Binary Options Trading

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Starting Out in Binary Options Trading (Associated content)

This article is aimed at people interested in binary options trading. It sets out the basics of what binary options trading is, how you should best approach it, the potential of making money through it, how best to choose a broker/online site, etc.
Contributor: Francis Von ix
Published: May 31, 2014.

Dukascopy goes Live with binary options trading – LeapRate

Dukascopy goes Live with binary options tradingLeapRateSwiss retail forex broker Dukascopy has gone live with its binary options trading platform, called (not surprisingly) Live. We had reported back in February that Dukascopy had launched demo binary trading, promoting it internally with a series of …Binary Options from Dukascopy Group Go Live through Dukascopy BankForex Magnatesall 2 news articles »

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Questions and Answers

Binary Option Trading?

Anyone know if this stuff works or is it just another scam? Also, if it is legit, is Cedar Finance a good broker site? Is there an initial investment minimum? Will this work if you have no experience in trading? Thanks a bunch!!!

Posted by Musa

Binary options are a long time UK scam now being targeted at US novices. This is not investing, just silly speculation at horrible odds. You will lose.

Never deal with an unregulated firm.

A check of the CFTC (Commodity Futures Trading Commission) site shows no US firms registered for such business.

One firm that promotes itself heavily, Banc de Binary, is listed in a "Public Alert: Unregistered Soliciting Entities" warning in the SEC link below.

Please help with binary option trading?

Hello, so I am planning to start doing the binary option trading but I dont know if its reliable. Please help.

Posted by Krisztian

You should realize that binary options are a scam. The odds are so stacked against you that you cannot possibly win long term.

It is just unregulated gambling at terrible odds. Here's how the math works for 70% payout.

Win: 70%
Lose: 100%
Expected value of each trade: (70 – 100 ) / 2 = -15%

You would have to predict over 60% just to break even.

A legit options broker would be registered on appropriate government sites. None of the widely promoted sites are regulated. Many are in obscure countries with no customer protection, with at least 2 widely advertised firms in Cyprus.

US: Check CFTC and SEC sites
UK: See FCA site (No longer FSA)

The CFTC link below about investing risks applies to both forex and binary options.

One widely advertised binary options site (Banc de Binary) was just charged with securities violations by the SEC. 2nd link below.

Have you ever traded binary options?

What are your thoughts on binaries? Pros and cons.

Posted by Joshua

Binary options are a scam. It's not investing, just unregulated betting at terrible odds.

The ads promoting 80% returns are designed to attract novices who don't understand the math. It means you expect to lose 10% each trade. ( 80 – 100 ) / 2 = -10%. A casino offers better odds.

Don't flush your money down the toilet on a scam.

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