Binary Options Trading

[philnotts]

Hello,

Has anyone here any real experience with binary options trading? Or is this too good to be true?

Cheers,

Phil

[ruggedscotty]

http://en.wikipedia.org/wiki/Binary_option

makes for interesting reading indeed

[DonkeyApple]

philnotts said:

Hello,

Has anyone here any real experience with binary options trading? Or is this too good to be true?

Cheers,

Phil

Yes. It's a pure bookmaking product. Plus, outside of a few UK spreadbetting firms it is an unregulated product. So with no central exchange to govern price, all client losses are profit and a weak regulatory cover they are ripe for the total spanking of retail money. Hence why most are based in Cyprus and run by dubious entities often stemming from Russia or Isreal.

Even if you do start to make money you will start having fills slowed and prices skewed until you lose.

If you are going to do it then IG are probably the only credible entity as they are regulated and also have a large enough book of flow to not be reliant on running a strong book directly against the client.

In addition, due to the unregulated status it is also a huge haven for all the snake oil vendors plying get rich quick schemes. And unlike other forms of trading they are pads out on client losses not spread/comm so are financially incentivised to spank their client bases.