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Major Types of Binary Options

Binary Options -Major Types

These are the most important Binary Options types that are available today for binary traders:

(1) Up/Down Binary Options

(2) Touch Binary Options

(3) Range Binary Options

(4) Pair Options

(5) Turbo or 60-Sec Binary Options

(6) Binary Options Builder

(7) Options Ladder


 

 

(1) Up and Down (Put and Call) Binary Options

Up or Down Binary options are the classic digital options offering two possible outcomes (win or lose). Traders may select either Up options for upcoming bullish markets or Down options for upcoming bearish markets. This type is also known as the Call / Put Options.

■ Move Up (↑) if a Bullish Market is expected

■ Move Down (↓) is a Bearish Market is expected

■ Payout Rate: 70-90%

■ Refund Rate: 0-15%

■ Time Expiries: from 5 minutes to hourly, weekly or monthly expirations

■ Features: (Full range of features supported, including Take-Profit, Rollover, Double-Up etc)

 

Basic Information about Up and Down Binary Options

Up and Down Binary options require from traders simply to speculate on whether the price of a financial asset will rise or fall in a pre-specified timeframe.

Case-1) If the Speculation Proves Right

If speculation is correct then the trader receives a payout. The payout amount is based on the Payout Rate:

Payout = Initial Investment x Payout Rate

For example, if the initial investment was $100 and the payout rate is 85% then the trader receives:

Payout = $100 x 85% = $85, so the profit is $85

Case-2) If the Speculation Proves Wrong

If the speculation proves wrong the trader lose its initial trade amount but he collects back a Refund amount which is based on the Refund Rate:

Refund = Initial Investment x Refund Rate

For example, if the initial investment was $100 and the refund rate is 10% then the trader receives back:

Refund = $100 x 10% = $10, so he is paid back $10

Binary traders using Up and Down Options can choose among a wide range of up to 200 assets, including Forex currencies, commodities, stocks and stock indices. In addition, multiple trades can be executed at the same time.

 

How you can Trade Up and Down Options?

Trading Put/Down options is very easy and includes just four steps as you can see in the graph.

Step-1: Pick an asset (Forex currency, commodity, stock or index)

Step-2: Choose an expiry (this is the timeframe of you trade from 5-minutes to several months)

Step-3: Enter an amount to trade (the minimum usually is $5-$10)

Step-4: Choose the Price Direction according to your speculation (Up or Down)

This is how you Trade Binary Options