If you want to become a professional trader on binary option in 2020, then this blog will help you to know more about this trading world. We designed the whole blog with updated news of binary worlds along with the previous history.
The leading attracting part is that we will show the top profitable brokers and automated trading application that generates profits.
On the other hand, we are working on educating our traders globally with trading guides and binary strategies. Furthermore, novice traders need to increase their experience level, as they are newly entering the financial industry.
Let’s start with a brief introduction to binary options and the trading process.
A Binary Option is an exotic trading type that simple and profitable for traders. The financial instrument allows traders or investors to predict the future price of an asset.
At the same time, you can consider binary options trading is a new form of making money online. However, there are several ways to generate money from home but, this particular trading type will add more value to get profit.
As there are no fixed rules or magic wand for traders, so you need to understand the market to trade profitably.
Binary traders already know the return percentage before placing the trade. Additionally, in options trading, the outcome will depend on your correct prediction.
If you are completely new to the binary world, you can read what is binary options article, to know the basics of options.
To know the origin of Binary Options, you have to go through the history of this trading type. In 2008, binary options were first introduced publicly as a tradeable asset. Binary Options was approved by the Security Exchange Commission (SEC)
Before that, in 1974, the Chicago Board Options Exchange (CBOE) was officially launched binary options.
Besides, 2008 is a memorable year for traders because in that year a lot of symbolical financial stability collapsed one by one. So, traders took this trading type as a low-risk investment at that time.
Fortunately, at the same time, it gained popularity among people as there are no additional alternatives.
In the same year, people can trade publicly binary options on the American Stock Exchange (AMEX). After a few years, people consider the binary option as the semi-investment product. So, at that time, it was only open for banks, other financial institutions, and over the counter marker.
A few months later, some trading platforms were introduced such as 24option. Until then, the regulation was not an essential part of traders. However, at this moment, people are more likely to use a regulated broker rather than a deregulated broker.
On the other hand, in the year of 2009, the first binary options exchange came into the market whose name was Northern American Derivatives Exchange (NADEX).
After a while, CySEC classified binary options as financial instruments in 2012. But, unfortunately, a joined investor alert was issued by the CFTC and SEC, in the year of 2014.
From 2015 to 2019, Binary Options faced a lot of problems in the different regions due to the weak regulation. Fortunately, history does not disappoint yet and the industry got active traders almost the same as Forex Trading.
Attractive benefits of binary trading make this trading type special among traders. Especially for day traders, options trading is the best earning source. Thus, it carries a high risk if your prediction goes wrong.
Statistics show that the majority of a trader’s profit percentage is more than 90%. Moreover, it will increase your chance of profit if you follow a correct trading pattern. .
Meanwhile, a demo account is the right choice to try out different trading platforms, implement knowledge with zero risks.
At the same time, regulated trading brokers are also necessary for traders to perform scam-free trading. Note that you don’t need to be a professional trader to start binary options.
But, being professional day by day will help you to achieve the highest success.
The significant changes happened in 2018. All broker’s platform has changed its trading platform and made it more transparent than before. From July 2018, traders from the European Union were no longer able to trade on invest with binary options. However, the ban was temporarily for traders imposed by ESMA.
But at the same time, traders from other countries could easily trade binary options using off-shore or in-house brokers.
Fundamentally many expert traders and analysts were dissatisfied after this action taken by ESMA. After this action, many brokers began to explore the market outside of the EU. And many unregulated brokers took regulation from the regulatory bodies.
On the other hand, traders from the EU has two choices. Either they can perform trade via an unregulated broker, or they can choose regulated off-shore trading platforms. Unregulated platforms are not safe at all. At the same time, only ASIC regulated firms are still accepted for EU traders.
Note that if you open an account as a professional trader, then it is possible to avoid the ESMA ban. ESMA took that action only for retail traders, not for the professional.
Here to register as a professional trader, you have to prove a certain level of trading experience. And all these were to save trader’s investment from scam activities.
In the year of 2018, ESMA confirmed that they would extend the ban till 2nd July 2019 and they took the decision on 18th February 2019.
Binary options trading in 2019 was way more successful than the year of 2018. However, still, options trading is not fully regulated for some countries.
Lee Elbaz was a former binary options executive who constantly lied to investors and implements unethical behaviours on July 18, 2019. Moreover, Lee Elbaz and her team lied to investors in order to make deposits as much money as possible. She was a CEO of an Israeli company, Yukom.
On the other hand, two popular regulatory bodies FCA and CySEC listed multiple websites and flagged them. At the same time, these regulatory bodies warned investors to stay away from those platforms.
We have just started the year of 2020. Thus, binary options banned in many countries, you can continue to make money in 2020. At this moment, the USA economy is showing a positive sign of the overall employment rate.
