They want to make money fast and they want to feel that they are in control of their investments at all times. This has resulted to their low level of trust on stock brokers or any other brokers in the financial markets and given rise to online binary trading platforms that enable them to monitor and control their wealth on the move.
However, even as you go looking for alternative investment strategies, you should ensure that you are using a reliable trading platform
. There are a myriad of upcoming platforms especially in the new binary options trading which is also catching up with the millennials in South Africa. Based on how fast it is gaining traction and how easy it is to trade in binary options, many platforms are being created online some which might not be run by professionals. Professionally managed sites will have enough tools to empower you as a trader through education and market analysis support. They will also have easy to use sites with simple and easy to follow charts on the price movements of the different assets being traded on their platforms.
Anyone can get into binary trading and start earning an additional income from it while you keep your day job. The beauty with it is that you can trade on the move as long as you have internet connectivity in your mobile device or laptop. However, you will need to be very alert on what is happening in the business and political world globally at all times. You need to follow relevant news that might affect the price of the commodity, currency, stock, bond or index that you are trading on. This is due to the fact that in binary trading, you are merely speculating on the price movement of the underlying investment instruments
rather than actually owning them. It therefore becomes a necessity to keep tabs of all developments in the economic, social and political spheres that might trigger either a rise or fall in price of the underlying asset you are trading on.
Trading in binary options by itself is an easy process which involves making a choice between two alternatives about the price movement of the underlying asset. If you are trading in oil for example, then you will have to make a decision as to whether the price of oil will go up or it will fall within a given time period. If you decide to predict that the price will go up, you will have placed what is called a call binary option. On the other hand, if you have studied the economic trends and realized that the oil prices might fall due to a glut from overproduction, then you will place what is referred to as a put binary option trade.
For the call binary option trade, you will gain money if the oil price actually goes up and you will be said to be in the money. On the other hand, if you made a call binary option and the prices actually fall by the end of the trading period, you lose your investment in that trade. In the second option where you place a put option, you make money when the price actually falls and lose money when the price rises. It is therefore very important to let the market trends guide your decision before placing a trade; since you can end up making huge loses in the process for making a wrong decision. Sometimes emotions may overcloud your mind but always remember that money has no feelings and the market does not respect individuals as one investor said.
As you start your journey in binary options trading, keep in mind that a reliable platform is very key to your success. With simplified systems and easy to understand and navigate charts, you will be able to study trends much faster. Additional educational materials and links to relevant market news
will also help you get real-time information from the market that might affect the price movement of your underlying assets and hence help you in making the right trading decisions.