Digital Options Trading Explained

Binary options are the most lucrative financial investment in the market right now. Due to its low investment risk and higher chances of greater ROI, several traders are now turning their attention towards investment into Digital options. You do not need to wait several years to get returns from binary options trading, and there isn’t much knowledge required to do it successfully, just be sure to follow the steps in this Digital options trading tutorial for best results.

Actual functioning of Digital options trading

The basic functioning of binary options trading revolves around call and put type of financial investments. Binary implies bi-polar which means trader either selects up side or down side of the financial assets as per the current market trends. In such type of trading, an investor selects one type of security for investment and invests a particular amount into that security.

After this investment, it is the trader who decides which side the security would go. The trader can choose down side (put option) or up side (call option) depending on his/her own market analysis. Once the trader decides the probable direction, the binary trading broker software calculates the final payments and the trader submits the final order. This binary options Trading Tutorial was written to explain the basics of profitable options trading.

7 steps digital options Trading Tutorial to garner maximum ROI in Digital options trading

If you want to be profitable and successful binary options trader then you must follow the proven 7 steps process laid out in this binary options trading tutorial:

1) Perform proper fundamental analysis Fundamental analysis is the first and the most important building block of any type of market research before you start deciding your investment into any type of binary trading. You need to have high quality stocks in order to perform profitable trades in the short term as well as in the long run. This process actually involves screening different financial securities and finding out the most profitable ones to get higher ROI.

2) Create your own watch list The selected financial securities should be written down on a piece of paper. The most promising ones will come under a special list known as your watch list. This list would contain the most promising and potentially profitable securities that have the capability to provide you profits over long term.

3) Perform technical analysis The technical analysis is really a critical process that helps to find out the best financial products on your watch list and it also helps to select the best option trades. Important technical indicators as well as certain price patterns help you identify the most profitable trades during this process.

4) Potential trades After fundamental and technical analysis, one can easily find out the most promising trades that can provide the best ROI. This process involves pre-selecting the options that one can easily buy and sell in the market.

5) Proper follow-through process Creating follow-through rules makes it easy to trade sensibly in the market.

6) Right exit strategy Entering any type of binary trading needs to have a proper exit strategy to manage the investment risk. There are lots of variables present in any type of financial trading. So you need to be thoroughly ready to face any investment risks during the trades.

7) Proper money management Money management or risk management is equally important throughout this trading process. You need to keep more finances than your actual investment into trades in order to stay financially safe and sound.


How To Understand Binary System of Number Counting

Well, we are all acquainted with decimal system of number counting. It has ten digits from 0 to 9. We are keeping here counting restricted to what we call as natural numbers, such as 1 mango, 2 mangoes, and so on. Now, what about binary system of number counting where you have only two digits, 0 and 1. We will discuss the concept behind zero as a dummy variable in this article, and would see that whether it is decimal or binary or any other system of number counting, the fundamental rule is the same.

As zero by itself represents nothing while counting, we can call that there are nine core digits in the decimal system. Once nine core digits (1,2,3,4,5,6,7,8,and 9) that represent increasing weightage by 1 unit are exhausted, zero (0) comes into action. It is also logical that 0 (zero) should be preceded by 1 after nine. Thus the number formed is 10.

Zero is thus used as a dummy to move forward with counting. Now, navigating on the escape vehicle that has been devised using 10, it is easier to count nine more mangoes just the same way when we started originally. So, nine following numbers (11,12,13,14,15,16,17,18,and 19) and again we are looking for a number that should follow 9 in 19. So, put zero as savior. This time it will be accompanied by 2 which is a successor of 1. This form of filling would continue up to 99 when we will again run out of constraints of 9 core digits, one dummy digit in the form of zero, and two places. (for easy understanding of what we mean by places in this context here, we can call that all numbers starting with 100 and ending with 999 in decimal system represents three places. While 99 represents two places, 1001 represents four places). Now, this time, 2 zeros come to rescue preceded by 1, and the number formed is 100. And the cycle goes on.

Now, what about binary system of number counting? Here, you have only two digits, 0 and 1. As usual, zero represents nothing (zero mango means there is no mango). So, there is only one core digit which is 1 that in our case represents one mango. Once one core digit (1) is exhausted, how will we count two mangoes? Well again, zero (0) comes into action. So, after 1 is exhausted, you put 0 to count further unit where 0 is preceded by 1. So two mangoes in binary system will read 10. Again to represent three mangoes in binary system, you leverage on zero (in 10 that we saw just now represented two mangoes in binary system) that can be substituted with a weapon in hand 1. So, you have 11 representing three mangoes in binary system, since 10 that represented 2 mangoes left with a scope to change 10 to 11.

