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Apr 18

Callandput Advises: Binary Trading is a Game of Emotions

Posted by abiao at 08:00 | Default | Comments(1) | Reads(2912)

Binary options’ trading is a truly emotional trading discipline and, in fact, emotions are what make amateur traders lose the most. When things involve money and when the emotion of greed for profit turns into the emotion of despair from losing then a lot of bad things are bound to happen.

Amateur traders usually get their emotions to interfere with their trading patterns and so they invest more than what they actually can or end up investing to much into correlated equities. A successful binary options’ trader always has a plan that stipulates what he should invest, how he should invest, where he should invest and a lot of other things which leads us to the next tip.

Binary Options Trading must be done with a plan:
A strict plan should be made and followed from start. Binary options trading might be a pretty profitable activity and a solid investment option, but if you don’t have a plan or if you have a plan and simply don’t follow it then you are not investing, you are gambling – and we all know that gambling is a pretty dangerous business.

A binary options plan will make it so that you know what percentage of your e-wallet to invest with, what options to call and put and every other thing – and it’s this kind of discipline that will allow you to really keep track of your profits, losses and mistakes so you can keep on learning and growing yourself as a trader.

If you don’t know how you can make a solid trading plan have someone with more experience to develop it for you – although we always advise people to research and make the plans themselves.

Binary Options Trading Tip: Never Use any Martingale:
Martingale is the technique that says you can recoup losses by increasing the value of the bet with each loss, which means that if you invest $40 and lose you should now invest $80 and if you happen to lose those $80 again, then spend $160 and at some point you will get a winning trade and get your loss back.

Well, this might sound good in paper, but you run out of moves pretty quickly since the money is being doubled at every losing trade and your capital is limited – just image losing two or three more times and you’ll see what you can lose trying to get only $40 back.

Never use any Martingale!

Rui Carreira is a financial researcher at callandput.com and professional writer, specializing in investment industries, forex and binary options in particular.   Life motto: «Think different. Create value»


solstice Email
2018/12/26 22:19
My world came crashing down when i invested over $390, 000 into Binary options. before i knew jack, my money vanished. I was devastated for so long.. But I was hopeful. Also realised that a lot of the Binary options recoveries also boiler rooms. I engaged about two who got my 10% fee for nothing. only www. premiumrecoveryinc. com was able to get my money and bonuses out.  I just don't feel there was any need for me to stress this far on any investment such as Binary options.
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