The most common type. Traders predict whether the asset price will be higher or lower than the current price at expiration. A correct prediction yields a payout.
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Trading binary options is a relatively simple process, especially for beginners. Follow these clear steps to get started and improve your chances of success:
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Binary options are time-based trading contracts where you predict whether the price of an asset will go up or down relative to a fixed level — known as the strike price
Binary options are a type of financial derivative that let traders speculate on the price direction of various assets, including stocks, currencies, commodities, and indices. The term “binary” comes from the two possible outcomes of a trade:
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Why it here matters: Regulated brokers operate under strict guidelines and are monitored by financial authorities, reducing the risk of fraud.
This is when the trade ends and results are determined. Expiry times can vary from as little as 5 seconds or 60 seconds to several hours, days, or even weeks. Choose based on your market analysis get more info and trading strategy.
Clear Risk and Reward: Your potential loss is limited to your initial investment, and potential profit is known in advance.
South Africa’s regulatory body for non-banking financial services. It oversees binary options brokers serving the African market, promoting fair practices.
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