Learn to trade the financial markets including some major indices in the world such as Dow Jones, S & P500 FTSE100, and Dax and Forex markets such as the British pound and the u.s. dollar may seem somewhat difficult a newbie and above all, risky.
The main reason for this is due to the popularity of products such as spread betting and futures offered at least on paper, the potential for huge returns. However in reality it is entirely inappropriate for a new trader. If these products were for example cars and you were a new driver, it would be like you having to drive a high-performance sports car immediately after your test. Although on paper can be extremely pleasant dangers you to lose control and stops responding, it would be very high. Similarly in trading, futures and spread betting is a highly leveraged products which you expose in theory unlimited loss.
Of course there are stops that you can deploy to avoid disaster, but even these can be vulnerable in a highly volatile markets.
What is suitable for a new trader?
Well just some excellent products available under the Trading names of binary field (Binary bets-Binary options) and financial fixed odds. These products have become more popular in recent years and really is an excellent choice for new traders and even the most experienced.
Why is such an excellent choice is very simple. They deal with a fixed amount won or lost known from the outset. This simply means that you will know from the start of your absolute maximum commercial if things go against you and the amount you win you lose.
They protect your account becomes much easier.
Here is how binary negotiation is the safest, best choice:
Suppose you want to day trade and think this market will grow a whole day.
You can open a binary betting/binary choice and is quoted price of 48 buying Wall Street (Dow Jones) to close higher on that day, for example. You decide to put $ 10 per point. Binary betting works on a value from 0-100, which means that if you win, you'll earn $ 52 x 10 i.e. 520. This figure is 100 points-48 (cost bet) x the amount of your stake, (under 5).
Now let's say that we have opened instead spread trade bet or futures market and is 10200 again choose to put $ 10 per point is expected to grow the market. For each point of the market moves up your profit $ 10 for each point of market moves downwards, you will lose $ 10. Let's also say that you can put an end to 10000, where purchase should be moved downward against you.
With binary wager takes care not to what extent the market moves one way or another. You only need to purchase to close higher by the end of the day to win.
With binary betting know your maximum profit 52 x 10 $ = $ 520 and your maximum loss is 48 x 10 $ = $ 480.
The betting spread is a different story. your entire level of profit or loss is entirely dependent on the extent to which the market moves during the day. If, for example, fell in early trading and you hit your lands in 10,000, which would be the end of your transaction and would have lost $ 2000 (i.e.: fall 200 point to stop x $ 10 per point.)
Even if the market did close higher without hitting your stops and closed in your victory 10220 will still be less than the binary bet, win will be 20 x $ 10 is $ 200, that the binary betting you'll earn $ 520.
So it's easy to see why Binary Trading with binary betting and Boolean options provides an excellent starting point for new traders.
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