The whole truth about binary options trading that you might not know

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The whole truth about binary options trading that you might not know

Binary options and earnings on them

For the last couple of years, binary options have started to enjoy great popularity. Almost at each resource devoted to financial topics, you can see a lot of materials on trading binary options, forex and other financial instruments. But, there is no naturally valuable information that would satisfy every interested person.

A potential trader in our time to find such information will not be difficult at all. Another question will be whether this information will be relevant. This moment will depend only on the level of knowledge of the person himself in this topic.

What are the binary options in fact

Speaking about binary options, it would be foolish not to mention forex trading, because according to the principle of brokers, we will not find any significant differences. Both Forex and binary options are officially recognized as markets where you will be able to trade this or that financial instrument absolutely legally. The difference will only depend on the broker. We can explain, then there are 2 types of brokers. The first ones are those that take deals to the open market, while the second ones take them out to official brokers, or they do not lead them anywhere. This already suggests a logical conclusion, but my friend should not be so hasty. All binary options brokers, forex brokers trade on the basis of the schedule of quotations of assets. This schedule is live and just on it forecasts are made, on which you actually want to earn money. For all fair binary option brokers, depending on the asset traded, their schedule must coincide and keep pace with the official quotation schedule for this asset. If this is not traced, then the risk of losing money will be greater. Try to trade on brokers that are regulated in your country or have a good reputation.

It should be noted that options, as a financial instrument, are often used for speculation in a particular market. This, on the one hand, raises the risk of using this tool in trade, and on the other hand it gives an opportunity to get a high profit from the trading operation.

Binary options – scam?

Binary options can’t be considered a scam. Trading binary options is a lucrative business for traders who have experience of knowledge and experience of “communicating” with the latter. Binary options are not casinos or gambling. Do not compare them with the latter. Binary options appeared a very long time and were used mainly in the US. Before Europe they came a little later. Binary options, like any other financial instrument, whose quotes of assets are represented on world exchanges can be predicted. A successful forecast of the behavior of asset quotes is the earnings of a trader. For an ordinary person, trading binary options without knowledge, skills and minimal preparation will end with a loss of money. Even experienced traders sometimes lose a lot of money. But this is not a reason to consider binary options as a scam. Since they make money for them, too many. In the network, you can read a lot of negative reviews about trading binary options. But, 99% of those who wrote them did not even ask what they are dealing with. Trading binary options requires training. Experience comes with time. In the process of learning, you can lose money. But, if you get to the end and learn how to trade, binary options will become a good way to earn money for a long time.

Is it possible to earn on binary options trading

On binary options to earn more than real. But for this you need not be too lazy and get training, understand what’s what and what. In the network and on our website you will find many materials that will help you in training and trading binary options. Almost every broker also has training materials that will help your development as a trader. Start by opening a demo account where you will be trained. Gain experience, make a clear plan of action, stick to it. Remember that training can be difficult, but in practice you will already receive the benefits of your training. Do not be afraid to trade on a live account. This is an integral part of your training. Only you must understand that you can not invest the amount that you do not plan to invest. Calculate your contribution so that you can test what you want. Say no to haste. Training can take you a lot of time. Be prepared for this. And if you still set out to become a trader, then go to the end.

“General Risk Warning: Binary options trading carry a high level of risk and can result in the loss of all your funds.”

The whole truth about binary options trading that you might not know

December 15, 2020

You can’t read an investment blog without coming across posts about binary options. There’s a lot of money in binary options – for users, brokers, and advertisers – so this won’t change overnight. Binary options trading is legitimate, but incredibly risky. You’ve got to understand the the industry and the risks involved – and you might be better served staying away entirely.

Don’t believe reviewers who pitch binary options as a quick fix for your financial problems. In reality, nothing can be farther from the truth.

How does Binary Options Trading work?

Binary options traders “invest” in the future movement of certain assets, such as gold, stocks, markets, etc. Simply put, binary traders try to predict whether the value of such assets will increase or decrease during a certain time frame.

If your prediction comes true, you will win and earn a commission on your investment. If the value doesn’t change as you predicted, you will lose all the money invested to lock in your prediction.

