Binary Optons Trading Guide 2014
What are Binary Options and Where can you Trade Them?
With a large number of brokers cropping everywhere to offer binary options brokerage services, many traders are going to get confused in selecting the appropriate broker to do business with.
You have to understand this. With so much money flowing in the financial markets, there will surely be people who have nefarious intentions and whose only intention is to take your hard-earned money from you without giving anything of value in return. Sadly, there are many brokers in this blacklist. They come with glamorous, fanciful web pages, dripping with some of the sweetest words that could ever be written which make it look like picking the dollars from the binary options market is as simple as ABC.
Best Binary Options Brokers 2014:
- ZoneOptions Review
- TraderXP Review
- IkkoTrader Review
- OptionBit Review
- Banc de Binary Review
- Option Fair Review
- iOption Review
- BetOnMarkets Review
- AnyOption Review
You have to be smart. You have to understand that you have very few friends in the market. You have to get a broker that can offer you the most competitive trading conditions you can offer, and not just those who promise you heaven and earth. Do not forget that some brokers work as market makers and your interests may not necessarily be in tandem with theirs.
So here are a few considerations a trader must make when choosing a binary options broker?
1) Is the broker regulated?
A dilemma that is prevalent in the binary options market is that it is a relatively new market and its origins have not allowed for a clear-cut definition of the regulatory confines within which brokers can operate. In the US, this has been effectively taken care of and all binary options brokers in the US are regulated by the CFTC.
In other climes, the issue of regulation has been quite nebulous and we have brokers springing up everywhere, and it is not surprising that we have had a few horror stories from brokers located in some areas where there is no regulation of binary options. Part of the problem is that many countries regard binary options as a form of gambling and therefore should not be subject to any regulation. This has clearly created problems which organizations like the Cyprus Securities and Exchange Commission (CySEC) have set out to correct. Realizing that many of these brokers operate out of Cyprus, CySEC has decided to mandate all brokers offering binary options services to get registered. By 2014, traders should watch out: any broker claiming to operate out of Cyprus and not registered with CySEC has no business attracting any trader’s interest.
2) What is the quality of the customer service
How fast can an issue reported to the customer service be resolved? Of course there is really no way of knowing before opening an account as the customer support guys will like to be at their best to get your business. For this information, you may have to visit an online review site to sample the opinion of those who have used the broker’s customer support services. Some of what you will see will make quite an interesting read.
3) Process of transaction
How easy is it to transact with the binary options broker? Does the broker offer several deposit and withdrawal options to traders or are traders forced into one or two particularly cumbersome options? What are the conditions associated with transacting with a particular option? This is an important point to consider because while some brokers offer many options for depositing and withdrawals with little or no charges, some brokers impose withdrawal limits which can only be removed if the trader pays certain amounts of money. It may not be fun being able to withdraw once a month and having to pay $30 or more for every other time you need to withdraw money the same month.
4) Trading Software
You may also like to check out the kind of trading software that the broker offers. Does the broker have a smartphone trading app that enabling trading on the go? How user-friendly is the trading software? What trade types are offered? Does the trader have the option of setting his own expiry times or is he/she confined to making a selection out of what the broker offers?
5) Trade Process
Is there a way for the trader to gauge the trade process on the broker’s platform before committing money? Yes, this can be done using a demo account or by using a no-deposit account. Suffice to say that you should not bother about a broker that does not offer either method of trade simulation.
Use these few tips to get a good binary options broker for yourself in 2014.
External Resources on Binary Options
