Binary Options Robot Reviews and Automated Trading 2020

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Best Choice For Beginners and Middle-Leveled Traders!
    Free Demo Account!
    Free Trading Education!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Trustful Broker. Recommended Only For Experienced Traders!

Contents

Automated Trading Software

It’s not impossible to master binary trading, and like anything else, the more you put in, the more you will get out. To become good at making money, you’ll need a great broker, time and some patience. For some people investing this time is not an option, and you never reach your true potential.

Enter the robots! We don’t mean physical machines that will sit at your computer and trade for you but binary options robots that come as part of pre-programmed software. This software uses complex mathematical algorithms to examine market data and then uses this data to trade with highly profitable and low-risk results.

Different brokers allow the use of different robot software, and once you have opened an account, you’ll be able to view all the compatible brokerages for that provider. You don’t need to worry about who to choose. We have done the hard work for you and recommend brokers based on who offers the best trading experiences.

In this article, you will learn:

    What binary option trading robots are The benefits of the best trading software How you can make more profit using them

How Robots Save Time

The mere thought of downloading, installing or setting up a software programme may leave you feeling like it is time-consuming and complicated. You will be surprised at how simple it is and how much time it will save you in the long term. Here are a few simple steps that will have you trading automatically within no time.

Choose a Robot Service

While you can spend hours carrying out research looking for the best robot trader, you probably don’t have the time. That is where our list of recommended services will save you a lot of time that you can spend trading. All you need to do is choose the one for you.

Download The Software

Many brokers or software providers will require you to download the software. On a mobile, this may be as simple as downloading the app. You can access some robot trading software via a browser.

Sign-up With a Broker

In addition to the free binary robot software, you will need to get a real account with a broker. The software will normally recommend binary options brokers to open an account and deposit with.

Programme The Software

We don’t mean that you need to be a programmer to operate the software, but you do need to tell it what you want. Set your technical indicators which will include your investing limits, frequency etc. then leave the rest to the auto trader software.

Sit Back, Relax And Enjoy

That’s it. Now you are trading without doing anything. You can carry on with your business and leave the rest to the robot. Just check in now and again to see how your trades are doing and reset the parameters if you need to.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Best Choice For Beginners and Middle-Leveled Traders!
    Free Demo Account!
    Free Trading Education!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Trustful Broker. Recommended Only For Experienced Traders!

Using a binary robot also removes the anxiety you might get from trading. When you place a trade with an expiry time of an hour sometimes watching what is happening can put the trader through a range of emotions. By using this, you can check in every so often to see how you are doing rather than being glued to the screen for each trade.

Trader Broker Asset Profit

How Binary Robots Work

The robot trading software is something that you download to your computer or another device once registered with a broker. A download is not always required; sometimes you can start using them online via a website. Investment using this method is known as automated or auto trading and is used by “auto traders” that want to free up their time and increase their success rate.

Like any computer, the capacity to research, consume and analyse data is much higher than the human mind so the machine can process all the data much quicker than any human being without emotion or instinct. By using this process, more information is gathered at a much quicker pace allowing for more effective, profitable trades using an array of automated trading systems. The capacity to trade becomes much more and the number of successful trades increases.

Why then, wouldn’t anyone want to take advantage of this help? To begin using the automated trading software you need to choose a service that is compatible with your broker and start using it. To help you select your provider we have researched hundreds of them across the world to bring you the best and offer up our advice on who you should trade with saving you both time and effort.

Some traders prefer to keep control over their trades rather than giving everything over to the robot, and this is where trading signals can be a viable alternative. Trading signals are services that provide advice and information on which trades to make. You still need to make the trades yourself, so you remain in control but the advice on what trades to place is given to you. It’s great for people who might not be good at reading the markets, depending on if the service you use is good, of course.

Benefits of Automation

    Save valuable time. Binary trading robots have a far higher capacity for information than the human brain Execute more successful trades. Using the trading system to gather much more data makes the trade more reliable Trade without any emotion. Remove the “gut instinct” element and control your trade amount Allows you to carry on with other things. You don’t have to spend so much time in front of a computer or on your phone and can carry on with your life while still making money Less knowledge needed. You don’t have to study the markets, trends, assets etc. or become an expert to be successful It’s free or low cost to use once registered with a broker and doesn’t always require a download Software helps with money management. Increase win rate = more money = greater profits Test them with both a virtual or free demo account Anyone at any level can use them whether a binary options trading beginner or expert

There are some “scam robots” where the purpose is to con the investor out of their money, and they don’t work. There are tell-tale signs that you should watch out for as to whether a service is legit or not. These include no contact details for customer support, consistently bad reviews, a short operating time and only a few assets available.

