Binary Options - What are they and how do they work?

[Grooxoft]

Since this thread has been opened, binary options became much more popular. Imo it’s because of their simplicity. No need to calculate trading positions and estimate leverage exposure, because there is no leverage at all. On the other hand, what I see, binary options can’t offer any meaningful returns. Basically it’s negative RR all the time, risking more than earning potentially.

 

[Jodarish]

Binary Options
What are they and how do they work?

Basically, with binary options you pick an asset, choose an expiry time, and guess whether the price will finish higher or lower. If you’re right, you get a fixed payout; if not, you lose the amount you put into that trade. The idea is simple, but short expiry times can be tricky, so I wouldn’t enter randomly without a setup.