Simple Step by Step Guide to Invest in Binary Options Today

Find Professional Binary Options Broker

Research online to find binary options broker platform that is reputed and well known. Make sure the site owners have a physical address and offer better profit rates which usually is up to 85%. Use the common sense to determine whether or not you can rely on that website and also do not forget to check out their commitment towards offering high quality service. By this means, the binary options trading website should possess security certificates such as SSL, provide many assets for traders to invest with, provide efficient and non-complex ways to sign up for the site and withdraw money etc. Another feature of professional binary options platforms is providing helpful information such as daily market review, history of contracts, asset index etc available for traders.

How to Make the Investment?

Traders first should select the asset they want to trade which can be currencies, indices, commodities, stocks, pairs etc. In each asset traders are given with several options to invest in (usually from a drop down list). For example in currencies – EUR/USD, USD/CAD, AUD/USD; indices Germany 10YR BOND, NASDAQ future; commodities – gold, silver, oil; stocks – DEUTSCHE bank, BMW, HSBC-HK; pairs – gold vs silver, DAX vs CAC and etc. As a start many binary options traders opt to go with currencies but, traders are always have freedom to invest in any asset.

Decision Time

The traders are given with a graph that demonstrates movement of the asset value when particular asset is selected. Beside, there would be the payout for that binary options contract, expiry time, percentages of traders' choice and two buttons (call & put)which are the actions that binary options trader can take. One button would be labeled with up, call and the other with down, put. Now here is the decision making time for binary traders. They have to predict whether or not the asset value goes up or down when the contract expires and click on the respective button. If they predict the asset value would be high at contract expiration they click on up, call button and if they predict the value would be low, they click on down, put button. That is why people refer binary options as call or put options. When the contract expired, traders who made right prediction are given with the profit (predetermined rate) value and for those who are not, professional binary options brokers return at least 5% of the invested value.