This software uses complex mathematical algorithms to examine market data.

How to Find Legit Software

Some unfortunate investors aren’t always able to spot online scams and can lose a lot of money when they should have been making it. Before they notice there is anything wrong they could already have made many trades. There are things to look out for to try and prevent this happening, but we highly recommend using our advice and recommendations to ensure that you register with a trusted and reputable binary robot software service.

We’ve done countless binary option robots reviews and found them to be a reliable solution if you want to trade without having to dedicate all of your time to research and analysis. If you enjoy studying the markets, analysing and placing your trades, then you will want to continue doing the work yourself, but if you want to free up valuable time, then this is the solution. Watch out for other robots available such as those used for Forex trading or crypto trading. These are very different products with different technical indicators and should be avoided if you want to trade options.

We have tried, tested and reviewed the many types of software and know which companies offer the best binary robots trading experience and which software outshines the others. We believe that investing apps are a great way to save time and make money and to assist you in the quest to become the best binary options robot trader, our advice and recommendations are designed to make this happen.

Frequently Asked Questions

Is robot software reliable and trustworthy?

Like many aspects of binary options trading, the reliability depends on the security of a company overall. If you choose a recommended, reputable provider, then their services will be tried, tested and reliable.

Can they predict the right trades to make?

Prediction is a good question because even machines can’t predict the future, no-one can. What they can do is analyse data, trends and other aspects to come up with more reliably informed information.

Will I need to pay money for good software?

No, the best binary option robot software is free to download and use. For the most part, you will need to download it using a free account before opening a real account with a broker.

What if my trading robot gets it wrong?

Even with sophisticated investment tools, it doesn’t guarantee that you will be 100% successful. The robot improves the chances of making successful trades.

How do I find the best software to use?

That’s easy. You merely review our recommendations and select a few from our list to check out for yourself. We base all of our findings on our own experience, tests and research.

Jacob has been an author for us since our launch in 2020. He has over forty years’ experience in the financial sector and has held a variety of positions within financial services corporations and venture capitalist organisations.

Robots and Automated Trading

The use of binary options robots – “bots” – and other automated trading software and apps has exploded in the last few years. Here we explain how a trading robot works and review the top services 2020, and list what you as a user need to know and look out for. We also show where to get a robot demo account to trial the service, and teach you to use auto trading software and tools.

The best auto trading service for you will be down to individual choice, so read on to get all the facts.

Top Robots and Auto Traders in Russia

BinBotPro Choose among 20 robots and compare them on past performance. Activate automated trading in only 3 steps. » Visit Binary.com Regulated broker with a tool for building robots, offering a large range of features. Exclusive $20 Free » Visit OptionRobot Free to join with flexible settings including indicators, expiry and methods. » Visit AutomatedBinary Free demo account and options for money management and algorithms. » Visit

How an Auto Trading Robot Works

Robot software and auto trading algorithms combine a signal service with automated trading. So the software will attempt to identify profitable trades, and will then place the trades automatically. This automated element takes signal services a step forward, and actually place the trades as well – rather than leaving that to the trader. These systems will have differing levels of risk management – from stop losses, to daily fixed spend limits. The automated element however, does increase the financial risk for traders overall.

There is also a growing trend for brokers to provide their traders with the ability to configure their own ‘bots’ or automated trading systems. These tend to simplify the the process, letting traders “drag and drop” technical indicators into their system. The best bespoke robot features also allow traders to run their robot in a demo account, in order to trial it risk free.

Brokers are keen to promote robots, because they create higher trade volume, and therefore reduce risk for the broker. They can be a great tool for traders too – but as ever in binary options – any promises of profits are an immediate ‘red flag’. Robots, like binaries themselves, need to be fully understood before use, and they are not a route to guaranteed profits.

Will a Robot Make You a Better Trader?

Sometimes. Trading robots will have swings, just like any other trading method. Likewise, the settings by which the robot is operated, might become less (or more) effective over time. So they will need to be constantly monitored for performance.

Automated trading without doubt increases risk – and binary options are already a high risk investment vehicle. But an automated bot running unchecked could rattle through a large number of losing trades, particularly where a news event impacts the market. An event that might make a human trader step back from the markets, is not going to stop an automated robot.

This extra risk can be managed to some extent. Many robots will have daily loss limits, and overall limits. They can also be set to stop if a certain level of profit is reached. Traders need to be aware of all the pitfalls however and treat bots with respect.

Reviews of Auto Traders

Binary Bot from Binary.com

Binary.com also offer the facility to design and run an auto trading robot. Long the broker for advanced traders, Binary.com now offer a range of ‘advanced platforms’ – one of which includes the Binary bot platform (Screenshot below).