To avoid the ESMA ban, you can open a professional account, if you are from the European Union. But the account holder must meet two or three below criteria:
In the same way, in 2020, the USA options traders will be benefited by two new contracts on nonfarm payrolls and weekly jobless claims. These two contracts have launched by Nadex.
Based on expert economic forecasts – traders can buy or sell contracts depending on their own predictions.
You have heard about the gambling fact of binary options. Apart from a few sites, all binary options trading websites are getting regulated by the different regulatory bodies.
However, It is an incorrect perception if you think only this trading type is gambling. Because any investment opportunity is gambling.
The actual problem of binary options is the lack of regulation. However, the industry is following the same path as the forex market. Years after years, this industry is blooming and throwing out all non-regulated participants.
After analyzing the market, we can see that the trading type will gain more popularity in this present year. Also, a lot of platforms are transparent and safe to trade. So, you can take this under advisement that the binary option is going to be a profitable source of earning.
Additionally, we will mention a few profitable trading brokers and automated binary bots below.
To make living trading binary options, you just need a right broker, effective trading strategy, a proper trading map, and willingness.
We are recommending the top and best trading brokers for 2020, depending on the current trading results and performance. If we find any negative results through our analysis, we will immediately update that.
IQ Option, Binary.com, and BinaryCent are leading the binary market. These brokers are regulated and offer various features for traders.
Automated trading bots or trading applications are useful for traders who want to avoid manual trading. In terms of accuracy and performance, trading robots are holding a strong grip on the financial market.
The following trading robots have been tested by us. After seeing the result and profitability, we recommend them for auto trading: BinBot Pro, Binary.com Auto trading Bot and DaxRobot
Binary Options grows day by day and across the world, traders mainly search for a regulated trading platform. The major advantage of a legit platform is, it will offer a safe trading environment among traders. On the other hand, via a regulated platform, you can avail of many unique features.
Let’s have a look
Traders from the United Kingdom can trade with brokers who are regulated by Cyprus Securities and Exchange Commission (CySEC) and registered in Financial Conduct Authority (FCA). These two are the main regulatory bodies in the UK.
Moreover, these regulatory bodies will give you an extra level of protection. However, traders from the UK have the freedom to choose brokers from anywhere. But it is advisable to choose a European based regulated platform.
Traders from the USA have a chance to choose a limited number of inhouse regulated brokers. Most of the cases, offshore brokers don’t provide their service in the United States. If any platform wants to start service in the USA region, then they must have a license from the Security Exchange Commission (SEC).
Nadex and CBOE are the only two licensed brokers that offer competitive asset prices, a wide range of trading assets, and a secure trading environment.
Many traders want to trade with an off-shore broker by changing their VPN. You can trade in this way but while withdrawing your profit, you will face lots of complications.
So, before investing money, please read the terms and conditions of your desire broker.
In Australia, binary options trading is not illegal or banned for traders. A broker must take a license or approval from the Australian Securities and Investments Commission (ASIC) to run their trading business as an in-house trading broker.
If a trader wants to trade with brokers based in Cyprus and Israel, make sure you check whether they are regulated by CySec or not.
For Dubai and the rest of the UAE, binary option trading is regulated by the Dubai International Financial Centre (DIFC). Also, more than 57 companies are listed under DIFC.
You can also trade options from India, Pakistan, South Africa, Malaysia, Kenya, New Zealand, Nigeria, Vietnam, Indonesia, Philippines, and more. Each has its regulatory bodies depending on the government rules.
Fortunately, binary options trading is legal for Russian traders. But as a Russian trader, they have two options only.
Either they can trade with a local binary options brokers or can trade regulated off-shore binary brokers. There is no chance to trade with an unregulated broker.
We already mentioned the gambling terms shortly in our previous phase.
After reading the full article, we found that the expert contributor’s father faced a problem with binary options. Based on that the author was alerted to the phenomenon of binary options. We should point out that this is an opinion based article. At the same time, we also admit that it is a respectable article because it’s written on a famous and trusted platform Forbes.
Without a strategy, binary options trading is pure gambling. A lot of platforms offer a short expiry time. Traders often failed to predict the right price movement within a limited time. So, we would like to recommend you to start from 2 minutes of the expiry time.
Another major cause why investors lose money is to choose an unregulated broker. In 2020, you can also avoid gambling activities by using careful analysis and planning.
A gambler always relies on luck and mixed out the risk. But you have to select the asset that has the chance to give you positing return.
Finally, we are concluding our long analysis of binary option in 2020. In our opinion, you can allow your pocket to get more money from binary options trading.
Choosing exotic options for long-term profit is only possible if you follow tricks that professional does.
You will probably end up with zero balance if emotions come. So, minimize the level of risk with money management rules. Plenty of trading application is available to help you out.
Visit our website to learn basics about binary trading and follow our social channel to get updated on recent news and education. Appropriate trading education will boost up your confidence and help you to become a professional trader.
Happy trading!
This post was last modified on October 22, 2023 5:16 pm