Trading Questions Answers for Binary Binary Options
Welcome to the Trading Questions Answers site of Binary Options Brokers Reviews. Here, you will discover all the important Questions and Answers relating to Binary Options Trade today. However, at any time, if you feel that some of your Questions are not Answered, you can always write to us at email@example.com.
How are the Brokers Platforms Reviewed?
Please note that the Brokers mentioned on this site are reviewed in terms of security of monetary funds, authorized withdrawal speed, different deposit methods, customer care, support and many other important factors. Now, here below you will discover our top recommended and regulated Options Brokers. Today, you can use this information to find your next Binary Options Broker for Trading Options.
What are Binary Options?
Binary Options are financial products that allow traders and investors to forecast on the price movements, where the asset is going to move in the time period. Historically, in the past, they were available only to professional investors. The investors used Binary Options to hedge risks and make profits.
Are the Brokers Websites Safe?
Now, these Brokers use 128bit SSL (Secure Socket Layer) encryption in combination with a certificate in order to protect all your transactions. Generally, the same technology is used by the majority of financial institutions. So, the answer is, Yes.
How to Trade Binary Options?
Basically, you as a Options Trader needs to decide, whether the asset will go up/down in price, within the set time frame. For example, if the price of Gold has a fixed rate payout of 75% and it was go up in the next 15 minutes and you choose to Call, this means to go up. If you invest $100, you will receive $175 in return giving you a 65% ROI. However, if you were to choose to PUT, which means go down walk away with nothing.
What are Underlying Assets?
Basically, the underlying assets can be stocks, commodities, currencies or indices. The Binary Options investment process itself is based on trading on the derivatives of the underlying assets. There are large amount of stocks, commodities, indices and currencies, which can be traded online through the binary options brokers’ platforms.
What are Call/Put Options?
Generally, by purchasing Call Options, you speculate that the price of assets at the time of expiration will be higher than it is at the time of purchase. By purchasing Put Options, you speculate that the price of assets at the time of expiration will be lower than it is at the time of purchase.
What does End in the Money Mean?
Primarily, when your Options Contract expires in the money, you have speculated correctly and you make profit. However, when your Options Contract expires out of the money, you have speculated incorrectly and you make no profit. Remember, if you make a wrong speculation, at the end of the trade you will lose your initial investment unless you hedge your risk.
What is Expiration Time?
Expiration Time are periods of expiration of Options in which the investors find out whether they invested correctly and their investment was profitable or not. For example, the time zone of expiration time is GMT – London.
How much does Trading Account Setup Cost?
There are no fees connected to the setup of a Binary Options Trading Account. In order to start trading real money, you have to deposit funds into your account.
What Software do I need to Start Trading?
The Brokers Platforms work directly in an internet browser, thus no special Software is required. We recommend an updated internet browser, which allows you to use all the features of your platform to the full extent.
Do I have to Pay Tax on Income?
The Brokers will never deduct any Taxes in advance. It depends on your Country’s Legislation whether you are obliged to Tax your investment income. In other words, its your responsibility.
What is Trade Finishing on the Line?
If the Options Trade finishes at the same position it was at the time of purchase, your investment is returned back with no profit and no loss. In other words, its break-even.
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