This platform gives traders the ability to put together an automated trading system. As might be expected from this firm, the feature offers more depth than some of their rivals – again appealing to advanced users. The criteria available for putting together the algorithm offer greater choice than elsewhere. The process allows extra layers of complexity to built in, enabling users to get very specific about their trade ‘triggers’.

Binary Bot follows the Binary.com look and feel, which is fairly unique. The visual ‘fluff’ has been trimmed back, and replaced with more features and usability – typical of the brand. Read more about the platform in the Binary.com review.

Other Auto Trading Software

Auto trading software does require a small manual element in setting up, but once that is done – as the names suggests – the trading is automated. This form of trading is generally very similar to robot services. A trader using automated software will first setup the software based on the type of trading they are interested in. So the level of investment, the type of assets to trade and the level of risk. Once configured, the software can be left to place trades based on the settings given.

Signals – Essential to Auto Trading

In theory, signals and automated trading are similar. The difference being that when auto trading software spots a signal, based on data analysis, it will open a trade. A signal provider will simply highlight the trading opportunity, but leave the actual opening of the trade to the user.

Automated software therefore, generates signals based on the algorithms it uses, and will open and close trades based on those algorithms.

Copy Other Traders

There are also services that will allow trades to be opened based on a real-life binary options trader. Providers will offer a list of live traders, and publish their results. Users of the platform can then decide to copy those traders – choosing levels of risk and investment to suit their own needs. This kind of “almost auto trading” is called copy trading.

Robot and Auto Trading Scams

The automated nature of this style of trading is fraught with danger. If ever a trader hands control of their trading over to someone else, the level of risk grows hugely. Our scams page details some of the red flags to look for (including a list of scam services), but auto trading in particular attracts a lot of scam operations. Here are a few reasons why:

  • Novice Traders – Auto trading software is often aimed at novice traders, or people who do not have the time or knowledge to trade themselves. This group is perhaps easier to mislead, and they are therefore targeted.
  • Easy to blame the trader – Linked to the first point. Dishonest providers will simply say the software was misused, and therefore not at fault.
  • Control – If traders have put someone else in control of their trading, it is very easy to simply say the money was lost trading.

Warning sings of a scam will include a lack of transparency (results that are not verifiable), forcing users to use a particular broker, and the most obvious – the promises of guaranteed or very high profits. If it was easy, everyone would be doing it. Tread very carefully if proceeding with auto traders. The risk of scams is considerable.

Binary Options Day Trading in Russia 2020

Binary options trading hinges on a simple question – will the underlying asset be above or below a certain price at a specified time? If so, you can make substantial profits with one of the most straightforward financial instruments to trade. But what exactly are binary options, and what are their benefits and drawbacks? This page will answer those questions, as well as detailing how to start day trading binary options, including strategies, tips, and regional differences to be aware of. Use the broker top list to compare the best binary brokers for day trading in Russia 2020.

Binary Brokers in Russia

What Are Binary Options?

Firstly, let’s have a look at how it all works. Put simply, binary options are a derivative that can be traded on any instrument or market. They appeal because they are straightforward. You know precisely how much you could win, or lose before you make the trade. No complex maths and calculator is required. This is why they are also known as ‘all or nothing’ trades.

If you anticipate news announcements, quarterly reviews, or global trends, then you may be able to make an accurate determination as to whether the price is going to increase or decline at a certain point in the future, turning a profit.

There is a whole host of derivatives to choose between. You can trade binary options on commodity value, such as aluminium and crude oil. You can opt for a stock price, such as Amazon and Facebook. There are foreign exchange rate options, including all the major and minor pairs. Even cryptocurrencies such as Bitcoin, Ethereum, and Litecoin are on the menu.

A Brief History

If you want to start trading binary options full-time, a detailed understanding of their origins will help. Binary or ‘digital’ options have been around for decades. Originally though, it was only large institutions and the fabulously wealthy that had access. However, 2008 saw the US Securities and Exchange Commission open the floodgates by allowing binary options to be traded through an exchange.

The internet and technology have since given the whole world access to these ‘digital’ options. As it stands, with low barriers to entry for savvy day traders and a simple to understand preposition, the demand for these digital trades will only increase.

Option Types

There are a number of different option types to choose from. The most popular types are listed in the brief glossary below.

