Is Binary Options Profitable?

profit from binary options

This is the big question every investor wants to ask. Well, the answer is, ‘’Yes, investing in binary options is highly profitable, and you can do this from the comfort of your home’’.

What are binary options?

A binary option contract is an investment instrument that enables you to make profits from the movement of asset prices on the world’s financial markets. ‘’Binary’’ denotes the fact that two possible options are involved. These are the ‘CALL option’, and the ‘PUT Option’. These titles correspond to the ‘Up’ and the ‘Down’ movement of asset prices.

Now it is important to note here that as a binary options investor you do not actually have to buy or sell the underlying assets. You only have to invest in a contract for time at the end of which the price will be different to that price at the moment you made the call or put contract. It really is that simple. A close analogy might be the example of crossing a street, where you check for the traffic moving in either direction before you make the crossing (i.e., the option).

Let’s look at an example. I am a binary options investor, and I want to make a binary option profit from the price movement for a major stock such as Telefonica. First of all, I examine situation and pricing history of these stocks on the world market. This information is free and readily accessible on the Stern Options platform. The online trading platform shows me the price movement history in simple to use charts and graphs.

Telefonica stock

If I want anything clarified concerning this graphic information, all I have to do is to consult with my Stern Options Account Manager or Stern’s customer support team.

Now when I am satisfied that I have enough information relating to the price trend for Telefonica’s stock, I make the appropriate contract for the profit I will receive. Let’s say the information tells me that in three months from today Telefonica’s stock price will be higher than today. Let’s say I want to invest $50 on this prospect. Now I type in $50 into the ‘’Amount’’ box (see top right on picture) and I select the green “Call” button. When that is done my binary option contract for three months is made. At the expiration of the three month timeframe, and if my prediction was correct, my Stern Options trading account will not be debited the $50 I invested and I will automatically receive the profit which in this example would be 80%.

The world’s financial markets and trade exchanges are not open every day, naturally, but Stern’s online platform is live 24 hours a day all year round. This enables you to study the markets even when individual markets are not open.

Profitable binary options trading.

We all want to make a profit from investing. As is the case for all kinds of venture like this however, we also have to invest some time in learning the ropes and the currents before we set sail. Here’s some valuable pointers to help you navigate successfully:

• Study the materials in Stern’s training academy. It’s free to use.
• Learn to recognize charts, graphs and technical indicators. These will enable you to predict the price movement trends of the underlying asset you are interested in.
• Make use of Stern’s signalling service. Stern sends regular email notifications signalling important market events, alerting you to opportunities you would like to know about.
• Track your progress. If you find you are better at trading on commodities than stocks, stick to binary options for commodities.
• Invest in timeframes which suit your level of experience and expertise. If you are new to this, choose longer time scales for your contract frames. If you already have some knowledge of the markets you might like to try binary options on the scale of days, hours or minutes! Just remember, the longer the timescale the greater the probability prices will be more predictable.

Conclusion.

It is possible to make high levels of profit from investing in binary options. The most important tool in your binary options investment strategy is the broker that you partner with. Stern Options are a world leader with the most versatile trading platform in the industry who actually equip you with all the knowledge and skills required for success – absolutely free.