VARIATIONS OF BINARY OPTIONS

forms of binary options There are various forms of binary options, every one with different trading type. Today in the options market, there has recently been a creation of different varieties of binary options trading by numerous brokers. Binary options involve making a prediction of market price direction of an underlying asset. An underlying asset can be a commodity, stock, currency or index; it's much more like a 50/50 win situation. In this post, we shall discuss these types of binary options TYPES OF BINARY OPTIONS 1. 'Higher/Lower' options: This is a type of binary options which you must predict if the price should go upward or down within a particular timeframe. If the price at the time of expiry moves above or below your entry point you will either win or lose eg. Let's say you made a call option at 1.4567 for Apple on One hour timeframe and at the actual time of expiry the price moved above 1.

4567, you will make a profit but if the price moved below 1. 4567, you will make a loss on Apple stock. The volume of loss or profit that a trader will make depends on the pip value. The higher the pip value against your current entry point the greater your loss value and also the higher the pip value in line along with your entry point the higher your win value.

2. 'Touch /touch "options: This is a type of binary options that requires the trader to predict whether the price of an asset will touch a certain value within a specific timeframe which has been stipulated by the broker. E.g. The options will read ''Will the price of Apple company stock touch 1.4567 point within one hour, if you predicted touch and at the time of expiry the price of Apple stock touched 1.4567 you win the option and vice versa.

3. 'Boundary' options: This is actually a type of binary options that requires a investor to determine whether the actual price of an asset at expiry will drop within or outside a certain range. E.g. The options will read ''Will the price of Apple stock fall within 1.4567 to 1. 6789 at expiry of an hour, if you anticipated 'fall' and at the time of expiry the price dropped within 1.4567 to 1.6789 you win and vice versa.

4. one minute Options: This is actually a type of binary options that requires a trader to predict if the price of a asset will go up or down within 1 minute. Eg. Let's say you made a call option at 1.

4567 for apple stock on 60 seconds timeframe, if at the time of expiry the price is above 1.4567 point, you win but if it's below 1. 4567, you lose. So this type of options usually requires a trader to make his or her decisions as fast as possible. many traders prefer this type of options because you earn much more money within a short period of time compared to various other binary options trading involves taking risk http://www.binaryoptionscan.com