Forex martket

March 30, 2013 at 4:47 pm

Binary Options vs. Forex market

To make a comparison between binary options (see also optionfair review) and Forex market, we will discuss the main features of both methods. To start trading in the Forex market you need training and a minimum of three months trading with demo account and for the trading with binary options only initial capital and knowledge of key market indicators. But if you really want to make money with these two methods, you must have a strategy.

Advantages and disadvantages of Forex market.

Forex market is a global industry for over 4 trillion dollars is available 24/7 and you can trade from anywhere in the world. The advantages of Forex market are reflected in the fact that you can trade with a low initial capital and to realize profits. But for that to happen you need to know the technical and fundamental analysis, as well as key indicators measuring the Forex market.

In Forex trading there is the so-called margin trading, which means that ensure your open positions with the % of your capital. This is good because with less money you will open a large position and consequently profits will be higher, but if you look at the negative side of things – the losses will be significant when your position is wrong.

Binary Options advantages and disadvantages

Disadvantages for binary options are much less because it is a very well equipped financial instrument. Binary options can be traded around the world, at any time. The advantages of binary options is that profit and loss are fixed, which means that you can not lose more than invested, unlike the Forex market where you have to limit profits and losses. Usually the rate of pay is fixed between 70-85%, that profit for 30 minutes you will never find.

In order to trade binary options you do not need training because it is very simple and is limited to making two decisions that the selected financial products will go up or go down. For this most peopleĀ  choose to trade with binary options. All you have to do is to select a binary options broker, then open an account and when you see the direction of the market to select “CALL” or “PUT” and take your profits!

4 Comments

  1. Your method of explaining the whole thing in this piece of writing is in fact good, every one be capable of simply understand it, Thanks a
    lot.

  2. In the first place Forex trading, and then hedge position with binary options

  3. interesting comparison between binary option and Forex market

  4. The same Forex market and binary option

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