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happens. This type of binary option is ideal for an investor who is certain that the price of the security will reach a certain level but is uncertain as to whether it will remain above or below that chosen level. The straddle trading strategy is one available method for managing risks, and its ideal for experienced traders who can identify short-term market trends. Are Binary Options Regulated? This is because factors such as spread, platform functionality, regulation and payout policy are critical. An investor will have to decide whether a security will breach or remain within a certain range. This is a plan which demands patience and lots of discipline. General risk warning, cFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.

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If you are correct, the option is in the money and pays out a fixed amount of compensation. If it does, you receive a payout. This is usually helpful for those investors who use technical analysis and resistance / support levels to inform their trading. They are therefore particularly popular for trading volatile assets like foreign exchange and for very short-term trading with contract periods as short as one minute. Minimum Deposit 100 Average Spread 2,2 pips Regulation CySEC, FSB Founded 2010 Why Get 12-month Premium Membership for free.