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Binary options can basically expire at any set time in the future. Popular expiration time are 5 minutes before the end of the day, week or at the end of the month.If you prefer to trade more frequently there is also the 60 second binary option. These options expire in exactly one minute you can potentially do dozens of trades in a single day. Even with a small amount of your funds risked on each trade, you can Profit OR Lose a lot in a single day.
60 Second Binary Options Basics
Just like traditional binary options, if you believe an asset will have a higher price in 60 seconds from now you would purchase a call option.
If you believe the asset will trade at a lower price within 60 seconds you would purchase a put option.
A correct assessment will give you a pre-determined payout profit from your binary options broker. Depending on your broker the payout could be between 60 to 70% (plus you will get the money you placed on your trade).
A wrong assessment will result in a complete loss of the money you placed on the trade.
The time of 60 seconds starts at the exact second you place your binary option trade. A trade placed at 2:30:15 PM will expire 60 seconds later at 2:31:15 PM..
The main advantage is that you can essentially trade as often as you want. Theoretically you could make a trade every few seconds resulting in multiple open positions. This allows you to take advantage of any short term opportunity without having to worry about finding an expiry times
From a trading perspective 60 second binary options allow you capitalize on strong market moves effectively. Therefore, these type of binary options let you jump into the trend of the market, and get out of a trade quickly before a major market reversal occurs.
This allows you to take advantage of multiple profit opportunity.
While you can trade a lot in a day with 60 second binary options and potentially make a lot of money, you could also lose a lot. “Over-trading” is common among new traders who want to try to catch every market move, but these aren’t likely high probability trades to win. Good set-ups often take time to develop, and therefore by using 60 second binary options you may be distracted by mediocre or poor trade set-ups, missing the good ones.
The payouts on 60 second binary options is also generally lower than other more traditional types of binary options, in the 60% area. This means you will need to have a very high win rate when trading. If you lose 100% of the capital you trade on losers, and only make 67% (for example) on your winners, you need to win 6 out of 10 trades to breakeven (tiny profit in this case).
60 second binary options offer a lot of potential, and provide a way to captures short-term day trading opportunities. There is a big risk of over trading these types of binary options since there is the possibility of instant gratification, or if you lose the potential for “revenge trading” where you attempt to recover losses. But the odds are against youl. You need to win about 6 out of 10 trades just to breakeven. To make a decent profit your win rate will need to be significantly more high.
60 Second Binary Options Trading Signals:
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U.S. Government Required Disclaimer - Commodity Futures Trading Commission. Trading financial instruments of any kind including options, futures and securities have large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the options, futures and stock markets. Don't trade with money you can't afford to lose. This training website is neither a solicitation nor an offer to Buy/Sell options, futures or securities. No representation is being made that any information you receive will or is likely to achieve profits or losses similar to those discussed on this website. The past performance of any trading system or methodology is not necessarily indicative of future results. Please use common sense. This site and all contents are for educational and research purposes only. Please get the advice of a competent financial advisor before investing your money in any financial instrument.
CFTC RULE 4.41 - HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAN ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
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