Binary options are easy to use and understand. The “high-low” option is the most typical binary option. The high-low option is also termed a fixed-return option and provides access to stocks, commodities, indices, and foreign exchange. This option has an expiry date/time and a strike price. Binary options trading is carried out by traders who decide whether the rate of the stock or commodity will increase above the strike price or fall below it by the expiry time. The strike price, expiry time, payout sum, and risk are all divulged by the broker before the trade starts. The strike price of the majority of high-low options outside the US is the existing price or rate of the financial product such as a particular stock, EUR/USD currency pair, or stock index. The trader has to decide whether the future rate at the expiry time will be higher or less than the current existing price. At the moment the most popular broker that you can consider is , but we also advise you to look into other high-rated brokers reviewed by our team.
Things to consider when you invest in a binary broker
There are many binary options brokers with each offering a different number of assets as well as different contract categories and trading conditions. So you should do your homework and choose a binary options broker with care. Ask the following queries while looking for a broker:
- Is your money safe? What processes does the broker employ to keep your funds safe? - What trade clauses do they provide? - Does the broker have any unfavorable online comments? - Do they make fast profit payments? - Does the broker provide convenient funding and withdrawal methods?
Get satisfactory answers to these queries to select a trustworthy and reputed broker.
The main factor to evaluate is whether the broker is regulated. To get regulated, a broker must operate a company with qualified employees and have a specified capital amount to ensure they can make timely payments. Thus, a regulated broker has the capability to make guaranteed payments and your money is safe with them. Second, the broker must provide a convenient assortment of options to help you fund your account and take out profits easily.