Binary Option Trading; what is a Currency Asset?

In the world of binary option trading there are four major classes of assets. Stock, Commodities, Indices and Currencies. There is a small number of major currencies and a much larger number of minor currencies. In binary option trading, the worth of a currency is calculated by pairing it with another currency, and seeing what the trade value is. Here is an example of a binary option currency trade: A trader notices eleven o’clock AM that the EUR/USA is at 1.2410 .He believes that it will rise to 1.2473 at 12 o’clock PM. His next step would be to purchase a call option, and set his expiry time to one hour. If his prediction turns out to be correct, it results in payoff. There are many different currency pairs to choose from when purchasing an option. Some of the different currency pairs offered by Forex as a stock option are:









As with any asset in binary option trading, many factors can determine the outcome of a currency option. It is a good idea to get a basic understanding of Forex charts. There is usually a different chart for each currency pair. With a little practice, you’ll become a pro at evaluating Forex chart patterns and correlations. It is very important to set your expiry time correctly. You may also want to get an understanding of what abbreviations are used for the name and currency of each country. With this and a great risk management plan, you’ll have everything you need to be on your way to consistent payouts in no time. It is a good idea to start slow until you gain experience, and then build up from there.

The above information is opinion based except where noted. Always contact a licensed professional for information on the above subject or BEFORE applying or practicing the above information.

Anthony DiChi at TradeCurrencyNow,
America’s Forex News and currency information source.