  • Up/Down (High/Low) – The most simple and prevalent binary option. Will the price be higher or lower than the current price when the expiry time comes?
  • In/Out (Range or Boundary) – A ‘high’ and ‘low’ figure will be set. You are then making a determination as to whether the price will finish within or outside of these boundaries.
  • Touch/No Touch – Levels will be set that are either higher or lower than the current price. You then enter a position as to whether the price will ‘touch’ these levels between the time of trade and expiry. Payout will come as soon as the touch takes place.
  • Ladder – These are similar to up/down trades. However, instead of using the current price, the ladder will have pre-determined levels that are staggered up or down. These normally demand a substantial price move. The flip side of this is returns will frequently exceed 100%. Although it is worth noting, both sides of a trade are not always available.

Binary options

Expiry Times

Another important component of binary options is expiry times. This is when the trade will end and the point that determines whether you have won or lost. These times can range from 30 seconds and 1 minute (turbos) to a full day (end of day), and even up to a whole year.

As an intraday trader though, you will be more concerned with trading 5 and 30-minute binary options. Opt for binaries with 1 minute expiry times though and you have the ability to make a high number of trades in a single day.

Despite the somewhat negative reputation, the reality is binary options are legal. The majority of companies operate fairly. Opinions have been split because there are some out there that operate scams.

Regulation in certain regions has meant binaries have been withdrawn from the retail market. In the EU for example. But professional traders can still use them. In regions such as India and Australia, binary are legal – but traders should make sure they use a reputable broker, and read our section below on avoiding scams.

Scams & Frauds

The binary reputation has suffered from dishonest marketing and cybercrime. Too many unregulated brokers promise quick cash, whilst operating frauds. Regulators are on the case and this concern should soon be alleviated.

Binaries themselves are perfectly legitimate, but steer clear of ‘instant money’ promises, brokers that cold call, and celebrity endorsements, plus any claims that you can ‘start trading binary options for free’.

So it isn’t a question good or bad, it’s simply a question of being alert to the dangers and knowing what to look out for. If you’re unsure about a broker, ask the question in a live trading room to check they’re properly regulated.

Binary Options Vs CFD Trading

Although in some ways similar, there remain some crucial differences between binary options and CFDs. With CFDs, you have potentially unlimited risk. If the price of the asset moves significantly, the value of the trade can grow very large, very quickly – for better or worse.

Whereas binary options work slightly differently. Whilst you are still investing without owning the asset in question, the gain and loss rate is fixed. With a call option, it doesn’t matter if the price rockets, you retain the same percentage as if it rose by just a couple of pips.

Likewise, if the price sinks to zero, you’ll only lose what you put in. So, to define the difference – with binary options you get fixed risk.

Having said that, just as if it was binary options versus forex trading, you are restrained in your profit potential.

Why Trade Binary Options?

If you want to profit trading binary options, you need to first understand both their pros and cons. You need to make sure binary options will suit your trading style, risk tolerance, and capital requirements.

Advantages

There is a whole host of attractive benefits to trading with binary options. The greatest advantages have been outlined below.

  • Simplicity – Because you are making a determination on only one factor, direction, your bet is straightforward. The price can only go up or down. You also don’t need to concern yourself with when the trade will end, the expiry time takes care of that. Whereas in other markets, you may need a system to limit your losses, such as a stop-loss.
  • Fixed risk – Trade stocks, gold, and crude oil and you’ve got a vast number of factors to contend with, from slippage and margin to news events and price re-quotes. With binaries, your risk is kept to a minimum with far fewer parameters.
  • Trade control – Because you know what you may make or lose before you enter the trade, you have greater control from the start. Trade in stocks, for example, and you have no guarantee that your trade will make the entry price.
  • Profit potential – Compared to other trading, the returns in binaries are extremely attractive. Some brokerages promise payouts of up to 90% on a single trade. If you’re looking to make simple trades with large profit potential, binaries could well be worth a look in.
  • Choice – Rather than being constrained to a specific market, e.g. cryptocurrency or stocks, binary options gift traders the opportunity to trade instruments across virtually all markets, allowing you start currency, indices, and bonds trading if you so wish.
  • Accessibility –In the binary options game, it’s always the best trading hours somewhere on the globe. So, you can login at night, or on the weekends and join the groups of avid traders attempting to turn daily profits. Real-time charts are available for every market so if you’ve got the time you can invest 24 hours a day.

