Markets move often extremely fast and this volatility especially in uncertain times to leave new traders with massive losses.
Of course there is an excellent alternative in the form of financial fixed odds trading and more specific products, such as binary betting and Boolean options.
Although it is relatively new in the world of business is now increasingly recognized as a real and viable alternative to derivative products such as spread betting and futures traders, and here's why do some basic reasons.
First products such as spread-betting or futures, is open to unlimited losses, hence the need for stoplosses. The problem with this, of course, is that in volatile, or even several moderately moving markets, if you interrupt your transactions is hit often ends with a significant loss. You don't want to put too close to the current market action your interruption or far away, often is a very difficult balance to strike.
With binary bets/binary options don't need to bother with stoplosses.Binary commercial products protect you from any volatility as the amount you can win or lose is known since the beginning of trade and cannot be changed.Yes let's just reiterate that it doesn't matter how markets move against you, you can lose only the agreed amount.
Secondly binary betting and Boolean options require a low account size, often a fraction of a leveraged as a spread betting account or futures.
Thirdly these products can be applied to many of the major world indices during periods of preferred by the retailer; So a binary betting/binary option can be set for one day, one week or more with indicators such as: FTSE 100, Dow Jones, Hang Seng, Australian index to name just a few. Equally might apply to Forex, commodities and sharing markets; This makes it very flexible.
End binary trading products allow your transactions per point such as spread-betting and Futures but without the higher risk as mentioned earlier.
If financial fixed odds trading and more particularly binary betting and non-binary options are something that you would like to learn more about and then visit the elmtrader offering learning and system products covering products financial fixed odds.
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