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Presented this way it becomes obvious that binary options trading is more like sports betting than real investing. Binary options is nothing more than betting on financial assets, much like you would bet on the outcome of a sports game.

So, is it a scam?

This doesn’t make binary options a scam. It’s just not an investment.

The majority of binary options brokers are legit businesses. As legitimate brokerage houses, your money will not be stolen and you won’t be defrauded.

The problem is that the majority of brokers promise unrealistic expectations. The average user does not get results like these.

The most common way binary brokers attract new traders is to show them cases where simple people managed to win huge amounts of money by just trading low amounts on gold and other popular assets.

Sure, cases like that do exist, but they are the exception not the rule. The same way some sports gamblers manage to win extremely large sums, skilled/lucky binary options traders occasionally make bank. However, this happens extremely rarely.

Not knowing this, a lot of people sign up with binary options brokers that offer unrealistic winning promises. In the end, lots of people end up losing all of the money they put into the system.

But can you really win?

The biggest factor in winning at binary options is LUCK. But yes, you can really win.

The thing brokers will not tell you is that you will have to put in a lot of effort and research if you want to win consistently. And even then, luck is the most powerful variable.

Like in sports betting, if you want to win you will have to have a great knowledge about the sport in question and about the teams that are playing. You will have to understand the game, the strengths and weaknesses of the teams, and the skills of the players. You will have to know about historical performance, fitness levels, injuries, and dozens of other variables. Even then, things might not go your way.

If you factor in all these variables then you probably will win in the long run. It’s exactly the same in binary options trading. There are countless variables and risks that you will have to consider in order to accurately predict the future development of an asset.

Issues like time of the year, state of the economy, political developments, economic performance of key market makers, recent business news and events are constantly influencing the movement of stock prices and commodities.

In order to be able to accurately predict the movement of an asset, you will have to be up to date with all of this info. Also, in order to be successful you will have to understand a variety of technical data as well, such as being able to read charts, use technical indicators, understand statistic calculations, and much more.

As you can see, binary options is much more than just investing $100 on gold and then getting $300 back 10 minutes later. If this is your approach, then you will lose 100% of your investment sooner than later.

But that sounds hard!

Yes indeed! That’s exactly what solid binary trading requires. I know most entities advertising binary options make a lot of bold promises, but in reality it’s much more complicated. In order to really make money you will have to invest significant amounts of time in market research and learning about the technical aspects of this business.

No matter what anyone promises, you will never be able to make easy money by placing random bets here and there. Brokers count on you doing exactly this because they know that this way, you will be paying the price of becoming a losing trader (meaning brokers will be making money off of you).

So, this is the truth behind the binary option business. There isn’t anything inherently wrong with this form of online trading (or, better said, betting), except that brokers are artificially hyped up and are dishonestly presented as something they’re not.

So one more time, is Binary Options Trading a Scam?

Binary Options trading isn’t a scam, but it’s financial gambling that will only work well in the long term for the most devoted and knowledgeable users.

2020 Update: Binary Options Industry Changes

If you read our thoughts from 2020, you know that binary options is legit, but extremely risky and difficult to take part in profitably. But that was back in 2020. Things have changed quite a bit since then.

As mentioned above, there is still no easy shortcut to binary options trading success – you will still need to learn the basics of this trading form and do lots of market research to make real money. That said, some new developments have appeared in the industry which might make it easier for you to make a living through binary options trading.

More Welcoming To New Traders

For one, social trading has finally become a major aspect of binary options trading. Newbies who would like to start making money without having to fight against a gnarly learning curve can look to the practices of seasoned veterans. Some brokers even offer in-house social trading platforms that let you profit from the trading experience of highly successful binary option traders within the company.

Of course, there is the risk that the trader is going to fail, in which case you risk losing money just the same. So, you will have to choose your signal providers very carefully to avoid disappointment.

We now have binary options robots as well, which purport to automate winning trades for users. Unfortunately, many of these bots are scams, which is why you would be better off avoiding them altogether (unless in cases where your broker is offering their own auto trading services).

