About Binary Options Trading – Does It Work?
Before I get into whether binary options trading really works, let me explain how it works. I’ve decided to write a post on how binary option works because I believe there has been a lot of misinformation out there on the internet, as well as a countless number of binary scams that are giving us a complete misinterpretation of how binary trading really works.
Binary options first requires that you “invest” money in order to make a return. The amount you want to place on any given trade is completely your call. Usually there is some kind of minimum deposit, but there are thousands of stocks out there that you can choose to place your money on. But this has nothing to do with actually placing money on stocks.
Binary options requires that you then “put” or “call,” depending on which way you think that trade will move. If you end up correctly guessing which way the trade moves, you can almost double your money. But guess the wrong way, and you lose everything. It’s really an all or nothing approach and to categorize this as a form of investing would be completely misinforming. When it comes to binary options trading, there is probably a 50% chance you’ll win or lose, regardless of whatever research you’ve done beforehand.
Binary Trading vs. Stock Markets
Binary trades unlike stocks furthermore, require that you try and predict short-term movements in the market versus long-term movements. For that reason, many categorize binary trading as being completely identical to gambling. There is almost no intelligence involved and is purely based on making a prediction.
Unlike the stock market, it is impossible to actually analyze past and historical trends to help you guess the right direction. In other words, it does not matter how knowledgeable you might be in understanding how to invest. The point of the matter is that these fluctuations within the binary market are completely unpredictable and as random as it gets due to their short-term movements.
Binary Option Products & Scams
Today, we see more and more binary option scams being released on the market and they don’t normally cost anything. But the way that these scam artists make money is through your deposit. The binary option trading platform in return will pay out close to 75% commissions on your deposits just for referring them to you.
There are all kinds of binary trading option products out there and are increasing in prevalence everyday. Individuals have literally exploited this market promising to have the next big secret or binary software that can help you predict the right movements. But in reality, these softwares are completely bogus and do nothing more than simply trade your money for you. Some binary trading products will try and claim that you can get rich with the Apple Stock Market. Others will focus on small commdities like wheat. Others will just straight out tell you that you can earn $100 million dollars in 90 days from now by using their software.
The binary trading markets have become so overrun with these scams because of its mere nature and how it all works. Some people like to think of it and see it as investing, when underneath it all, binary trading is nothing more than pure gambling. But the fact is that people will always believe there is some kind of strategy or secret to making more money with binary options trading. I’ve never actually seen anyone truly and legitimately make an income with binary trading. That individual will always end up losing at some point. No winning streak can or will last forever.
Binary Options Trading Overview
The simple fact here is that binary options trading should be avoided at all costs. I know that some people find some enjoyment in it, especially after they get that feeling like they just won. It really is no different then gambling. But is that worth wasting away your money in your wallet.
Binary options as I recall isn’t even regulated and was something that just began in 2008. The internet then flooded with one binary platform after the next, only to be followed by binary product scams trying to claim to make you rich in no time. It’s ironic to me how they’ll release a product like this that they themselves don’t even bother using.
Many individuals have actually tried earning a full-time income with binary trading without much success. Most end up losing rather than winning and as a result will end up turning to a binary trading product scam. Binary options trading is not a legitimate method of making an income in my eyes, just like playing poker or craps isn’t a legitimate way of making an income. The odds are stacked against you here in every way possible and just because you might have money laying around doesn’t mean you’re going to be making it back in this scenario.