Binary options trading forbes
Many of you who have done some research on the subject of binary options will have come across a piece that Forbes ran recently advising readers to not invest their money in binary options.
To this end we have decided to address the comments made in the piece point by point so as to provide readers with a more balanced view.
To begin with the first point the article makes is that binary trading attracts the same kind of people who gamble on online poker sites, that somehow binary options brokers have managed to cloak themselves in an air of respectability, but that at root binary options are just another form of gambling. Anyone who has ever traded will tell you that bad traders are indeed gamblers.
Educated traders however, traders who spend every waking moment researching the assets they trade and keeping abreast of all the factors that affect their value, are certainly NOT gamblers. Furthermore there is a fundamental difference between gambling and trading that should always be borne in mind. The outcome of a dice roll has absolutely nothing to do with all the previous rolls of that dice.
In trading the price action of an asset is intimately connected with its historical price action. And with binary trading being so geared to trading on events and not requiring the trader to beat a pip spread, manage stop-losses or play with leverage, it is the simplest and most surgically precise way to get in and out at the right time. The second issue we take with the Forbes piece is that the writer does not appear to have done his own research. Now on to the email itself, which is actually penned by $20 investment forex trading 20 pips day individual who refers to himself as a professional poker player, and is engaged in trying construct butterfly spread using put options payoff table convince his father not to gamble on binary options.
While his binary options trading forbes of binary payout structures is binary options trading forbes the realms of possibility, depending on the broker in question which he does not mention allocative efficiency in stock market, he is wildly wrong when he assumes that only seasoned professionals can have any sort of advantage over the odds.
Binary options have become so popular recently because inexperienced traders can quickly become proficient at trading them. The growth of the industry testifies to this fact far more than it does to brokerages using aggressive sales tactics.
Binary option - Wikipedia
Also the only argument the writer of the piece seems to have against the trading of binary options is that they could probably end up being quite addictive, which is a pretty weak argument.
The secondary argument is that no one, no matter how plugged in to the markets they are, can possibly get it right all the time. Which, aside from being self-evident, is not an argument that binary brokers, however aggressive, tend to make. Nobody going into a trading scenario believes that they can possibly get it right all of the time.
The Remarkable Rise of Binary Options | Finance Magnates
If they do they will swiftly be brought crashing back down to earth. Finally the writer is also erroneous in his claims that binary brokers are operating in a completely unregulated environment.
This may have been true several years ago but with the first binary options license having been awarded late in and a slew of other companies rushing to also engage with the regulatory procedure by the time you read this there is a good chance that many other binary brokers will be operating in fully licensed environments. Binary options are of course receiving the same sort of negative press from some commentators that online Forex did when the technology advanced to a point that online trading became feasible for the mass market.
But the most interesting part of this story is that Forbes actually runs advertisements for online binary options brokerages, which is an enormous contradiction given the tone of the article see this article imagewhich you can read here:. What in heavens name can I do with a binary options site…UKoptions. Can not even make a withdrawal since I can not access the site?
Wednesday, June 21, Home Sitemap Contact Us. Response to the Forbes do not Gamble on Binary.
Response to the Forbes ‘Don’t Gamble on Binary Options’ Article | ytixoluqit.web.fc2.com
TAGS Editor Picks Forbes gambling gaming. Previous article US Dollar Strengthens After Positive Retail Figures.
Next article Pivot Points for Dummies. Promoting and guiding new traders to the binary options market is Nancy''s way of saying "thank you" to the industry that helped her realise her dreams. RELATED ARTICLES MORE FROM AUTHOR.
Is CySEC Your Strongest Shield Against Scammers? LEAVE A REPLY Cancel reply. CySEC publicizes an extensive list of unregulated brokers December 22, Two more brokers warned against by Canadian regulator December 14, IQ Option Review IQOption.
Good news for auto-trading lovers — automated trading platforms November 13, Subscribe to our Newsletter. Company Profile Our Team Becoming contributor Advertise With Us Risk Disclaimer Privacy Policy.
