South Africans who invest in binary options have a goal to earn money and profit from this new and online investment type. Without relying on luck factor, the whole idea is to become a pro trader and have only positive trading results.
Due to an increasing popularity of binary options in recent years, more and more people in South Africa became interested in this new industry and what to learn more about available trading instruments and service for money gain.
This guide will reveal our South African readers how to become experienced trader in binary options and reduce risk while trading binary options.
Increasing Popularity of Binary Options
Unlike trading on forex market, binary options trading is more easier. From 2008 when binary industry appeared, an increasing number of South Africans became interested in binary trading thanks to several advantages, such as high winning ratio and opportunity for inexperienced traders to have a role on financial market.
So what is a definition of binary options? Binary options can be described as an online investment with a fixed returns, where direction of price asset will be determined in advanced. It is actually close to yes or no bet, with only two achievable outcomes.
Having better understanding of how binary trading works and what elements need to be reached is a key element of a successful binary options trading process. Understanding and trading knowledge is what differs experienced traders from beginners in terms of binary options trading.
How to become a successful and experienced trader in binary options?
Many trustworthy binary brokers on platforms offers a wide range of powerful trading tools, such as trade options, features for minimizing risk, selection of edu materials etc. Therefore, pro traders use all available sources which could help them expand trading knowledge and earn money while trading.
For example, binary experienced traders from South Africa are used to try out different strategies and techniques to see what works the best and is a chosen strategy a right one which could lead to money gain. The key to success is having a good trading plan, which implies a serious binary options trader on his way to become experienced trader in binary options.
Below in this binary guide, we have compiled a list of key factors which could turn trader novice to a serious and experienced trader in binary options on South African market.
Choose a Trustworthy Broker to Trade Safely with
This comes as the initial and probably, the most important step when beginning to trade binary options in South Africa, as well as other parts of the world.
Trading binaries on safe trading platform is extremely important where traders can feel comfortable while trading. Avoiding scam is closely related with this topic, because with safe brokers, traders don’t have to worry will their funds be safe or will anyone answer in case of emergency.
Choose a Broker with a Demo
Demo accounts are very popular and yet significant feature in hands of traders, especially those who are new to binary options trading world. On demo, traders in South Africa have an amazing opportunity to practice trading and learn how trading process actually works in order to be one step better and more experienced.
There are plenty of binary brokers who offer demo account service on their platforms, such as IQ Option, 24option, Banc de Binary, Opteck and many more regulated brokers.
Why is demo account a powerful tool for traders novice who are investing in binary options? Answer to that question can be found in a fact it enables trading is risk free environment where there is no chance for any money loss or risky trades. That is the main reason why so many beginners see their opportunity in demo on their way to become an experienced trader in binary options.
Demo accounts are funded with virtual money and not real one, which is provided by a particular broker. For example, IQ Option is one of the best brokers who offers demo account and credits this trial account with $10 000 of virtual funds. Professional traders also use demo for testing advanced strategies is risk free trading area where there is no option of losing any funds which is very important to all traders.
With most brokers, demo account is valid for unlimited period of time and traders in South Africa are able to use demo to try out different tools and techniques for better performance afterwards. Once traders feel secure enough in terms they are ready to begin trading for real, they can shift from practicing on demo and turn to trading binaries on real trading accounts.
Have a Binary Trading Plan for Better Performance
Experienced traders in binary options know how trading plan is an inevitable segment of successful binary trading process because it enables traders in South Africa to have a good starting position.
We can assume how all traders who participate on binary options market want to be rich and earn huge amounts of money right away. Professional traders don’t find luck a key ingredient of binary options trading process where they actually rely on their knowledge and expertize in order to achieve high returns.
To achieve exactly that, pro traders get the most from their broker. They can deposit more in order to get access to upgraded account types where they can use a selection of different tools or they check education materials and monitor current market situation to get better insight of a financial market.
Economic calendar, glossary, webinars are also included in edu materials as a significant elements which contribute to better trading results and higher payouts when trading with stocks, commodities, currencies and indices.
Always Pick a Platform with a Wide Range of Trading Tools
Some regulated brokers offer South African traders a proprietary platform, while other use once provided by the reliable software providers. For example, IQ Option has developed their own software which is custom made, while other brokers, such as Banc de Binary for instance, uses SpotOption software.
Although platforms aren’t the same in comparison and each has some other features and characteristics, they all offer a selection of different trade options, expiry times and features for better and profitable binary trading experience. Demo account and mobile trading are just few of many available on trading platforms, which can be out of great use in actual trading performance.
For trade to be properly executed, traders in South Africa need to choose an underlying asset (currency, stock, commodity or index), select trade option (short-term or long-term) and time of expiry, which can be from 60 seconds to 150 days (depending on a broker).