Binary options trading on IQ Option: Nigeria
The 21st century is often referred to as the digital era because the internet is a major source of income among others.
Trading is considered one of the most promising ways to make money via the internet.
At the same time trading can be divided into several types, some of which require a good dose of market understanding and professionalism. Binary option trading is a popular one - it is suitable for both newcomers and professionals. However, it has a few pitfalls so it’s processes should be analyzed in detail.
What are binary options?
Binary options are, in fact, risky financial instruments that may lead to money losses because many newcomers don’t comprehend the peculiarities of the contracts that they execute.
Such trading options must not be regarded as gambling or lottery and success completely depends on your work, your professional skills and your experience.
Binary options are mostly based on currency pairs (other assets are offered as well). Those pairs reflect the value of one currency towards another. Different news and events may affect that interdependence. A binary contract can be seen as a deal between a trader and a platform- traders predict either increasing or decreasing a particular pair rate and then make a deal based on that prediction.
For instance, imagine that the EUR/USD rate is 1.102305 and you predict that it will increase to 1.102320.
If you make a corresponding deal and it comes to pass, you will make a profit. Binary options are rather convenient from the viewpoint of a position duration. Traders are advised to devote 1-2 hours per day and being in the red in case of appropriate comprehending the market.
Top myths concerning binary options
Numerous myths surround binary options. These are the most popular ones:
- When something goes wrong, traders lose everything.
First of all, you cannot lose more than you have deposited. That is the universal truth. Referring to IQ Option binary trading, your deposit may start with just 10 USD while the minimal deal amount is $1. Don’t make risky moves otherwise success won’t be achieved.
- Binary options are mostly based on luck.
Totally not! Experienced traders make profound analysis of the selected pair and identify factors that may cause the rate to move higher or lower. Predictions are made based on this analysis.
- Such instrument is suitable for everybody.
Both yes and no! Sounds like a paradox, doesn’t it? Those who just want to earn several dollars and leave the system are doomed to fail. Binary options is all about learning, analyzing, building interdependence, digging into financial mechanisms and becoming more professional. Otherwise, don’t waste your time.
- Traders lose their money anyway.
Trading is not a gaming house and price movement reflects the real market situation. Therefore, to enter the ‘successful binary options traders’ team’ you need to work out a personal strategy and constantly develop your skills.
How to pick up a reliable broker for trading?
To be a successful trader entails choosing the right broker among other factors.
Binary options marketing is extremely popular these days so numerous binary options platforms abound. IQ Option is among the most reliable ones known for technological innovations and consumer-friendliness.
The following are key advantages our platform has over analogue brokers:
- Diverse array of instruments for both new entries (tutorials and chats) and professionals (various market analysis instruments).
- Personal settings to make the interface more personal and therefore convenient.
- Contemporary technologies that make the platform faster than analogue ones, offering users the most precise rates with real-time price changes.
When building the platform, developers consulted with traders in order to tailor it towards their needs as much as possible.
What types of binary options trading exist?
The market offers the following types of binary options trading:
- Put-call. This is the simplest form of binary options trading. Traders are expected to predict the future movement of a price. Traders click on ‘Higher’ if they expect the price to increase and ‘Lower’ if they think it will decrease. If the prediction corresponds to the market situation, the trader makes a profit.
- Range. Traders have to indicate particular ranges within which the price is expected to be over a certain period.
- One-touch. Traders indicate a particular price line and the real price must just touch that line during a certain time period.
Speaking about those types of binary trading IQ Option offerings, Put-call is the easiest one to understand.
Which time periods and profits do binary options imply?
There are different time periods for which deals are made.
For instance, IQ Option offers selections from 1 to 45 minutes remaining till the expiration time.
The period between the purchase and expiration time is fixed, being equalled to 30 seconds. Profits depend on the type of assets and may reach 98% of your investment.
Note that Put-call binary options imply fixed profits that can be positive or negative.
However, traders are free to build special strategies based on fixed profits whilst professional market players are sometimes interested in much higher profits, which can be achieved on our platform as well.
How to trade binary options on IQ Option?
Our platform offers simple mechanisms for binary trading option but to avoid any misunderstanding follow this step-by-step guide:
- First of all, visit our official website and sign up to get a personal account. Verification is recommended. Complete it to avoid problems with withdrawals.
- Then choose a preferable account to start. A demo account is available for free while a real one should have money deposited in it first.
- Click on ‘+’ to open a new account and select different asset types. To start binary trading IQ Option, click ‘binary’ from the array of suggested assets.