Risks

Whilst there are plenty of reasons to delve into trading on binary options, there remain several downsides worth highlighting:

  • Reduced trading odds – Whilst you can benefit from trades that offer in excess of 80% payouts, these are often when the expiry date is some time away from the trade date. If the odds of your binary trade succeeding are extremely high you may have to make do with reduced payout odds.
  • Limited trading tools – Whilst most brokerages offer advanced charting and analysis capabilities, trading tools for binary traders often fall short of the mark. Fortunately, there are other online sources for these graphs and tools, plus brokers are working swiftly to increase their offerings.
  • Price of losing – Your odds are tilted in favour of losing trades. Approximately for every 70% profit, the corresponding loss of the same trade would result in an 85% loss. This means you need a win percentage of at least 55% to break-even.
  • Risk management – Unlike other markets, brokers often set a trading floor, with minimum accounts a trader needs to enter the market. This means losing capital can happen with ease. Whilst a stocks broker may permit you to open an account with $250, trading micro-lots, most binary brokers won’t allow $50 trades. So, even with $250 in your account, just five trades that don’t go your way could see you sink into the red.

Binary Trading via Mobile App

How Does Trading Binary Options Work?

Trading binary options for beginners is straightforward. Simply follow the steps outlined below.

Step 1 – Find a broker

This is one of the most important decisions you will make. You need a broker that meets all your requirements and who will enhance your trade performance. But with so many options out there, how do you know what to look for?

If you’re high-frequency binary trading each day, the commission fees and costs will quickly rack up. You want to maximise your profits so look for brokers with a competitive and transparent fee structure, and remember, different asset classes pay out different amounts.

Deposit

One point worth investigating is rules around minimum deposits. Whilst some brokers will offer binary options trading with no minimum deposit, many will expect a deposit of close to $50, and some $100. A broker offering low minimum deposits is ideal if you’re strapped for cash. Trading binary with JC and GCI are good choices if you’re looking for low deposits.

Asset-Specific

Some brokers will specialise in certain assets. If you’re set on crude oil, it may be worth finding a broker that’s geared towards those binaries. You may benefit from relevant news feeds and the most prudent option choices available. Trading binary stocks with 212, for example, is ideal for those interested in stocks.

Regulation

With scams out there it’s important you check your broker is properly regulated by the relevant financial body, e.g. FCA, CySec, CFTC. Trading with 247 Binary Options, IQ option, and Binary.com are all safe bets.

Platform

Binary options platforms are your gateway to the market and where you’ll spend many hours a day. There are now many online trading platforms, so, make sure it’s easy to use and offers all the charts, patterns and tools you need to make smart and accurate trade decisions. For example, will you be trading binary options with candlesticks or more obscure charts?

Both Keystone and Nadex offer strong binary options trading platforms, as does MT4. Before you buy, conduct a thorough trading platform comparison and check reviews.

Reliability

Any problem could cost you time, and as an intraday trader, time can cost you serious cash. So, check the broker offers reliable support. Some brokers will offer 24/7 customer support through calls, live chat, and in a number of languages. Binary options trading with Etrade and 24 Option are smart moves if you want top quality support.

Trading apps

A growing number of people use mobile devices and tablets to enhance their trading experience. However, software for trading binary options varies hugely. So, it’s worth checking whether your broker offers cross-platform capabilities. Also, check the charting tools you need will work on your iOS or Android device. Binary options trading with IQ Option, for example, offers fantastic trading apps.

Extras

Many brokers will sweeten the deal with some useful add-ons. Some may offer free trading plans, courses, and lessons. So, find out first if they offer free courses online to enhance your trading performance. Some brokers will also offer free binary trading trials so you can try before you buy.

You could also benefit from trading bonuses, tips, the best strategy and trading signals reviews, plus free, practice demo accounts. Not to mention some brokers allow for binary options trading using Paypal. However, don’t be put off by no binary options trading deposit bonus, these can be a sign of potential scams.

Demo accounts

For newbies, getting to grips with a demo account first is a sensible idea. Funded with simulated money, you can try numerous assets and options. It’s the perfect place to make mistakes and learn before you put real capital on the line. In addition, you’ll find most free binary options demo accounts require no deposit, so you can start practicing whilst you save that initial capital.

There is no universal best broker, it truly depends on your individual needs. Some brokers offer minimum trades of just a couple of pounds, whilst others require hundreds or even thousands. The solution – do your homework first.

For more guidance on making the right choice, see our brokers page.

Step 2 – Choose An Instrument/Market

You can trade binaries in pretty much everything, including stocks, forex, indices, and commodities. You can bet on anything from the price of natural gas, to the stock price of Google. Opt for an asset you have a good understanding of, that offers promising returns.

Step 3 – Decide On An Expiry Time

As a short-term trader, you’ll probably be more interested in 30 seconds, 1 minute and end of day expiry times. You need to balance binary options trading volume with price movement. Whilst the more trades you make means greater profit potential, it’s better to make fewer and more accurate trades. Also, find a time that compliments your trading style.

