Forex or Binary Options - which is better?
Marketplace Forex has existed for several decades, which cannot be said about Binary Options, this type of trading is a kind of newborn. Investors will be interested to know the differences between these two categories of trading. The following analysis will answer which of these two types of trading is the most effective and profitable today.
Forex trading requires special skills and trading experience, and beginners have quite a lot of difficulty when starting to work with this trading instrument. The advantage of the currency market is that it is very volatile and available 24/5. Trading in this market includes terms that allow traders to trade with much more money than they have already invested in trading. For example, with 1: 400 leverage and an investment of $ 1,000, you manage an amount of $ 400,000. So traders can make money in forex, but in more than 90% cases, traders' accounts go negative because of debt with loans.
Trading Binary Options
Traders trade binary options leading world currencies, stocks, indices and commodities on trading platforms of their choice. A notable advantage of this new and innovative trading tool is that the entire system is web-based and does not require any additional software downloads, allowing traders to trade from any computer. The main advantage that binary options offer, making them more attractive than forex, is the absence of the leverage factor. As a result, your funds are protected, and at the same time you can make a lot of profit on every single trade. Many traders have recently decided to trade with binary options because of the opportunity to get started without any initial trading experience.
Binary Options Brokers allow you to start trading with minimum low amounts of $1-10. This is quite a significant plus, as often this small amount can bring real profit. When compared to Forex, where the minimum investment rate often ranges from $ 100- $ 1000, most traders will be willing to prefer binary options. In terms of deposit methods, binary options brokers now offer PayPal and other easier deposit and withdrawal methods. More and more traders are looking to apply their own trading strategies, and binary options look like a great solution in choosing a more convenient and profitable type of trading.
This is not the first time we come back to the question of what is better than Forex or Binary Options. previous article.