Even then, you cannot really count on a broker to give you a highly profitable automated trading tool. Why would a broker give you the tools to take their money? You will have to do your own research first to see if the auto trading system is worth its salt. And should you choose to use an independent binary trading robot company, you will have to be extra vigilant to avoid getting scammed.

More Tools For Advanced Traders

It is easier to access quality financial information needed to make intelligent trading decisions than it was two years ago. Premium binary option brokers now have great platforms that provide excellent data for comprehensive technical analysis on the assets you are trading, helping you to make better trades.

Additionally, there have been cases of brokers introducing robots that scour financial newswires, giving you the latest events so you can anticipate market fluctuations. All these advancements make binary options trading easier (for people willing to put in the time to learn the system inside and out).

Still Legit?

Yes, binary options is legit, and growing. But you will still have to jump through lots of hoops to make it in the industry as a beginner. There are also plenty of scams to take advantage of helpless new binary options traders who don’t know how the industry works. At the same time, we now have a broader selection of trustworthy brokers and signal providers than we had a few years ago.

Furthermore, better information and technical analysis makes the industry more lucrative for dedicated users. Even so, you will have to be a lot more watchful of who you get into bed with when entering the industry to keep your money from falling into the wrong hands. If you are willing to put in the work, learn through trial and error, and develop better methods than the average binary options trader, you can actually make money with binary options in 2020.

The Truth About Binary Options –Dare to Gamble?

The first time I heard about binary options, I was super excited.

It sounded so easy that I overlooked the truth about binary options and the doom that follows after I get obsessed with it.

Many brokers advertised it as though it’s very simple and sure win – All you need to do is follow the majority of people who clicks and you’ll get easy money and if you’re reading this, you must be pretty curious to try too.

Sounds easy? Oh but it’s more than that.

There are many red flags behind the mechanics but first off, let me brief you on…

What is Binary options? –My Quick Intro.

What if you can do forex without studying anything?

That’s what Binary Options is about.

Everyone knows that if you can master the art of forex trading, you can make millions but in order for you to do that, you need to have an extensive knowledge on how the market works in order to minimize risks and increase your profit.

Problem is, it takes way too long to study that.

Workshops cost thousands of dollars and universities cover that subject for several semesters if you’re taking a degree in investment analysis so it’s not something that everyone can go for and the solution? Easy. Just follow the masters.

You see, in Binary Options we don’t need any knowledge at all.

All you need to do is follow the majority of people who either call or put and if you’re unfamiliar with the terms, we usually click on call if the currency rises or put if it drops.

There are thousands of people who are on that particular binary options platform and you can see how many percent go with Call and how many chose the opposite. Just see how many people choose what and you just join in the crowd.

What could possibly go wrong right? And the next thing you might be thinking, “If I’m wrong, these 10,000 people who voted would all lose their money too so I’m sure I can win easy!”

Many things could go wrong and before you ask, let me explain why…

Red Flags – Things to Watch Out For

Binary Options may be advertised everywhere being “The perfect investment for anyone”.

It definitely isn’t and here’s why…

Red Flag #1 – You are Downright Gambling

Since you can’t control anything about it, don’t you think you’re basically gambling already?

There is no way for you to control anything within the system, all you need to do is just follow the majority of people who vote call or put.

But even that, you can still lose and so will those thousands of people who voted the same answer as you.

You’ll left with no way of knowing the answer and even if you go with the majority, you’ll still lose – Up or Down, it’s a game of probability.

Red Flag #2 – Unbalanced Payouts

As if gambling isn’t enough, imagine not getting a hundred percent return on your profit.

A payout is basically your return of investment. When you gamble, you’ll always get two times more the amount you put in, correct?

Well Binary Options doesn’t work that way.

Instead of getting two times the return amount when you win, you’ll get back your initial investment that you put in plus a percentage of it and this is called a Payout.

You’ll get different payouts altogether, some platforms give you 60% or 75% whereas some can go up to 90% but never a hundred percent so it’s not really fair considering the amount of risk we’re taking.

