Binary Options Tutorial

Maximize Your Binary Options Trading Results with GlobalOption.com

GlobalOption.com provides a simple, fast and effective solution for your binary options needs. Regardless of your experience with binary options, GlobalOption provides a professional platform, helping you get the most out of your trades so you can maximize your returns while enjoying your trading.

What are Binary Options?

Binary options are financial instruments that empower traders to select one of two trading choices – executing a CALL (prediction that an asset will rise in price) or PUT (prediction that an asset will fall in price) option bid. It also results in one of two results – being “in the money”, if your prediction of movement is correct, or “out of the money” if your prediction of market movement is incorrect. If you're “in the money” your profit will be reflected in your account immediately once the option reaches its expiration time.

Binary options vary in a number of ways from traditional options. This includes the length of expiry, risk level, the level of payout and timing for execution.

The table bellow lists some of the main differences between traditional and binary options:

Binary options Traditional options

Short expiration times – expire hourly and daily  Expire on the 3rd Friday of the month of contract

Binary options have a fixed risk exposure  Risk exposure can be unlimited

No collateral required to make a trade  No collateral required to make a trade

Offers investors a fixed payout  Offers a variable payout based on the underlying  security

Only the direction of the movement determines the  outcome of the bid  Both the direction of the movement and the size  determine the outcome of the bid

Binary options are not traded on a secondary  market  Traditional options are traded on a secondary  market

Cannot be executed prior to the pre-determined  expiration time  Can be executed at any time before the expiration  time (American options)

Contracts do not grant the “right to buy” of the  underlying asset  Contracts grant the “right to buy” of the underlying  asset

Binary options present a simplistic in nature and easy to execute trading alternative for traders, with many benefits to those trading on GlobalOption.com:

• Simplicity – an easy-to-use platform to execute trades and obtain returns.
• Managing risk – the risk is limited to the amount of your trading option.
• Access to information – GlobalOption provides information on past expiries so you can track the asset before you make your bid.
• Quick turnaround – you can execute your trades and reap the benefits within hours or on a daily basis.
• Diversification – with the ability to trade across a wide variety of asset categories, including stocks, indices, future indices, currency pairs and commodities

It only takes 3 steps to begin your GlobalOption trading experience:

Step 1 – register and fund your account

Step 2 – select an asset to trade with

Now that you’re registered and funded, the world of binary options is at your fingertips. Simply select from the extensive list of assets – including indices, future indices, stock, currency pairs and commodities – and begin trading.

Step 3 – trade away

Once you have selected a binary option that meets your needs, identify if you feel that the price of the asset will rise (via a CALL option) or decline (via a PUT option) in price upon expiration. GlobalOption provides information on past expiries on the site, so you can get a better understanding of how the asset is tracking.

The process truly is as simple as that!

At GlobalOption, we are committed to enhancing your trading strategy in a simple and effective binary options trading environment. We hope you found this tutorial useful in establishing your trading relationship with us.

If you have more questions about binary options or the GlobalOption platform, please visit the Frequently Asked Questions (FAQ’s) page on the website or contact a member of the GlobalOption team at any time.