Commission

Monday, 4. March 2013

Binary options are relatively new investment instruments, and which differ substantially from the traditional options known as vanilla. Let’s go over the characteristics of the vanillas options; Recalling that when acquired an option to purchase (Call) or sell (Put), what is this acquiring is the right (not the obligation) on payment of a premium, to buy or sell a given instrument at a fixed price at a future date well defined, in which this right will expire. Right call option to buy the underlying asset at a specified price at a time defined in the future. How much mas upward is the market the day of maturity, greater benefit for the holder of the option, provided the quote to maturity exceeds the exercise price of the option. Where, on the date of maturity, the market price is less than runlevel, the fork will get a loss by the total value of the Commission (premium). Put option right to sell an underlying asset at a specified price at a time defined in the future.

Farther down this market the day of maturity, greater benefit for the holder of the option, provided the price at expiry is below the exercise price of the option. Where, on the date of adjustment, the market price is above the exercise price, the holder Gets a loss by the total value of the Commission (premium). Binary options have characteristics that make them extremely attractive to investors, since the operation of the same is extremely simple, referred to as options of all or nothing by the binary nature of the same is to say if the predict what will be the behavior of a particular asset. They do not have to buy the shares, nor negotiate with coins. It is a simple and effective way of investing in the financial markets with a small budget and basic skills for trade, something that also benefits more experienced investor.

Negotiate with binary options, it is a matter of conjecture that is, more or less will be the price of the underlying asset at a given future time be higher or lower than its current price, known as the exercise price. To negotiate binary options, the investor must select the underlying asset, the expiration time and the direction it is thought that the asset will be moved. The underlying asset is what the option is derived from its value and could be an index (e.g., Nasdaq), raw materials (e.g., oil), currency pair also known as currency (e.g., EUR / USD) or actions (e.g., Apple, Coca Cola, Google, etc), there are platforms for free operations offered by more than 100 products. The time of expiration of the binary option business dictates when the contract is complete and that can be the end of the nearest hour, or at the end of the day, week or month. The investor must take into account the direction in which he believes that the asset will be moved. If the believes that you going to upload, then the is going to buy a purchase option. If he believes it goes down and then buy a put option. An option is in-the-money if it expires over the exercise of a purchase option price or below it for a sale. An option is considered out-of-the-money if it expires below the exercise price of an option to purchase or above in a put option. When you negotiate binary options with anyoption, gets 65-71% earnings for options that expire in-the-money even a 15% refund for those who expire out-of-the-money.