Types of Binary Options

Call Options

In call options, the trader speculates that the underlying market will rise after the purchase of the option.
after the purchase of the option.

Put Options

With put options, the trader speculates that the underlying market will go down after the after the purchase of the option.

In addition, most brokers allow the trader to select other options, to increase his profit.

Other options in binary options trading

Touch Trading

Touch trading is a new way of trading binary options.In touch trading, the trader  in download mt5 Exness must the trader must predict whether the traded product (stock, index, commodity or currency pair) in a predefined time frame touches a certain price or not. It does not matter whether the price is reached at the beginning, in the middle or shortly before the end of the time frame. As soon as the price touches the predefined price once, the option is in profit and the trader receives the option is in profit and the trader receives between 65% and 89% profit of his stake.

Example

You have bought a touch option on the DAX30, which is currently trading at 6000 points. Your touch price is at 6020 points.Now the DAX30 rises shortly after the purchase of your touch option to 6025 points and falls. Touch Option to 6025 points and then falls back to 6000 points. Since the price has reached your touch level once, your option is in profit and you receive a profit of depending on the broker a profit of 65%-89% on their investment.

Range Trading

In range trading with binary options, the trader tries to predict whether the price after expiration of the option within or outside a certain price range.
will quote.

Example

You have bought a range option in the EUR/USD, which is currently quoted at 1.20. The price range of the option is 1.10 and the price range of the option is 1.20. The price range of the option is 1.10 and 1.30. You believe that the EUR/USD will be around the option expires, the EUR/USD will be quoted at 1.20. After the option expires, the price is quoted at 1.29 This means that your option is in profit and you will receive a profit of 65%, depending on the broker. Receive a profit of 65%-89% on your investment, depending on the broker.

Setting a stop-loss order is like securing your pants with a belt in the morning. It's not absolutely necessary, but you can quickly get embarrassed if you don't and your pants slip down.

Differences with Forex trading:

•     Profits are not limited in Forex trading and can be increased and adjusted to the market by setting stop loss orders or trailing stops.
•     Positions in Forex trading can theoretically be held indefinitely compared to binary options.
•     In Forex trading, the automation of trading strategies is possible