INTRODUCTION TO BINARY OPTION TRADING

Binary option trading is one of the fastest and easiest ways to make money in the financial markets without prior experience.  Whether you’re just a beginner looking for a second income or an experienced investor, binary options is a great way to diversify your income and generate a positive ROI for your money as quick as possible.
In case you’re unfamiliar with binary options, here’s how it works.  You make money by correctly predicting the movement of a financial asset such as Gold, Wheat, Google, or Amazon.  Your goal is to predict whether the market price of the asset will go UP or DOWN by the time the trade expires.  The expiry times for trades can be anywhere from 60 seconds to 150 days, or anything in between.  There are hundreds of different assets that you can trade from 4 different asset classes which include stocks, commodities, currencies, and indices.
The great thing about binary options is that you can make money regardless of the market condition.  Whether you’re in a bullish or bearish market, it doesn’t m 
How to Understand Binary Option

A Binary Option is a type of option where the payoff is all or nothing. Because of this characteristic, Binary Options can be easier to understand and trade than traditional options.

Binary Options are cash-settled as European-style options, meaning they can only be exercised on the expiration date. If, at expiration, the options settle in-the-money, the buyer or seller of the options receives a pre-specified dollar amount. Similarly, if the options settle out-of-the-money, the buyer or seller of the options receives nothing. This provides a known upside (gain) or downside (loss) risk assessment. Unlike traditional options, Binary Options provide full payout due to a single pip movement.
        Despite the term "all or nothing", depending on the actual trading platform, "nothing" can actually mean "something". This means that at expiration time the owner of the option may actually get a certain payout amount, even if the option expired "out of the money".
        Very often you may encounter binary options under another name. In forex exchange market Binary Options are known under the name of digital option.

How to trade binary option  

First step is to select an "asset", it could be a forex currency pair, commodity,Random index,Tick trade, stocks or indices. Next step is that you need to decide if this asset is going to go up or down during specific time period which is called the "expiration time", then proceed to place a trade. If you think price will increase, your order is a "call option". If you think price is going down, your order would be a "put option".
                                         

 

                       We’ll they’re as simple as Up or Down. All you have do is choose…

1. an asset to trade
2. a set period of time, and
3. whether you think the closing price will finish above or below the current price.

Before you place your trade, you’ll clearly see the maximum gain or loss, and when the trade closes, you’ll have a clear result.
With Binary Options you can create exciting short term trading opportunities, and benefit from trading with limited risk.

How are profit made?
        When the expiration time is over and your prediction is right, then you will collect the profits agreed upon with your broker. If your predictions are wrong, you lose your money. But you don't have to be %100 right when you're trading binary options. That's why so many traders are attracted to it. For example, if you're using binary options to trade Forex, you need to be correct for at least .0001 move. And if you're trading stocks you only need to be right by at least one penny. If you are right, by at least these minimum amounts, then you'll get FULL payment for your trade.