Binary options are an all or nothing investment that can be used to trade a range of financial assets. They work by allowing you to purchase a contract based on where you think the price of an asset will move. Your 'strike' price is the level that you enter the market at and your option will be based on whether you think the asset price will move above or below this level by the expiry time set. If you think the market will go up then you place a 'Call Option'. If you think the market will head down then you place a 'Put Option'.
For your prediction you receive an agreed payout from the binary broker. This is normally in excess of 80% with the exact return dependent upon the broker you use. You receive this agreed payout irrespective of how far above or below the price finishes at the time of option expiry. All that you need is for the market to finish just one tick in your favour and you bank the full agreed profit.
Binary options have proved popular with trades with one of their key attractions being the ability to build up trading profits fast. Most options are set to expire on the hour although end of day options are also common. While these short option contracts allow you to make fast profits the introduction of 60 second binaries from TradeRush allows you to now make your profits even faster.
With 60 second expiries the same 'Call' and 'Put' option trades exist. However rather than having to wait an hour or more for your option to expire, you can now predict where the market will move and receive your payout in just sixty seconds. And you can earn up to 175% payouts on each and every trade!
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