Step 4 – Decide On Size

In the binary options game, size does matter. The greater your investment the greater the possible profit. On the flip side, remember the entirety of your investment is on the line. You need an effective money management system that will enable you to make sufficient trades whilst still protecting you from blowing all your capital.

Step 5 – Choose An Option

You will have any number of the options outlined above to choose from. Think carefully about how confident you are in your determination. Consider factors that will jeopardise your investment, and select an option that gives you the best chance of succeeding. Don’t automatically select a ladder trade because you want huge returns, consider which options are the relatively safe bets.

Once you’ve made that decision, check and confirm your trade. Then you can sit back and wait for the trade payout.

Demo Video

Below is a video explaining how to trade binary options on the platform of a leading provider:

Strategies

Binary trading strategies will differ from trade to trade. What may work for a ladder option in forex, may prove useless in a range option on gold. Having said that, there are two reasons you must have a strategy.

Firstly, a strategy prevents emotions interfering in trade decisions. Fear, greed, and ambition can all lead to errors. A strategy allows you to focus on the maths and data.

Secondly, a strategy allows you to repeat profitable trade decisions. Once you’ve found out how and why that binary option worked, you can replicate it to create consistent profits.

Building A Strategy

There are two crucial elements to your binary options trading method, creating a signal, and deciding how much to trade. The second is essentially money management. How do you go about determining these two steps then?

Step 1 – Creating A Signal

The signal will tell you in which direction the price is going to go, allowing you to make a prediction ahead of time. The two main ways to create signals are to use technical analysis, and the news.

Charts, Patterns & Indicators

If you can identify patterns in your charts, you may be able to predict future price movements. They rest on the idea that ‘history repeats itself’. You can start trading binary options using Heiken-ashi, other candlesticks, and line charts. Armed with charts and patterns, successful traders will build a strategy around their findings.

You can then build indicators into your strategy, telling you when to make a binary option, and which binary option you should go for. These technical tools can prove invaluable, so make sure your broker offers the features available to conduct thorough market analysis.

One of the great things about trading binary is you can use any number of your normal indicators, patterns, and tools to help predict future binary options movements. So, you can start trading with/using:

  • Support and resistance levels
  • Price action
  • Stochastic oscillators
  • MACD indicators
  • Trends
  • Babypips
  • Mirrors
  • Options close to expiry

For more detailed guidance, see our charts and patterns pages.

You can trade binary options without technical indicators and rely on the news. The benefit of the news is that it’s relatively straightforward to understand and use. You’ll need to look for company announcements, such as the release of financial reports. Alternatively, look for more global news that could impact an entire market, such as a move away from fossil fuels. Small announcements can send prices rocketing or plummeting.

If you can stay in the know you can trade your binary options before the rest of the market catches on. To do that you’ll need to be tuned into a range of news sources. You can browse online and have the TV or radio on in the background. Some of the most useful news sources in terms of trading information are:

  • Yahoo Finance
  • CNBC
  • Business Insider
  • Bloomberg
  • Financial Times

Step 2 – How Much You Should Trade

If you’re just starting off it’s often best to keep things simple. Trading the same amount on each trade until you find your feet is sensible. Below are 3 binary options trading strategies for both beginners and experienced traders.

Martingale Strategy

Binary options using the martingale trading strategy aim to recover losses as quickly as possible. To do this you’d trade larger amounts of money in the trades following a loss. So, you’d set an amount that you trade each time, say $250. However, if you lose on that $250, you’d bet $500 on the next trade. If the trade wins, you’ll already be back in the black, rather than being stuck around the break-even mark.

The problem with this strategy is that if you go on a losing streak you can lose a serious amount of capital in a short space of time. So, only use this strategy if you’ve got a relatively accurate means of making trade decisions. If you’re still in the trial and error stage, consider a different approach.

Percentage Strategy

A percentage based system is popular amongst both binary options traders and other traders. The idea is you specify a percentage you’re willing to risk. Between 1-2% is common. So, if you’ve got $10,000 in your account, and your risk value was 2%, you could trade $200 on a single trade.

If you have a greater risk tolerance and consistent results you may want to increase that risk margin to 5%. The benefit of this system is that you should never lose more than you can afford. This makes it an ideal approach to take if you’re new to trading on binary options.

Straddle Strategy

This example is best employed during periods of high volatility and just before the break of important news announcements. This technique can be utilised by traders of all experience levels. It gives you the capability to avoid the call and put option selection, and instead allows putting both on a specified instrument.

You aim to utilise put when the value of the instrument has risen, yet you think that it’s going to decrease soon. Once the descent has begun, place a call option on it, anticipating it to bounce back swiftly. You can also do it in the reverse direction. Simply place a call on the assets prices low and put on the rising asset value.

