What Are Binary/Standard Options?

When I first got into binary options, there was a lot of miss information. Lots of "instant rich" systems, become a millionaire in a month, get $100 every 5 minutes, etc., and of course this information is false.

I intend to use this blog to tell the truth of how to make money at standard and binary options. Binary options are NOT a scam and with discipline, hard work, and lots of studying, you can make profits. I'm not gonna lie to you and say I'm a millionaire, though with low risk amount trades I have made a lot of money for a college student so far trading. I've recently started trading standard options as well as binary options, but most general strategies work well for both. This blog will be dedicated to winning strategies and tools I use to be successful at trading binary and standard options. I hope to help others as it can be hard to tell who is actually there to help you learn. First I'll talk about binary options.

You might be asking what binary options are and the simple answer is a option where the payout is a set all or nothing amount if you either rightly or wrongly guessed the direction of the asset. You're trying to guess the direction a asset is moving. Binary options are generally for the short term with most options expiring 30 mins, but some can expire in a day or weeks. Lets take a look at a short example.

Say you think a asset is going to continue its downtrend. So you place a put option(For reference, "put" means you think the asset will go down and "call" means you think the asset will go up) of $50 at the current price of 1000. The broker will display the payout you will get for being right or being wrong. The payout can vary from about 70% of your bet to up to 90% of your bet. Lets say you're correct and the asset does drop below 1000 at its expiry time. You would then get $50 multiplied by what ever the payout % is. If you were wrong and the asset expired above 1000 at the expiry time, you would get nothing and lose your $50. Pic below.

In standard options, you choose when you want to enter and exit. The profit/loss you get is based on how much price (pips) has changed since you place your order. The greater price moved in the direction you placed your order, the more profit you get when you take profit on the order. I used to trade binary options but now mostly only trade standard options.

All of the info on this website will be trading Forex options, though the strategies I talk about could be used on stocks or commodities as well.

Simple enough right?
How to read charts here