Binary options allow you to earn very high returns in a short amount of time without any experience in the financial markets. – At least that’s what the broker promised. On the other hand, critics warn users about the risks as binary options are highly speculative and the risk of loss is much higher than other speculative methods. So now there is no way to invest in binary options? Alternatively, you can get that binary options education, as it is often free online, profitable and risk-manageable, you need to trade with this financial product. Through the following article, we will try to remove ambiguity and mark the requirements that traders for binary options must absolutely meet and how they can reasonably deal with high risk.
RISK WARNING: YOUR CAPITAL MIGHT BE AT RISK
General Risk Warning: The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose
Many customers have already suffered high losses
The special structure of binary options makes them particularly attractive to beginners with little or no experience in trading financial instruments. This is where risk is often misjudged and investors quickly lose their entire trading capital. Hence, the internet is full of binary options criticism. Not only did this come from corrupted customers, but the consumer center now utters a binary options warning. Some former traders claim that losing options are fake, so you can’t win with money, but it’s not right. There are always scammers among online brokers, but binary options trading is possible even in serious situations. Investors should only be aware of the speculative nature of binary options. A more conservative form of investment, where losses are small with the right strategy and total loss is rare, but when you trade binary options, you should really only invest money if you trade binary options every day, so if this can be considered a kind of “play the game”, which is It can be lost even with a low probability of rating.
Trades can be tested in advance on a demo account.
Why binary options are popular with beginners
Binary options can lead to high losses. Consumer advocates are not only trying to warn binary users about the dangers of trading with their critics, but they are also warning many customers who have suffered loss reports on the internet.
Nevertheless, new entrants continue to register with many brokers and in some cases pay large sums. Binary options for beginners are so popular due to their simple structure: you can conduct trades, you can learn quickly, there must be many decisions to go to place to trade. Binary options are therefore an ideal opportunity for many users to participate in the financial markets without having to deal with the functionality of a trading platform for days or weeks. Most professional traders clearly prefer it to more complex trading in CFDs or Forex products, as it offers more options and therefore the right decisions have a greater impact on profits. There are successful binary options experts out there, but the majority will switch to other products sooner or later. However, this is not necessarily inconsistent with binary options. Many professionals have started their careers here and have made quite a bit of money with binary options.
RISK WARNING: YOUR CAPITAL MIGHT BE AT RISK
General Risk Warning: The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose
Trust is better and control is better: finding the right broker
Traders need a broker to trade binary options. As interest in this form of investment continues to grow in recent years, the number of brokers has also automatically increased. So it’s not easy to find your way among the many providers. Our broker comparison is helpful and we take a closer look at each individual broker in our detailed review to help you decide on the right broker for you.
Reputable brokers are regulated by official authorities reporting and finders. It is not all regulated equally . For example, for German traders, there are several advantages if your broker is regulated within the EU. First, home safety regulations are particularly stringent, so EU brokers usually cause much less trouble than that of regulated brokers, for example, often sitting in the Caribbean. On the other hand, it is easier for a broker to figure out if a legal dispute really has to come. Of course, the best is always a broker in your country, but very few German providers offer binary options. Most German financial experts take EU regulations seriously.
Binary Options Addiction – An Underestimated Danger
Common binary options criticisms relate to losses and misleading advertising. However, its addictiveness should not be underestimated. Many traders will not get the idea when registering with a broker that binary options can be addictive. After all, this is all financial instruments, not slot machines or the like.
Although binary options is not a game of pure chance as good chart analysis can affect your chances of winning, the two areas are very similar to each other and even with binary options, part of your success depends on luck. A special structure is added here. An amount is credited when a trade is made, which is often as high as the stake. Because of the clearly defined end, the passage of time is predictable. If the trade actually wins, you will of course feel euphoric. The trader’s body releases so-called endorphins. Of course, merchants want to experience this euphoria over and over again. This creates an addiction just like any slot game. So when it comes to binary options, if you already have an addiction problem or a potential trader is at risk, keep your fingers off.
What binary options are and how they are traded is explained by IQ Option in the learning area.
Good risk management cannot be abandoned
Binary options with anyone will, because this is a trade that is always bearable, and despite this very speculative good analysis, the process regularly develops what this trader was not expecting. Therefore, anyone who wants to trade binary options for the long term needs to have a good financial plan that he is disciplined with. These plans include a maximum percentage of available credits that can be used concurrently. Since a Loss Trade is just off the perfect application, this is sure to be a plan. If a loss of one does not have a significant impact on capital, most of it will fluctuate and initially negative variance will be depleted.
In the training materials, some brokers are advised to never use more than 10% of their total credit for a single trade. That sounds like a bit much, but it’s still pretty daunting considering that, as a rule, multiple trades in a row result in losing trades. Therefore, professional traders will choose a significantly smaller percentage and adjust consistently when the line is smaller, resulting in a smaller total capital.
RISK WARNING: YOUR CAPITAL MIGHT BE AT RISK
General Risk Warning: The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose
So binary options do not threaten to exist
Binary options are not suitable for meaningfully investing the granted hard earned money while making a profit for home construction, outdated provisioning or acquisition. Luckily, this is exactly what you can do, but customers don’t have it completely in their hands. Because the speculative nature of binary options is very high, there is at least a risk of losing invested money. As a result, clients are no longer able to use their capital as planned and therefore have to limit themselves financially.
Avoid the binary options pitfalls described and only invest money for which loss is not an issue. Many brokers have little or no minimum deposit. To play binary options, use the minimum amount possible or a free demo account. These demo accounts are offered by many brokers and are usually available for a limited period of time. Here you can trade for free and risk-free with play money, so you can experience binary options without depositing.
Risks Remain Despite Precautions
As you can see, there are several measures to make binary options trading safer. Nevertheless, trading is absolutely speculative, with absolutely no risk. In the worst case, it may still be a suitable trading variant for investors who do not have many problems with the loss of their entire investment and still want to take a chance on binary options. Everyone else: Binary Options There are always traders who want to make quick money with binary options. Even if you really need capital, ignore the risk. These traders often tell themselves that they dream of making quick profits without incurring total losses. Unfortunately, it is these users who are particularly affected by the total loss. Among other things, this may be because the pressure to not lose capital means that optimal decisions cannot be made and in many cases traders are too emotional. However, even if all precautions are taken, everything can be lost. Professional traders are aware of this risk, and we have a plan B at our headquarters.
Conclusion: Binary options take criticism seriously.
An important statement about binary options should be taken seriously by active traders and potential new entrants alike. This is not a safe investment in which you should invest in assets that are necessary to maintain a standard of living or designed for other purposes. For this, there is a much better opportunity in the financial markets.
When binary options are written fake or rip-off, they are exaggerated. While in the past there have been repeatedly intermediaries who have actually brought a lot of money to scammers and customers with trusted sellers, not about scams. Nevertheless, the biggest gains are usually brokers. Customers accept the financial products of, as though, according to good knowledge carried out price analysis increases the probability of whose profit only depends on the chance to become large, the transaction conditions are reputable providers can read the terms and conditions, so Traders don’t have to be ripped off. Professional traders only sign up with brokers who provide information in advance and get good terms.
Binary options trading is still speculative, and there is always a high risk of loss, even total loss. There are only clients who can consciously accept this and act successfully with the opportunity to be satisfied with binary options in the long run.
RISK WARNING: YOUR CAPITAL MIGHT BE AT RISK
General Risk Warning: The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose
