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A walk through,simply:
1. Choose the asset you want to trade
2. Click on “Call”/"Up" if you believe the asset price will rise by the expiry
time, or “Put”/"Down"
if you believe that the price will fall
Binary Options, a binary option is a type of option where the payoff is either some fixed amount of some asset or nothing at all. The two main types of binary options are the cash-or-nothing binary option and the asset-or-nothing binary option. The cash-or-nothing binary option pays some fixed amount of cash if the option expires in-the-money while the asset-or-nothing pays the value of the underlying security. Thus, the options are binary in nature because there are only two possible outcomes.also known as Digital Options, all-or-nothing options, or Fixed Return Options (FROs), have been available online since the middle of 2008, and are a rather simple trading vehicle for traders of any experience level.
Traders need only forecast which direction the market will head in, within a set period of time. This can include a large list of stocks, commodities, stock indices or foreign currencies (forex). The time period the options is available for is called the expiry and this too has a flexible range, depending on your forecast. So if you think that the market will finish higher by the end of trading for that day, you could take an UP option with an expiry of "end-of-day" which will appear in a simple drop down for you to choose.
With Binary Options, you never purchases or own the asset – as you’re only forecasting whether the asset will finish higher or lower than the current market price. There are only two possible outcomes, and the price of the asset does not matter. As far as you’re concerned, all that matters is whether the expiry price was above or below the market price when you took the option.
Through the GOptions platform, you simply:
1. Choose the asset you want to trade
2. Click on “Call” if you believe the asset price will rise by the expiry
time, or “Put”
if you believe that the price will fall
4. Collect your profit
Binary options fall under the umbrella of exotic options but within financial market they are often referred to as digital options. Whilst digital options are very simple to understand and easily traded, the calculations behind the pricing is sophisticated, and for this reason they are considered exotic options.
Digital
options are usually traded OTC (over the counter) across all assets in
financial markets but more commonly used within the Forex and Interest
markets. More recently numerous stock exchanges have produced listed
digital options on selected stocks, commonly known as FRO (fixed return
options). Today the CBOE offers fixed return options on S&P500 and
VIX, also 20 stocks were listed on the AMEX in 2008. FROs are part of a
larger group of traded assets called FRIs which are Fixed Return
Investments. These include options, but also many other types of assets
traded via banks and exchanges alike.
Advantages of Trading Binary Options
Controlled Risk – The percentage reward is known from the onset, as is what you stand to lose.
Simplicity – You only need a sense of direction i.e. ‘Will Google stock price increase/decrease till expiry?’

"Press Release" |
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