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Learn to Trade Binary Options with FBO

Binary Options has become - as a form of no margin trading of financial assets - more and more popular over the time.
In fact, Binary Options are applied as a combined mean that persuades to execute an independent trading with various financial assets in order to make profit, as well as a partial hedging transaction in the futures market «Spot», carried out with leverage.

The main advantages of the binary option contracts are:

  • Binary option trade is conducted without any swaps, spreads and leverage.
  • Binary option trade is the simplest way to get access to the international financial markets.
  • Large percentage of profits from 70 to 765% profit per trade.
  • Binary options are suitable for traders of all levels. Trade volume for everyone is from 1 usd to 10.000 usd per transaction.
  • Wide range of trading instruments: Currencies, CFDs, Indices, Commodities.
  • You can choose any execution time: from 1 minute to 1 month.
  • It is possible to start binary option trading with a minimal experience of working on the financial markets.
  • Working with binary options, you preliminarily know the amount of profit and potential loss on the transaction.
  • In order to start trading binary options, it is enough to register an account and familiarize yourself with available tools.

Features


For executed in the world markets currency transactions the share of Option Contracts is not less than 5%. For comparison, the number of operations executed in the market «Spot», according to some sources, does not exceed 1.5% of the total volume of traded in the market volumes. This means that most financial institutions prefer to make transactions using Option Contracts. Of course, such operations are performed with the use of so-called "Vanilla" Options, of American or European type. Binary Options are secondary or derivative trading and financial product developed by broker companies for supreme simplification of preliminary calculations mechanisms and the conclusion of Option Contracts. Such transactions may be executed by people without specific education in finance sphere.

To conclude Binary Options contracts broker companies develop special trading interfaces. As most of them appear in the form of a web-interface and represent the dynamic web-page displayed in the browser, developers are faced with several problems. The main one is that for the timely changes introduction in the displayed information of webpage, one has to restart the page fully or partially. This requires a high-quality Internet connection on a user's computer, or the trading process can be complicated.

Applying


«First Binary Option Service» for its clients needs has developed the most advanced trading platform for today, and its quality is close to that level, which is provided only with the use of special software (Metatrader, Metastock, Omega and others). The platform allows to display high quality changes in quotations, has a high rate of response to tick quotes requests from the server. The interface is understandable and provides an optimal set of required functional for the user.

At present «First Binary Option Service» offers several option contracts.The most widely used by the traders is «High - Low» class. Such contracts involve the only condition of execution / non-execution: the closing price of an option contract must be higher («Call») or lower («Put») then the opening price. On the page "Closed Contracts" is offered a simple interface that allows you to see the closing price of any five-minute interval on any of the provided by «First Binary Option Service» trading instrument and to check the quote at the closure of trading interval.

The basis of technical and fundamental analysis, «Money Management» rules, basis of trading tactics building remain the same as when trading on Spot market using Metatrader platform, as the price levels that appear in the platforms that FOREX traders use, take into account all the conditions on all financial markets (Spot, currency option contracts, futures option contracts, etc.). This means that the work with Binary Options contracts also requires building a trading system and its strict abidance.

A trading system building is a field for individual creativity of the trader. Provided by «First Binary Option Service» trading platform is so flexible that it allows using any trading tactics, familiar to Spot market traders.

Trading tactics


Analysis of the most commonly used trading tactics allows to divide them into three main classes:

The first group - is "Scalping" in the range of 5 - 15 - minute intervals. In fact, it is trading within a fairly narrow price flat. Binary Options contracts by «First Binary Option Service» are characterized by the absence of spread that makes scalping more comfortable than in the MT platform. The ability to install several orders of any volume to one and the same financial instrument makes as hedging of opened positions possible, as well as averaging of position’s volume in case of price breakout outside the flat.

The second group is tactics similar to intraday scalping, when the opened positions exist from half of an hour to several hours, and are created to make profit within the intraday price movement. Such tactics as usual "intraday" require prior calculation of the possible intraday range, in order to determine its boundaries. It is possible to conclude several transactions a trading day, on one trading instrument, as well as on different ones.

The third group is long-term contracts with a performance period of a few dozens of days.

The platform offered by «First Binary Option Service», provides high-quality display of the current prices’ levels in all trading instruments and is quite easy for work with any of the possible trading tactics.