This significantly increases the chance of at least one of the trade options producing a profitable result. If you’re in a volatile market, this simple system could you see turn handsome profits. This works well as a binary options trading 60 seconds strategy, and will also cover expiry times of up to one day.

Bots & Algorithmic Trading

Once you have honed a strategy that turns you consistent profits, you may want to consider using an automated system to apply it. These robots usually rely on signals and algorithms that can be pre-programmed.

The bots then do all the leg work, trading options on your behalf. The plus side is they can make far more trades than you can do manually, increasing your potential profit margin. They can also trade across different assets and markets.

It’s worth investigating your brokers offering when it comes to auto trading and checking for robot reviews. Many allow you to build a program with relative ease. You can use your own entry points that rely on Bollinger bands, RSI/MFI patterns, and moving averages.

However, even when you’ve got your system up and running, you can’t go into trading binary options on autopilot, you need to stay tuned in. If any mistakes take place, you need to be there to remedy the problem. Technical crashes and unpredictable market changes can all cause issues, so stay vigilant.

Timing

Many binary option strategies pdfs fail to sufficiently consider time variables. Certain strategies will perform better with specific time options. You may want to look specifically for a 5-minute binary options strategy. Alternatively, trading 15-minute binary options may better suit your needs. So, whichever strategy above you opt for, ensure you take time into account.

Summing Up Strategy

Trading binary options with success rests on finding a strategy that compliments your trading style. So, consider the instrument you’re going to be trading. Then, employ an effective money management system and use charts and patterns to create telling indicators. Also, utilise news announcements to your advantage.

If you’re trying a new fence, gap, hedging, or any other binary strategy for the first time, why not try it on a trading practice account first? This will allow you to address any issues before you invest your own money.

For more detailed guidance, see our strategies page.

Education

Binary options trading 101; immerse yourself in educational resources. As Benjamin Franklin asserted, ‘an investment in knowledge pays the best interest’. The top traders never stop learning. The markets change and you need to change along with them.

To do that, utilise some of the resources detailed below.

  • Books & eBooks – There is a whole host of books and ebooks out there that can impart invaluable information on day trading binary options. You can benefit from the binary options trading knowledge of experts with decades of experience. The good thing about a book it is allows you to learn at a pace that suits you. One book that has made binary options trading easy is ‘Trading Binary For Dummies’, by Joe Duarte.
  • Video tutorials & seminars – Engaging and easy to follow. There are numerous online video tutorials out there that can walk you through making a trade. With seminars, you’ll also be able to have questions answered and the binary options trading basics explained, plus some brokers offer weekly seminars to keep you up to date with market developments.
  • PDFs & instruction guides – These will give you a clear breakdown of steps that you can follow and apply. The best part is you can find plenty online that are totally free and easy to download, whether you’re using Android, Windows, or iOS. The trading binary options ‘Abe Cofnas’ pdf is particularly popular.
  • Forums & chat rooms – This is the perfect place to brainstorm ideas with binary options gurus. You can benefit from recommendations and learn in real-time whilst investing in your binary options. You can also swap live chart screen grabs to get a feel for other binary methods and tactics.
  • Newsletters & blogs – These are brilliant for keeping up to date with upcoming developments that may affect your markets. Plus, you could hear about binary options competitions (yes, they really do exist).
  • Copy trading – This is when social trading networks/platforms are combined with binary trading tools. You can follow experienced traders, analyse their strategies, and then replicate their trades. Check out copy trading reviews before you sign up.

All of the above will play a key part in your binary options trading training. Free trading videos and examples will help give you an edge over the rest of the market, so utilise them as much as possible.

Trading Journal

There currently exists no binary options university. So, explanations as to why that option didn’t work can be hard to come by. Keeping a journal with all your binary option trading results in could solve that issue. A detailed record of each trade, date, and price will help you hone your strategy and increase future profits.

Whether you keep it an excel document or you use tailor-made software, it could well help you avoid future dangers. As an added bonus, it can make filling in tax returns at the end of the year considerably easier. A journal is one of the best-kept secrets in binary options, so now you know, use one.

Psychology

Trading binary options successfully isn’t just about having the right strategy. If you can’t control your emotions you will make costly mistakes. As Robert Arnott stated, ‘what is comfortable is rarely profitable’. When the pressure kicks in, fear and greed can distract you from the numbers.

You need to accept that losses are part of trading and stick to your strategy anyway. If it’s based on accurate maths and careful technical analysis then you have to keep your faith. As soon as you start acting inconsistently your profits will suffer.

