How to Trade Binary Options | MarketsWorld

How to Trade

The Basics

Binary options provide an exciting way for speculating in the world financial markets and earning profit quickly, in a matter of minutes. Rather than buying the financial instrument or asset itself like Apple stock or Crude Oil, you are just speculating on which direction either higher or lower that you estimate the asset's value will move by the expiry time which you select.

To make profit you just predict the direction the assets price will go: simply up or down. When an option expires, you can be in the money or out of the money. Being In the money means that the trend moved in your favor and you've gained a profit. Being out of the money means it moved against your favor, and you've lost on this trade.

When trading binary options with MarketsWorld, the amount you risk is always limited to the amount you stake on a trade. You can never lose more than this. Your winnings are always stated in advance if your trade finishes in the money, you know what you will win.

If the binary option trade wins then this is called finishing "in the money" and your profit will be up to 90% of the trade stakes. The profits payable on trades range between 70%-90% and are displayed at the time you enter the trade. If it loses you lose only the stakes you set for that trade. So your risks are controlled in that you always know your total potential for profit or loss prior to placing your trade. Whereas if you were to trade in ordinary options (not binary options), gains or losses can vary according to how deeply the asset's price has moved so that there is no way for you to know with total certainty how much you might win or lose.

Binary Options are called fixed return options because the risk and return is for a pre-determined, fixed amount. Binary options are simpler than other stock market speculations. You can go long or short on any available asset without broker charges and without the many complications involved in trading derivatives on the open market. Unlike trading on the open market, MarketsWorld takes the other side of your binary option contract and will pay you the offered profit return if you correctly predict the movement of the asset either higher "call option" or lower "put option".

For instance, if you stake $100 on a Call option on gold paying out 90% profit, then if it expires in the money you win 90% of your trade stakes i.e. an additional $90 nearly doubling your money. So you will either win the trade and now have a total of $190 (your $100 trade stakes plus $90 ITM profit), or else lose the trade where your loss would be limited to the $100 trade stakes. MarketsWorld pays out the highest rates of return in the online binary options trading industry, up to 90% profit per successful trade, so at the highest rate of 90%, that is a 190% total return on your trade's stakes.

To get started you only need to open your free account and you are ready to begin trading. Simply choose an asset or instrument for your trade. Pick your trade's expiry time from the expiries list ranging from five minutes away to the end of the month. Enter the stakes for your trade. And click the "Buy" button.

We offer all our customers a free, no deposit demo account so that you may try our binary options trading platform and see for your self why MarketsWorld is the brand you can trust! To get all the trading experience you need with no monetary risk, you can open a free demo account now and practice all you want for free.

Step by Step

  • Step 1: Select an asset to trade.

    An asset or instrument is any index, commodity, stock or forex currency pair. From the Trade page, choose from the list of assets (it opens after clicking on "Add New Asset") by clicking on the ones you want to trade. As long as the underlying assets are currently trading on a stock exchange they will also be available to trade via our site. You can have numerous different assets open for trading at the same time.

    Select an asset to trade

  • Step 2: Choose the expiry time for the trade.

    The expiry time is the time at which the trade contract will end or "expire", at which time it will be known whether the trade won or lost. Choose your desired ending time for the trade from the list of expiries found in this dropdown menu.

    Choose the expiry time for the trade

  • Step 3: Choose price direction.

    Decide if you think the price will be higher or lower than the current price at the time of the trade's expiry.

    Choose price direction

  • Step 4: Enter the investment stakes for the trade.

    You can stake from $1.00 to $1,000.00 per trade.

    Enter the investment stakes for the trade.

  • Step 5: Click "Buy" to complete the trade.

    Your trade will now be confirmed in your Active Trades list until its expiry time, thereafter it will be displayed in your Completed Trades list.

    Click "Buy" to complete the trade

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