Think of it as a prediction or a bet on which way a particular asset is going to move and less of a long term investment. Instead, you are attempting to predict the movement of the underlying asset only. They are different from other types of trading because with these, you are not actually taking ownership of any assets. They were legalized in the United States in 2008, and have quickly become one of the easiest and fastest ways to trade. Because of this payoff structure, they have a different pricing structure than traditional options, giving traders an additional tool with which to approach the market.Ī relatively new way to trade within the financial markets Binaries are growing fast. Binary options, once considered an exotic type of options contract, have gained wide acceptance since their listing on major exchanges since 2007.
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