Hillel Fuld Every financial market has its accompanying lingo. Words and phrases you will only see used in the context of that specific market.

The following are some explanations about the primary terminology used to describe the Binary Options market.

You were either correct in your prediction and you therefore make profit, or you were incorrect, in which case you lose your money. How much do you make or lose from Binary Options? Well, that depends on your initial investment, but there is no issue of experiencing huge unexpected losses or making astronomical profits.

When a trader predicts that the instrument will increase in price. Even if the price then increases by a tenth of a cent, you profit from such a Binary Option. When a trader predicts that the instrument will decrease in price. Even if the instrument then decreases by a tenth of a cent, you profit from such a Binary Option.

If the price of the instrument is identical at the expiry date to the amount that it was at the trading time. In this scenario, you were neither right nor wrong, in which case, your investment is returned to you in full with Binary Options. The time or date at which the Binary Options expire and the price is examined to see if you are In the Money or Out the Money.

Binary Options Trading | Trade Binary Options | MarketsWorld | MarketsWorld

In conclusion, at first glance, some of the Binary Options lingo can seem confusing and overwhelming, but after a little reading, it all clears up and becomes understandable. Registration is required to ensure the security of our users. Login via Facebook to share your comment with your friends, or register for DailyForex to post comments quickly and safely whenever you have something to say.

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Currency trading on margin involves high risk, and is not suitable for all investors.

Binary Options Terminology

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