Trade Binary Options

Trade Binary Options on the Option Capital Trades Markets platform and enjoy reliable pricing and exceptional execution.

One of the newest and most popular derivatives currently offered in the world of currency trading is the binary option. Binary options are simple to trade and limit the risk of the trader’s investment to the amount of money paid to purchase the option. Today, more and more people are engaging in binary options trading because it deals directly with the financial markets and offers high returns. There are a number of advantages that binary options trading offers people who engage in it. The biggest draw is that it is very simple and offers large rewards.

What is a binary option?

A binary option is a financial instrument that turns every trade into a simple yes or no question – you decide whether a market is likely to be above a certain price, at a certain time. If you think it will be, you buy. If you think it won’t be, you sell. When you place an order for a binary option contract, you are speculating on the market rather than buying a share of the underlying market.

What's the minimum deposit for a binary options trade?

At Option Capital Trades Market, you can open a live trading account for free - that's right. The minimum deposit required is $500 depending on the trading plan you’ve chosen. Binary trades at Option Capital Trades are priced between $700 upward, excluding exchange fees. The cost to place a trade is always equal to the maximum risk, plus any trade fees, which is required to be in your account when the order is placed.

Is binary options trading risky?

It can be! Here are some steps to follow so that you can trade binary options more securely. Only trade with a CFTC regulated exchange.

Are binary options legal?

Yes, binary options are legal to trade with a regulated provider in the US. It’s not just legal to trade binary options in the US – it’s regulated globally and has low capital requirements, and is accessible to retail traders.

Binary options key takeaways

Binary option contracts can offer fast-paced trading opportunities with limited risk, making them the ideal option for traders with all levels of experience. It’s important to remember to follow your trading plan and to manage your risk. This will protect you from risking too much capital and losing more than you can afford. Try trading binary option contracts risk free with a PMN demo account. You get $10,000 in virtual funds, so there’s absolutely nothing to lose.

Advantages of binary option contracts with Option Capital Trades
1. The opportunity to profit regardless of market direction. You can buy or sell depending on your market predictions.
2. Fixed risk. You know all possible outcomes before you trade, allowing you to manage your own risk effectively.
3. Simple yes and no questions. Binary option contracts can be a good introduction to the markets if you are new to trading. Likewise, they can form a central part of your trading plan if you are a more experienced trader.
4. The option to close a trade early. If you want to close a trade early to keep your profit or limit losses, you can place another trade.

How do binary options work?

There are three key elements that make up a binary option. These are:
* The underlying market. This is the market you choose to trade – IM offers forex, stock indices, commodities, and events.
* The strike price. This is the all-important price level. The strike price is central to the binary option decision-making process – to place a trade, you must decide if you think the underlying market will be above or below the strike.
* The expiration date and time. You can trade binary option contracts lasting for up to one week, with a duration as short as five minutes

Trading binary options with Option Capital Trades market is intended to be fast-paced and exciting – traders choose short-term options over long-term investments because they offer defined risk, but also because they’re fun to trade! Binary options trading is an opportunity that can be explored by people with all levels of experience.

Options

Options trading is the trading of instruments that give you the right to buy or sell a specific security on a specific date at a specific price. An option is a contract that's linked to an underlying asset, e.g., a stock or another security. When you buy an option, you have the right to trade the underlying asset but you’re not obligated to. If you decide to do so, that’s called exercising the option.