new binary options brokers 2014 Binary Options Trading Binary options is a simple trading instrument that can be used to earn money by guessing the future of the Forex, stocks, commodity and other prices. With binary options you either win if you guessed it right, or lose if you guessed it wrong.

1. Binary Options Trading Indicators

Binary Options Trading Indicators

Binary options are an alternative way to play the foreign currency (forex) market for traders. Although they are a relatively expensive way to trade forex compared with the leveraged spot offered by a growing number of, the fact that the maximum potential loss is capped and known in advance is a major advantage of binary options. Defining Binary Options have two outcomes: They settle either at a pre-determined value (generally $100) or at $0. This settlement value depends on whether the price of the asset underlying the binary option is trading above or below the by expiration.

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Binary options can be used to speculate on the outcomes of various situations: Will the rise above a certain level by tomorrow or next week? Will this week’s be higher than the market expects? Or will the euro or yen decline against the U.S. List of forex brokers. Dollar today? For example, say gold is trading at $1,195 per currently and you are confident that it will be trading above $1,200 later that day. Assume you can buy a binary option on gold trading at or above $1,200 by that day’s close, and this option is trading at $57 (bid)/$60 (offer). You buy the option at $60. If gold closes at or above $1,200, as you had expected, your payout will be $100, which means that your gross gain (before commissions) is $40 or 66.7%. On the other hand, if gold closes below $1,200, you would lose your $60 investment, for a 100% loss.