But supposing you lose, they’ll take a hundred percent of your money. Talk about the unfair advantage. At this rate, you’re much better off with poker.

Red Flag #3 – There are No Strategies to Winning

Since it’s all about clicking Yes or No, we cannot use any strategies whatsoever.

This is a huge problem because since we’re just following the majority of people who clicks, we won’t know anything else besides that.

This is a huge problem because we can never implement proper risk management to minimize our losses and this is exactly what they wanted us to do.

How do I know this you ask? That’s because…

Red Flag #4 – It is Rigged!

This is how Binary Options brokers profits the most.

They know you act on your instincts which will make you a tad more vulnerable and then they steer you into choosing the wrong answer by faking the majority influence so you’ll never know.

And just when you’re about to win, you’ll still lose because they control the win-loss ratio!

There was a leak during an interview that an employee confessed that his organization guarantees losses every time a user trades so that they could earn more, like how casinos control their roulettes.

This is completely possible since it’s their own platform to begin with and before you start asking…

Red Flag #5 – Very Few Brokers are Actually Regulated

Although it has been several years since Binary Options first started, the real truth is that not many brokers can be trusted because a lot of them are not regulated.

They are very prone to fraud because they are banned by many regulators as they are seen as gambling rather than a form of investment and after mentioning the points I wrote earlier, it’s hard to argue when the facts are in front of your eyes.

Because of this, many brokers take the opportunity to take advantage of innocent people who are new to the whole entire Binary Options thing which is why I’m writing on this particular topic as I too got tricked and burned a few hundreds of dollars of my own.

The number of people who got scammed are so many in fact, that it got the attention of the FBI and they are investigating Binary Options scams throughout the world.

A few countries namely France, Belgium, and Israel has even taken extra measures to ban Binary Options entirely on grounds that they are obviously a form of gambling.

So, still interested in taking the risk?

Red Flag #6 – Too Fast to Predict!

In real trading, you take months to study a trend but in Binary Options, it becomes very difficult to predict anything because it is too fast paced.

The duration in Binary Options ranges between 60 seconds to 24 hours and when the time periods are too short, assets move in random directions making any investment techniques completely useless.

If you want to win, the only way is to do it the hard way which is by staying up to date with technical data through chart-reading, technical indicators, statistics calculations and many more but since we cannot do that, your chances of winning all comes down to pure luck.

Red Flag #7 – Oh, So Haram!

Haram doesn’t just apply to food, it also to businesses.

I just had to add this in because I was getting questions from a number of Muslims asking asking me whether or not binary options is haram.

Gambling or any acts of investing money without knowing we’ll get a definite return, or even a mere doubt on any investment you’re about to make is considered haram.

And after pulling in the facts earlier, we know that it’s more than just gambling – It’s much worse than that since some fraud companies make you lose on purpose so I guess I pretty much answered this question too.

Oh, But I’m Still Interested!

If you want to do it, do it safe.

I’m the type of person who would go all out on something if I’m curious enough despite the negative facts in front of my eyes (Which is why I tried binary options myself) and if you’re like me, I’m sure you’re dying to give it a go still.

If this is the case, then you might want to be extra careful by joining the right platform.

Binary Options are risky enough as it is, you don’t want to be losing your money on a fake platform made by internet gurus who would one day run away with your money, do you?

Here’s a list of legitimate Binary Options brokers if you’re keen on starting and experiencing them yourself.

Always try out the demo account first before spending a dime on any programs online.

There’s a Better Way.

Want to make money through Amazon?

If you’re looking for a way to make an income online, a much more legitimate way you can go for is by Affiliate Marketing.

It’s basically a way to make money online legitimately by selling other people’s stuff and the best program with the best lessons that I can recommend is Wealthy Affiliate.

It’s the easiest way to start earning online because you don’t have to go through the hard work of creating your own products.

You just leverage out of the ready products that are already out there.

Do you have a passion? Great!

All you need to do is to find your niche, build a blog about it, learn how to attract people to your site and you’ll earn commissions when your visitors spend.

It’s how I build this very blog that you’re reading and it helps you understand the online world even more, perfect for beginners and those serious in building an Online Business and compared to Binary options, there’s zero risk in it.

