Binary Options: Is It Wise Investing?
It has been a long time since I have authored a hub here at Hubpages.
While I have been quite busy in my freelancing profession, I had a desire to pop back in and share some of the information I have received while working as a freelancer.
I have many clients, but one that I have been writing for on a regular basis works in the world of binary options. You may be wondering what binary options are, and I will explain in just a bit. But, do know that in this world, there are many scammers and crooks who will use anything to take your money.
I will just say that binary options is one of the methods used to take money from unsuspecting people. The client I write for has been an advocate for investors who have been scammed, and he leads people to reliable and trustworthy places to trade in these options.
Now, let me explain what binary options are.
What Are Binary Options?
The majority of you know that you can purchase shares of stocks, bonds and commodities and keep them for a long period of time in the hopes that they will rise in price. Some people use what are known as stockbrokers to make these purchases.
People have made millions, and other people have lost everything trading in stocks, bonds and commodities.
Just a few years back, there was an idea to make this type of trading adapt to the fast-paced world we now live in. Why not invest in the same items on a quicker time scale? The birth of binary options trading entered the world.
One of the first locations to really see a large influx of this type of trading was on the island of Cyprus. With the Greek financial situation in bad shape, investors were trying to get back losses from previous years.
To explain binary options trading as simple as possible, you can "bet" if a stock, commodities, currency or market index will go up or down in a short time period. If you think it will go up in the next 60 seconds, you would say Call, and if you think it will go down, you would say Put.
Essentially, binary options trading can be similar to flipping a coin. You bet a certain amount of money on your prediction through a binary options broker, and you receive a percentage of 70-90% if you are right. If you are wrong, you lose the full amount you invested.
Many people believe this is bad investing, but I do know many individuals who are doing quite well at it. If you understand the markets, you can win.
The key to proper binary options trading is to first educate yourself about the system. Many of the brokers also offer eBooks, videos and other educative materials so you can understand the system before risking your money.
I suggest you read a broker's terms and conditions before creating an account and depositing money.
I also want to tell you that there are a plethora of automatic binary options trading systems. A large percentage of these systems are scams that will take your money. I do know of one auto system that is both honest and reliable. It is:
You will have to choose a broker from the list and use them to use option robot. You can set the system to auto and go about your other responsibilities. Come back later and see how much money you made.
Licenses and Regulations
There are many brokers who are not licensed and regulated. The primary regulatory system is the Cyprus based CySec.
If you are in the United States, there is one broker of all that I recommend. That is Nadex, and they are regulated here in the U.S.
The best way you can study which brokers, signal services and automatic robots to use is to go read the many reviews I have made in my freelancing work.
Visit Chris' website at:
I also suggest you visit these websites:
With that, here is a video from Chris that can help you understand it more.
If you have any questions about binary options trading I may be able to help you with, feel free to ask.
I will respond as quick as possible.
Now, I am off to write some more articles so people understand the brokers they are working with.
© 2016 Greg Boudonck
More by this Author
We can learn from the Indians. Their wisdom could help us in many ways.
Children are our future and there are freaks killing them. Lets catch these evil beings and send them all to hell.
This hub describes the different political parties and their views. Written before the last Presidential election, it still gives people insight. Updated now for the most current Presidential election