Regional Differences

Regulation

As the popularity of binary options grows across the world, regulatory bodies are rushing to instill order. That means where you trade and the markets you break into can all be governed by different rules and limitations.

If you’re day trading binary options in the UK, for example, you will require a license from the UK gambling commission. If you opt for a broker regulated by the Financial Conduct Authority (FCA), you’ll be guaranteed an extra level of protection. Beware some brokerages register with the FCA, but this is not the same as regulation.

Brexit has brought with it complications to trading regulations. The MiFID II guidelines were set to be implemented across Europe enforcing rules around binaries, however, the UK may not now implement the guidelines. This means the UK is no longer under pressure from Europe to reclassify binaries as financial instruments.

Binary options trading for US citizens is limited by a choice of just two brokers. Nadex and CBOE are the only two licensed options. Fortunately, they are both huge firms offering competitive prices and a range of different assets to trade binaries on.

Rest Of World

In Australia, the Australian Securities and Investments Commission (ASIC) runs the show. If you’re interested in brokers based in Cyprus and Israel, then check they are regulated by CySec. In Dubai and the rest of the UAE, binary options are regulated by the Dubai International Financial Centre (DIFC).

You can also start day trading binary options in Canada, India, Pakistan, South Africa, Malaysia, Kenya, New Zealand, Nigeria, Vietnam, Indonesia, and the Philippines. Each has their own regulatory bodies and different requirements.

So, if you want protection, ensure you do your research before you sign up for a binary broker on the other side of the world.

Taxes

Another important regional distinction comes in the form of taxes. Some countries consider binary options as a form of gambling, such as the UK. This comes with notable benefits. The HMRC will not charge you any taxes on profits made through binary options. However, in the future binaries may fall under the umbrella of financial derivatives and incur tax obligations.

Having said that, if day trading binaries are your only form of income and you consider yourself a full-time trader, then you may be liable to pay income tax. Whilst you are probably still exempt, it is worth seeking clarification.

Outside the UK, tax regulation differs hugely. Binary options in Japan and Germany come with vastly different tax obligations, for example. So, before you start trading seek advice to ascertain whether you’ll be exempt from tax. If not, will you pay income tax, capital gains tax, business tax, and/or any other form of tax?

For more detailed information, see our taxes page.

Can Trading Binary Options Make You Rich?

Although exciting and dynamic, to make a living trading binary options you’ll need to use this page and other sources as guides. Can trading binary options make you rich then? Done correctly, yes it can. There is no question of binary options potential profitably, this is evidenced by numerous millionaires. To get there though, you’ll need the right broker, an effective strategy, and you’ll need to invest in your trading education, by utilising the resources outlined above.

Further Reading

Yes, but regional regulation varies.

In India and Australia for example, binary options are legal.

In the US, binaries are available via Nadex, and perfectly legal.

In the EU, binaries have been withdrawn for retail investors, but it is still possible to trade binary options legally, by professional traders. Certain criteria need to be met in order to be classed as ‘professional’.

Can you trade at weekends?

Yes. There are two ways to trade at weekends. Firstly, forex markets are still open in some parts of the world during the “weekend” in other parts. Binaries can be traded on forex during these times.

There are also ‘synthetic’ markets with some brokers (such as binary.com) but traders should note there is no underlying market with these options. They are ‘virtual’ markets created solely to cater for traders looking to trade anything at all. They are not for sophisticated traders.

Are binary options banned in Europe?

Binary options have been withdrawn for retail traders by the European regulator, ESMA. Brokers not regulated in Europe may still offer binaries to EU clients.

It is also possible for EU traders to nominate themselves as professional traders. This waives their rights to regulatory protection, and means binaries are free to be used again.

Some synthetic markets can also be traded by EU traders, and while the product works exactly as a binary options, they are referred to slightly differently.

Do binary options work on MT4 or MT5?

There are no binary options brokers offering Metatrader integration. It is however, possible to perform technical analysis in MT4 and place trades on a separate trading platform.

Can you use binary options on cryptocurrency?

Yes. The leading binary options brokers will all offer binaries on Cryptocurrencies including Bitcoin, Ethereum and Litecoin. As a derivative, traders will not “own” any cryptocurrency, they will purely be speculating on the price. This does mean however, there is no need for a Crypto wallet or crypto account.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Top Binary Options Broker 2020!
    Best Choice For Beginners and Middle-Leveled Traders!
    Free Demo Account!
    Free Trading Education!
    Big Sign-Up Bonus!

  • Binomo
    Binomo

    Trustful Broker. Recommended Only For Experienced Traders!

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Binary Options: How To Start Trading
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