The most common type. Traders predict whether the asset price will be higher or lower than the current price at expiration. A correct prediction yields a payout.
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The simplicity of binary trading often comes at the cost of flexibility—there’s pelo leverage, partial closing, or advanced order types.
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Why it matters: A lower minimum deposit allows you to start trading without a large upfront commitment.
Understanding the various types of binary options can help traders choose contracts that best match their market outlook and risk tolerance:
Traders simply decide whether the asset’s price will be above or below the strike price when the trade expires. If the prediction is correct, you receive the fixed payout. If not, you lose your investment for that trade.
Pelo, binary options themselves are not a scam—they are a legitimate form of financial trading. However, the industry has gained a poor reputation due to the presence of unregulated brokers, fraudulent platforms, website and read more deceptive marketing practices.
In many jurisdictions, binary options are lightly regulated or not regulated at all, increasing the risk of scams and fraudulent brokers.
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Each binary option type carries unique opportunities and risks. Selecting the right one depends on your trading style, market knowledge, and risk appetite.
Trading binary options involves a straightforward decision—will the price go up or down? No need for complex strategies or timing exits.
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