My Final Word

Binary Options are a scam because it is purely a gamble game and you don’t have any control over it.

Many brokers are frauds, they manipulate the winning-to-losing ratio so they earn more, and even if you win, you still have a huge probability to lose which is why certain countries go so far as to ban the entire thing.

If you are into gambling, you are much better off with Poker or Roulette. At least you’ll be earning two times more than what you put in.

Thanks for reading and as usual if you have any questions at all regarding Binary Options, do drop them down below and I’ll be more than happy to reply. Cheers!

I never heard of Binary Options before. After reading your review I’ve been cautious. Truly, many innocent people are cheated by such kind of scams. I think the share market policy is a kind of gambling. And gambling is strictly prohibited in Islam. Because it puts our lives in great distress. I agree with you that it is far better to work in affiliate marketing and earning money honestly with a hard job. Thank you sincerely for such a valuable review that is useful for increasing awareness.

Glad you found the article helpful, Rgpratap. Cheers

It’s actually great to reading this article. When I first knew about binary options I thought is a way to boom financially, with the huge wealth promises in the advert i saw which are fake. I can termed it gamble. Yeah, many of the brokers are fraud and manipulate the things turning winning to loosing. I actually lose some buck on this, and I can’t recommend it to any one. If they care to heed the warning. But this article is really helpful to decide.

Glad we’re on the same boat Topazdude!

For me, I think binary option is all about gambling. Although, a lot of people don’t want to agree to that fact. yes, it’s also true that the unbalance payout is another no-no. Thank you for pointing out the rigging aspect of it and a whole lot of other red flags. In fact, binary option is not an assuring way of making money. My personal experience has been very terrible with binary options and trading generally.

However, you have done well by pointing the real deal money maker, which is My Wealthy Affiliate. Since I joined the Wealthy Affiliate community and upgraded to a premium membership, my online earning potential has really exponentially gone up. Thanks again.

Great to hear that Chidiking!

This is obviously not a good trading option, I have heard about Tradorax a lot too. They have a pretty good range of assets compared to a lot of platforms, and their payouts are pretty competitive as well. Their platform is pretty easy to use and has a clean interface that’s suitable for either beginner or advanced traders, just want to know if you have similar view.

Is Tradorax a Binary Options platform, or Stock trading?

I got to know binary option early 2020 when my interest in being a master in forex was high. I started using the platform and it wasn’t long before I started seeing little earnings when I followed the crowd. Three months into the business, I was able to gather about $900 from the initial $30. The worst happened when I followed the crowd one day and put before I could say jack, I lost all my money. From that day, I stayed off binary option.

I’m sorry to hear that Sammy, I too had fallen prey and lost thousands of dollars in hopes that eventually one sale might cover back. It doesn’t

yes binary option is a scam i am a type of person that love making research before joining any thing online when i heard about the binary option i made research about it some of the brokers that are regulated will allow me to do demo and i will keep winning on the demo as soon as i deposit to the real account i start making loss i tried many brokers and all the same result is what i get but as you call them scam i totally agree with you but the only legitimate online business i know about is blogging and affiliate.

I’m sorry to hear that Boluwagg, since they control the likeliness of you failing and succeeding, chances are they won’t ever release their money to you so there goes all our hopes and dreams.

Wow as I began reading about how it is advertised to be a very simple strategy to make money, I saw that as the first red flag, you see I don’t really believe in any good thing coming easy and when things are advertised as easy, I know the is something they are hiding which unfortunately you might only get to know after you have made the step to commit.

Thanks for the detailed and honest review, the red flags are really hard to ignore

Good things never come easy Etah, I totally agree with you on that one. Appreciate the kind feedback ��

Sounds like an online casino more than anything else that’s rigged in favor of the brokers. What’s sad is there’s going to be a lot of unsuspecting people looking to play this dangerous game. While gambling in this game is bad enough, the fact is you won’t even see a full return on investment at any time. That really blows.

Well said Todd, depressing isn’t it.