You rightly understood that you can only have 10 and 11 as two numbers in binary system using 2 places. You cannot have 00 representing any core number in binary system just as in decimal system. It would simply mean zero (0) or nothing.

Now, what about four mangoes? Well, you are out of resource to represent a number using two places and two digits. Now, you take recourse to three places. This time put 2 zeros preceding 1. So, four mangoes in binary system will read 100. Again for five mangoes, why not start with 101. You are correct. Now, you also rightly guess that starting 100 as binary number, you can have only 101, 110 and 111 as three more representations using three places.

You have already noted that 100 and 101 are logically represented in binary system for four and five mangoes. Now, obviously only six and seven mangoes can be represented by 110 and 111 in binary system. You guess by your hunches that 110 in binary system should represent six mangoes and 111 in binary system should represent seven mangoes. You are absolutely correct. Why? You may now by yourself explain this to your friends.

The concept that rules decimal or binary or octal or any other system of counting that uses zero as dummy variable is the same. Zero which by itself represents nothing comes into action as a joker to fill the vacuum when the number of core digits (such as 9 in decimal system, 1 in binary system, 7 in octal system) are exhausted.


Binary Options Broker – How To Choose The Best One

Why one must use professional binary options broker?

Digital options trading is one of the most profitable investment opportunities available in the market today. Since the new market regulations announced in the year 2008, the growth of binary options trading has really catapulted and more and more people are increasing their investments into binary options. Due to the short term investments and higher returns on those investments, Digital options trading has become one of the most popular market investment opportunities.

Investors can trade 24 hours and 7 days a week in the binary options market. At the same time, there is a harsh reality behind this type of investment. One must have thorough knowledge about the current market trends to get higher returns on their investments. Plus this market is highly dynamic and volatile in nature which indicates a strong need to keep constant eyes on the latest news and worldwide market happenings. This is where a reliable and professional binary options broker platform can help investors to make easy and reliable trades automatically.

How to Choose The Best Binary Options Broker?

Due to the continuous rise in the popularity of binary options trading opportunities, there is a growing demand for reliable and professional binary options broker platforms. Unfortunately, there are several digital options scams present in the market which try to sell the investors unreliable and untested binary options broker platforms. This can cause severe losses to the traders due to the lack of professional and reliable binary trading software.

While selecting a reliable and professional digital options broker program, one must inquire about the following features and requirements that every successful binary trading software possess.

Important Binary Options Broker Features you Need to Keep In Mind

1.) Simple and intuitive user interface – Professional and reliable binary trading program offers easy and simple to handle user interface that saves lot of time and headache for traders. There is usually no need to invest extra time to learn new features and controls of the program. Most of these programs are web based and users do not need to download or update the trading software on their own PC. Users must be able to use the program easily whenever and wherever they want. User friendly and interactive controls are the most important ones which we must observe while selecting the right binary options broker platform.

2.) Ability to invest into multiple assets – Reliable and professional binary trading software offers varieties of assets for the investment purpose. A trader should be able to invest into different types of market assets from forex, indices to stocks and commodities. One must pay attention to the ability of the program to invest into all of the available market assets to gain maximum profits from the trades.

3.) Availability of appropriate expiry periods – Some binary trading brokers provide weekly expiry periods while some provide hourly and end of the day options to their investors. To gain maximum control on our trades, it is important to select the binary trading software that provides maximum expiry periods.

4.) Maximum payout percentage – Professional and popular digital options brokers provide maximum payout percentage to their investors. One must look at the binary trading platform that can offer minimum 75% to 90% payout percentage for every won and lost investment. For every unsuccessful trade, there must be minimum 5% to 10% returns to the traders.

5.) Varieties of languages offered – To become more convenient with the usage of the binary trading software, it is essential that the language of the program must be your own mother tongue. There are some professional binary options broker platforms in the market that offer varieties of languages from English, Arabic, Spanish, Russian, Turkish, etc.

6.) Minimum initial deposit requirements – One must be able to open binary trading account at the website for free and no need to provide initial deposits. Look for those binary trading platforms that provide free registrations and minimal deposits.

7.) Varieties of payment options – Professional binary options trading platforms provide varieties of payment methods such as Paypal, bank transfer, credit card, etc. Look for such binary or digital options broker that offer multiple forms of payment withdrawal options.

8.) Higher bonuses – Some digital options broker offer up to 25% bonuses to their traders that also depend upon total turnover and initial deposit amount from the traders. Look for such trading platforms that offer higher bonuses to their users.

9.) Top notch customer support – High quality customer service is equally important to get timely support and assistance during all types of trades. Professional digital trading brokers and platforms always provide customer support in varieties of languages and via multiple platforms such as email, live chat, and telephone support.