What is Binary Option Blog post Cover

What is Binary option.?

What is a binary option?

A binary option is a
financialproduct where the parties involved in the transaction are
assigned oneof two outcomes based on whether the option expires In the
money. Binary options depend on the outcome of a ” yes or no ” proposition. “binary” Traders receive a payout if the binary option expires in the money and incur a loss if it expires out of the money.

a financial instrument with simple yes or no Option. You decide whether
a market is likely to be above a certain price, at a certain time. If
you think it will be, you buy. If you think it won’t be, you sell.


Key Takeaways

  • Binary
    options set a fixed payout and loss amount.Traders receive a payout if
    the binary option expires in the money and incur a loss if it expires
    out of the money.Binary options don’t allow traders to take a position
    in the underlying security. Most binary options trading occurs outside
    the United States.

Binary options Example.

options have an expiry date and/or time. At the time of expiry, the
price of the underlying asset must be on the correct side of the strike
price (based on the trade taken) for the trader to make a profit.

Think Your capital is $1000 and you are gonna invest $100 per a trade. and Protential return is 80%

If you win the trade your Profit will be $80


If you loss it you will loss $100 and you have $900 remaining in your account. You loss what you invest.


Is Binary Option a gambling.?

you trade without any knowledge on binary option It’s will be agambling
cause It has higher risk of losing what you invest. Newbie
have loss a larger amount of money the reason is they did not try to
find the knowledge. We are here to help you in all the way. Just be
alert with Weteach24.com

Broker Types

There are two type of binary option brokers. Those are Running expire Brokers and Fixed expire Brokers.

Running Expire Brokers

In this brokers type the expire is running and you need predict
for the time they provide. you cannot choose extract expire you need to
trade, Expire starts from 1 min to day end. Read More

Fixed Expire BrokersIn this type you can trade the expire you want.just need to
type the expire you want. If you open the trade at 8.02 for 10 minutes,
the trade will expire at 08.12 Read More

Recommended Brokers

Where to Start

Create a demo account and try some trades using weteach24 telegram channel, It’s totaly free

Share This

Copy Link to Clipboard