Article provided by www.binary-options-broker.com
Binary option is an economic term in the field of investment. It is a part of general option trading system. This kind of option is called binary because of its two types of outcome. Someone can gain or lose the whole money in this kind of trading. This kind of option consists of two property called expiry date and a strike price. This is also called a fixed return option.
Binary option follows the same steps to buy other kind of options. To buy a binary option one first has to enter the desired asset. After that all the fields related to the treading should be filled up properly. In the next step the particular deal should be selected. Then customer will get a quotation. At last the strike price should be mentioned to submit the deal. In binary option people can get multiple platforms for trading.
Trading in binary option can be done by ordering a call or a put. The value of the asset should be greater than the strike price on the day of expiry date to make some profit from the call. If the value gets down from the strike price then a put can make money.
Binary options are safe in some perspective. Trader can get multiple scopes of dealings every day. A very low cost for security is to be invested in every purchase. The risk factor and the gaining in this trading are known previously. People can get the chance to get in touch of the flat market.
As like other type of option trading this is also a complicated one. People should have proper knowledge about it before buying a binary option.
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