If you are trading binary options already know of the major advantages of this kind of negotiation offers. I will try to show in this article is a very simple strategy that can be applied in certain cases and give great results for those transactions using the binary options.
The strategy I'm ready to explain based on compensation and tries to get high profits while risking only a small investment strategy can be applied only in certain circumstances, but it will prove very useful for any trader.
For the best description of strategy you will use an example from the beginning and will explain how to use the strategy for this example.Let's explore that purchased a choice CALL to NASDAQ worth 100 dollars with the deadline after 12 hours. NASDAQ was 2380 value at the time you purchased the option and after 3 hours posed in 2368 (an increase of 50 units). At this moment you should buy a PUT option NASDAQ is worth the same amount and with the same deadline as first choice.
When you purchase the second option, you have two possible outcomes: both options are winners if the value of NASDAQ will be between 2380 and 2430 at maturity, or if you have a winning and losing one option, if the expiration value is less than 2380 or higher from 2430.
Now let's analyze two possible outcomes, taking into account the NASDAQ had percentage efficiency of 80% and 10% return for losing trades. If both options are winners will have a total win of $ 160, and if you have a winner and a loser will quit p loss 10 dollars.
To continue this strategy this binary options ensures that you can lose only a very small amount with the chance of winning too. The only disadvantage is that you can use only that in some cases, when you already have an option that was a very good start.
There are many strategies most likely to use when trading binary options, but I love this one because it enables you to earn a lot while risking very little.
Abscident is an online dealer in writing about topics such as Boolean or trade forex options. Considers the binary negotiation to be the next big hit in e-commerce and considers all merchants need to know about this alternative trading opportunity. This updates all merchants can try a binary options broker and see if this type of marketing is suitable for them.
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