Trading binary options there are two options put and call contracts, if you already know this before? Do you know the meaning of the contract call it what? If you do not already know let's talk about the contract call itself. call contract is a contract whereby if prices rise and almost closing time. Well what is it put? Are you familiar with it? Let's discuss the contacts put it means that if the price is lower than forecast before the time runs out. Are there any similarities between forex and binary options trading? Let us discuss further what are the similarities of the two binsis it. Both bisns was indeed moving in the virtual world or on the internet and sam - equal mendapatka many advantages. The same - the same promises and open up employment opportunities in the virtual world to everyone even every company in the world. Trading binary options is that many enthusiasts have compared to forex because it will gain quite a lot and have a lot of enthusiasts are also in comparing forex business.
After the development of this age are becoming more sophisticated and more companies are opening services currency exchange services. Mutual bring together people - people who want to exchange money and is often called brokers. Well that was about forex binary options if on match itself is a method of activities carried out by people - person or a company that wants to menhual or buy shares - a particular stock for financial gain their company. profits in binary options trading business is enormous and you definitely want to get a lot of money, right? Then you should know how this business actually.
Here also we will discuss a little bit about how the heck do binary options trading works itself let's look together - together. If I may memprekdiksikan really about - about within 20 minutes if the price rises it will be bought or call worth 100 dollars with a gain of 80 percent if the contract will be concluded within 20 minutes then you will get a profit of 80 percent of your first deposit .but if your predictions are wrong about the contract and the time put it in the 20 minutes it will be over soon, then you will not get profit you earn is 0 per cent of the initial capital you're just not getting what - what if you lose.
I reiterate that the trading binary options is not a gambling internet melaikan an online business that can bring many advantages if you are correct in predicting something before the specified time-out if you are wrong you have to start from scratch with new capital and certainly dilahin time even on another day , Do as the beginning was that I described to you win and you predicting correctly before you predict correctly you lazy do not try and do this repeatedly.
for binary option trading business is very prioritizes your tenacity and patience. So here you can also train how sabarkan you for this and you can also see how much stamina you during this time. I suggest to you if you do not fully understand this business and you want ssekali follow this business ask the more experienced because you are a beginner and want jug into business ask for guidance to a friend or anyone who mastered this business so you do not lose continue in predicting before the time ran out. Because this business is using a different time management with business - binis others who do not use time management.
Maybe you still do not understand this business and you can start to try this business. This business is offering considerable advantages as well. Trading binary options is to use proper time management so you should be able to predict correctly so that you can win. How good you intend to try this simply because this is the latest breakthrough on add to pot - pot of money you become more abundant, just sit back and you get the money that is not small. I tell you about this so that you also understand various businesses that are in the virtual world today which includes high bertehnologi era. Do you think long obalah this business and you'll be ready - ready to be a lucky man if you predict correctly you will win this contract, but if you're just one of ya do not benefit from the business ini.mudah not good luck for those of you who are intending to try ,
In short, the option trading can be defined as a contract that gives the right but not the obligation to buy or sell an asset, for example, stocks, foreign currency, or commodity at a certain price within a certain period. Option attracted many investors because it gives the profit opportunities from various directions such as a bullish stock movements, sideways, or bearish.
In Indonesia, the option trading is also called the Stock Option truth is our authority to decide to sell (put option) or buy shares at a certain price (call option). In layman's stock option contract is that we do not buy the stock, but buying the right to buy and sell shares at a certain price. In option contracts should be mentioned clearly the price of an agreement to sell or buy shares called Regardless market condition, period applicable option or the expiry date of his, for example at the end of a given month and the year, the nature of the option is in a position to buy or sell, and stock set. Because the characteristic of the option has expired limits, then this investment has a value of money. The closer to the thresholds are exceeded then the option price will be more expensive.
The difference with the stock option
What was the option trading? And what's the difference with the stock? Option is a derivative of the shares and has no expiration date, while stocks are securities which are claims of an asset and has no expiration date. A case that has been mentioned, for investors the option providing the possibility to get profit from every direction of movement of stocks. Option has two main benefits, namely as leverage and as insurance.
There are two types of open positions in options, the call option and a put option. Call option is a formal contract that gives the right to buy an asset at a price and a predetermined period of time (when in forex investing is buy). While officially put option is a contract that gives the right to sell an asset at a certain price and under certain thresholds are exceeded (in a foreign currency investment is a sell).
This investment option is the most appropriate means for investors to control a sizeable share capital with a much smaller when compared to the original stock price. Option can be used as a means of hedging and hedge, which applies as insurance on stock prices that we have. By having a put option, regardless of the fall in equity prices in the market, there will always be investors who are willing to buy our stock at an agreed price, although there are some investors who are also using this as a means of speculation.
Trading options is a financial means of small retail investors around the world who buy investment opportunities in a number of affordable but potentially earn huge profits, by controlling the overvalued stock to own. Only with a capital of 80 dollars alone you can start your trading activities, due to the excess of the stock option is on its flexibility and versatility. Nonetheless, there is no investment without risk, because although promising huge profits, investment option is also very complex and dangerous if investors are not careful in the analysis.
Therefore you need to know the basics of option prior to the plunge in this field.
Call option (High)
To understand what options trading, the first thing you need to understand is the notion of a call option and how it works. Call Option is the right to buy a stock that is below the predetermined price in the future. If you predict a certain stock will go up, then you can buy a call option. With the right to buy stock at prices that are now, then you will benefit when the stock price rises because you have the right to buy at a lower price that has been determined. Call option is very flexible which gives the right to set profit targets as you buy a stock, but with a smaller capital.
Put option (Low)
different from the call option, put option is a stock option that gives the right, but not the obligation to sell the stock that is below a specified price in the future. You can sell a put option when you forecast that the value of the stock will go down, and you still will benefit because you sold it at a predetermined, according to your right to set the profit that you will receive. With the put option you can set the same advantages as if you are selling some of the stock that you have in advance without having to meet targets or specific margin.
financial options
According to the terms of the option trading, the most important concept to understand trading activity in addition to a call option and a put option is a financial option or option moneyness, ie, the value of each stock option contracts in relation to the value of the existing stock underneath. There are three sections in the financial option, ie In the money (ITM), At the money (ATM), and Out of the money (OTM). In the last part of the means to expire without value if stock option You have reached the expiration date and the value of a stock option that you bought increased in value along with the increase In the money.
The difference between stocks and stock option
The most fundamental thing to know if you decide to make an investment option is on stock option. In option trading, you do not transact with the stock trading but only the right to sell or own stock with the agreements that have been stipulated in the contract, known as stock option. Stock options are a combination tool as stock futures, which allow for the purchase of rights and set up stocks that benefit from beneath. If the stock price rose after you buy a stock option then you can earn the same profit without actually buying the stock.
Trading options can be a high-risk investment despite promising large profits with minimal capital for stock options you can run out priceless following all the funds you have invested in stock options if your analysis of a particular stock mistaken. This is called expiring out of the money. To avoid that, before engaging in stock investment suggest that you learn the basics of investing, what is the option trading advantages / risks, and how it works.