- Click on the preferable pair or other assets for marketing.
- Indicate a deal amount and expiration time.
- Click ‘Higher’ or ‘Lower’ depending on your prediction.
Follow the chart during the indicated period of time and your profit depends on the final situation. Apps can display up to 9 charts simultaneously with different time periods.
Binary options tournaments
This is seen as an opportunity to multiply your funds in short periods of time.
However, you risk being in the black but IQ Option binary option tournaments are optimized to minimize your risks.
Investing from $0 to $4, users stand the chance to win prize pools up to 50 000 USD. Those prize pools are shared among the most successful binary option traders.
While joining a particular tournament, traders get $100 for their trading account while their personal funds are not at risk and used for registration fee and rebuys only.
Top strategies for binary options trading
There are diverse strategies for binary options trading based on time periods and assets.
These are the most popular ones:
- The Inside Candle strategy is based on three candles. One candle is long, the second is short and moves in the opposite direction while the third continues movement of the inside candle and exceeds the opening price. This strategy is usually timedfor 10-15 minutes.
- Le Confort strategy. Bollinger Bands indicator is in the default mode while CCI indicator should correspond to the following settings: period 40, levels -300/+300. The chart timeframe is 5 minutes. When the price falls lower than -300 and crosses the lower Bollinger band, rate change is expected.
- Royal Fish strategy. Fisher Transform indicator is in the default mode while Stochastic should correspond to 20, 3, 3 settings. The chart timeframe is 1 minute. The price is expected to grow when Fisher lines are crossed in -2000 level and the blue line is above the orange line.
What is the best strategy for binary option trading?
There is no answer to that question. Users have to develop personal skills and methods that work for them.
What is binary options trading: FAQ
Can I trade binary options at any time?
Assets are inaccessible on weekends and the IQ Option platform indicates the time remaining for a particular asset to open for marketing. Meanwhile, users are offered over-the-counter assets – 8 different pairs of the most popular currencies.
Where can I get information about binary options?
Living in the digital world, we have access to numerous sources of information. Special literature, video materials, recommendations of successful traders may be used to upgrade your skills. By downloading our apps, traders get access to the video tutorials.
What does affect the profit?
Trading instrument implies fixed profit but its rate may depend on several factors. Getting information on how to trade binary options, users may notice that the more expiration period is the lower profit rate is. For instance, deals from 1 to 5 minutes may bring up to 98% while the same deals made for 30-40 minutes bring some 80% of your investment.
How many deals can I make?
30 seconds before the expiration time traders are free to make an unlimited number of deals. The only limit lies in your account (real, training or tournament one). What’s more: traders are free to make different predictions – you may make deals for both increasing and decreasing of price. Some strategies are based on building such corridors.
May I use binary options signals?
Some beginners prefer copying successful traders or using other signals that are expected to multiply your assets. However, those signals cannot increase your skill level and you still run the risk of losing your assets because your success completely depends on somebody else’s analysis.
May I close a deal before the expiration time?
Yes, there’s room for this but you will lose some part of your profit. Deals can be closed 15 seconds before the expiration time. The aftersale profit directly depends on the price movement. When your prediction is far from reality, aftersale returns some part of your investment. When you are right, aftersale brings guaranteed profit saving you from painful surprises.
Is it profitable to use a binary option robot?
Most newcomers are offered special robots that analyze the market and make deals instead for them. Those robots are expected to bring enormous profits but the reality is completely different. Just imagine, how expensive can robots that truly bring money be? Millions of dollars, perhaps! Thus, free or cheap offers just take advantage of you.
Are binary options legal in Nigeria?
Nigeria is the promising market for all financial innovations and binary options are not the exception. The government is rather favorable for those instruments attracting investments. Several brokers are in operation in the country and Nigerians are ready to take full advantage. Thus, binary options in Nigeria are completely legal. Referring to our platform, Nigerian traders are rather active, partaking in different tournaments and trading using numerous assets.
The only issue to take note of is the taxation policy. Taxes depend directly on your incomes. The more you earn the more percent of profits you are obliged to pay. The maximum taxation rate is 24%.
How to start binary option trading?
To become a successful trader, users are recommended to partake in tournaments or trade from a training account at first to get necessary skills. Furthermore, pick up one or two assets for marketing in order to be aware of news and events that affect prices. Spreading your attention to numerous assets results in losses.
Upgrade your skills constantly in order to be more and more professional in technical analysis. Test various strategies and work out your personal one for a particular asset.
If you have any questions ask our 24/7 support.