payout can then generate greater profits.
  • Pairs: Pairs tool includes all the possible options for investing in the lucrative assets like gold and silver. The usual call or put option is set within a timeframe of 7 to 20 minutes.
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Advantages of Binary Options Trading System

Now that the first-time traders are able to understand the different sets of terminologies of the binary options trading system, they must also be aware of the immediate benefits offered by the same. Have a read:

  • No Experience Required: This could be the greatest benefit offered to the beginners in the binary trading platform. The traders do not require any experience in the binary trading platform to earn huge profits. To top it all, even if the beginners have no prior knowledge of the binary trading operations, even then they can be assured of higher returns on their investment. Most of the online trading platforms offer learning tutorials and guidelines for the ease of trading by the first-time traders.
  • High Return on Investment: The traders are assured of guaranteed returns on their invested amount. The minimum amount that the traders can invest to begin their trading is around $250. However, it tends to vary with several online brokers.
  • Fast and Easy Approach: Most of the binary trading portals do not require any downloads or involvement of the third parties. You would only need the Internet access with a computer system or smartphone to access your trading account with much ease.
  • Higher Returns from Assets: Binary options trading is the only platform that offers higher returns upon the trading of various assets. The traders are provided a comprehensive array of valuable assets that can help them earn huge profits.

Choosing a Reliable Binary Options Broker

It can be quite challenging for the first-time traders to decide upon a particular binary options trading portal. With so many out there, it is vital that the traders are able to choose the most reliable and legit online binary trading broker for doing their trading. The traders must be cautious of the fraudulent brokers who tend to run away with the hard-earned money of the traders.

One such name that you can trust upon is the Option Robot. With this binary trading platform, you can be convinced of earning huge profits without a worry in the world. Option Robot is a highly reliable and legitimate trading platform that can help the traders in fulfilling their dreams of making it big in the binary trading industry.


There is a famous quote that goes as “The expert at anything was once a beginner”. So, if you have been refraining yourself from trying out the lucrative option of earning money with the help of the binary options trading system, then it is high time that you should reconsider your decision. With binary options trading platform, there are various doors to success and whopping amounts of money when done in the right manner. You should take a step forward as a beginner to start trading in this promising field. Only then, you would reach the mark to be an expert in the same.

If you are anyhow skeptical about where you should start from, then binary option robot has the correct set of tools, tutorials and strategies for your ultimate success in the binary options trading platform. No matter what your trading abilities are, you can try it out with Option Robot that can be your trading guide from the starting until the end. Get up and start trading!

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Author: Michael Allen

Michael Allen is the main author at He holds a PhD in Economics and has worked in investment banking for 24 years.