Great review. It was informative and I learned some things about brokers and their tactics. I do not gamble so investing to me feels almost like the same thing. It’s good you put out the red flags of warnings to potential investors. I always thought it wise to do as much research on something as possible if you are going to invest any of your money into it.

Definitely Scole, appreciate the feedback!

Firstly I would like to commend you for taking the time to review this binary option. For me , I am far better off with gambling than doing this binary option because of one of the many reasons you listed here which is unbalanced payout. It’s annoying enough that the system is so unpredictable and yet you win then they refuse to give you all you are entitled too. That’s not good enough.

I would gambling would be far better than binary options because at least you can control the outcome even by a little bit, Seyi.

I agree its a scam 100%. When i started back in 2020 to try and get a passive income and i found about Binary options online…its seemed so easy!

yeah easy to lose money! i did win initially however than the losses started and i kept telling myself..i will turn it around..after 6 months of continuous losses and alot of researching online i found out that broker manipulate the numbers so you lose!

the internet should ban binary options

Sorry to hear that Tarun, but at least we know now to not waste time on binary options anymore. It is such a waste of time and there’s no system in it.

I believe that quite a bit of the trading stocks game is balanced towards the stock brokers and away from the traders. I’ve never tried this binary options trading and thanks to your article I never will. You probably saved me a lot of money. I thank you for that. I have lost money in the past trying regular options trading and I will never do that again.

Glad you were able to save your money Cory, I hope more people can realise that binary options is a scam and not at all legitimate.

Hello There, i am from Greece and I want to tell you that in the 80 s a lot of people won a lot of money from this gambling. Of course many lost fortunes.As you say, you have to know what you are doing. for me looks very complicated.In my opinion it is too risky. Did you actually invested money in this? I prefer WA it is a safer way and more productive.

Thanks a lot for your information.

I did Christina, and I was wondering why I never made back a single cent. Turns out they control the probability and that’s why you keep losing.

It is not advisable to just embrace every trade opportunity because of scam,trust me. It is always good to trade with broker using a transparent pricing, fast and reliable trade executions.

Good to know that Collins, thanks ��

its still possible to get your money back from the system. Binary Option is good but there are just so many fraudulent activities going through this platform. I lost a huge amount of money to binary scam but i was able to recover all my money back. Thanks to [email protected]

This really piss me off,I got scammed twice and i couldn’t tell anybody about, this two binary options company are five star rated on different sites and blogs, Many of these brokers misappropriate traders money thinking these traders will not act. Beware of where you invest in and if you lost your money, first I couldn’t reach their vendors and couldn’t sign in my account,I worked at a bank, at least with my knowledge of banking and monetary values should have saved me but that didn’t stop me from putting my life savings and loans into this,I lost my job and I sort for different ways to get my funds back, went to CySEC, credit card companies, my lenders ,funds recovery companies and every other way to get my funds back, but still couldn’t get it,I decided to let go and move on, till I met a finance analyst who introduced me to [email protected] come, he was really professional and very helpful in six weeks,I couldn’t get my gains but he was able to hack into them to allow me log on to withdraw my invested funds, this really help me put my life back together, for what it cost, this was worth every value ,am sure this can help someone here too.you can thank me later.No more funds to be lost! I do hope this post can bring relief and hope to folks out there.

Hi Riaz
Nice article about Binary Options yes im one of them who got scammed of my money Just would like to ask you a question have you ever herd of Bill Fisher at [email protected] there is a lot of noise over the internet about him helping people get there funds would like your feed back

I have never tried Bill Expert Trade before but really am looking forward to checking it out if I have the opportunity. Thanks for bringing it up Nobby. Cheers!

Hey Riaz! Just wanted to know if you ever gave Bill a shot? I’m thinking of using him myself but wanted to make sure it isn’t a scam first. Please let me know! Thanks!

Hey Caison, which Bill are you referring to?

This is a scam. They get your money, pretend to trade it, and then when you request a withdrawal they demand a15% processing fee BEFORE you can withdrawal. Example…I gave him $500, he built it up to $46,000, then requested $7000 BEFORE I could get any of it back.

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  • Binomo
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