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Business 373 views Feb 20, 2017
Binary Options Trading: The Types

There are various kinds of binary options to be traded in the market. A few of them are: High/Low, 60 Seconds/Short Term, Boundary/Range and One Touch/No Touch. Before we proceed further, we ought to know and understand what people mean by ‘binary options’. Binary options are trading instruments where people speculate on the basis of whether or not the price of a particular commodity, share, stock or currency would touch a particular price level within a definite expiry period. Trading based on binary options signals are highly risky, but also deliver good returns. And the various types of binary options have already been listed above. Let’s see what each of these mean when expanded: (Points from Binary Option Strategy)


High/Low: This is the most basic type of binary options. Here you press “high” if you think that the prices of a particular commodity would climb upwards; and “low” if they would tumble downwards.


One Touch/No Touch: Here, the thing is a bit more complicated. You speculate over whether or not the price of a particular commodity would reach a definite trigger point within a pre-decided time period. In one-touch option, you’re predicting that the price of a particular commodity would touch a particular level within a time period. And on the other hand, the ‘no touch’ option would mean that you predict that a particular commodity would not cross a particular price with the time period.


60 Seconds/Short Term: The 60 second binary option offers an expiration period of one minute (as indicated by the name). And as you can understand, they are super-fast time-frames and not suitable for everyone.


Long Term: In here, it is simply the opposite of the previous one in the list. These options can span over days, week and months. A huge variety of expiry signs would be available.


Ladder: These are known to have ‘interval’ setups with various separate strike prices.


Pairs: You’re trading in the relative performance of two different assets.


These, in short, are the different kinds of binary trading options available out there.