Monday, August 6, 2012
Winning Binary Options Trades Daily report 6th August S&P 500 Emini Futures
If you trade the S&P 500 Emini Futures, or trade the Nasdaq, Dow Jones, Rusell mini futures, or if you trade Forex and Crude Oil you need to check out www.sceeto.com for one of the worlds most advanced indicators. A no obligation Free Trial is availible.www.sceeto.com
Winning Binary Options Trades Daily report 6th August S&P 500 Emini Futures.
For Free Signals For Trading Binary Options . Go To http://www.Binaryforecast.com .Signals are 100 % percent free. Please also check out probably the fastest and best real time indicators in the world. Go to http://www.sceeto.com . Why pay for Binary Options signals when you can get them for free. Also for indicators you can get a free trial at Sceeto. Sceeto has indicators for Ninja Trader as well as Tradestation and Sierra Charts.
Whether you spread bet , trade Binary Options Futures or Forex you need to check out the free alerts and signals our real time software gives.
Sceeto and BinaryForecast monitor order flow in the market and tells you when the big banks and brokers are buying or selling in real time. Win more of your trades using our great indicators and alerts as well as our signals.
Stop losing money on bad trades or when program tradhing and high frequency trading happens. Old technical anaylis is gone. The stock market moves fast and your old charts and indicators probably can not keep up.
Get the best get Binaryforecast.com and Sceeto.com .
Text Courtesy Of Wikipedia
Interpretation of prices
In a prediction market, binary options are used to find out a population's best estimate of an event occurring - for example, a price of 0.65 on a binary option triggered by the Democratic candidate winning the next US Presidential election can be interpreted as an estimate of 65% likelihood of him winning.
In financial markets, expected returns on a stock or other instrument are already priced into the stock. However, a binary options market provides other information. Just as the regular options market reveals the market's estimate of variance (volatility), i.e. the second moment, a binary options market reveals the market's estimate of skew, i.e. the third moment.
In theory, a portfolio of binary options can also be used to synthetically recreate (or valuate) any other option (analogous to integration), although in practical terms this is not possible due to the lack of depth of the market for these relatively thinly traded securities.
In theory a portfolio of options can synthetically recreate any other financial instrument, including conventional options.
Structured Binary Options Strategies
It may come as a surprise to many interested in the options space that put options were not introduced on the CBOE until 1977, nine years after call options were. The binary options market at present is in the same 'no-mans-land' where there is a vibrant FX binary options market with sophisticated binary options strategies, while at the other extreme there are a plethora of platforms offering one-hour bets dressing themselves up as 'investments'.
But the binary options market too has its range of straddles, strangles, call spreads, butterflies, condors etc.. which as yet have not been explored by the mainstream exchanges. Tunnels, aka rangebets, aka corridors are reasonably well-known and are priced in the manner of a conventional call spread although the tunnel is primarily a volatility trade. Others such as the Eachway Calls & Puts, Tug of War, Accumulators provide a rich seam of varied instruments providing distinct and unique P&L profiles.
As indicated above, binary options are generally perceived as European-style options that cannot be exercised before expiry. The American-style binary options are out there but are usually referred to as one-touch options. A comprehensive list of binary options strategies would include European and American binary options, 'knock-in' binary options, 'knock-out' binary options and two-asset binary options.Charges
The contracts are subject to a daily financing charge, usually applied at a previously agreed rate linked to LIBOR or some other interest rate benchmark e.g. Reserve Bank rate in Australia. The parties to a CFD pay to finance long positions and may receive funding on short positions in lieu of deferring sale proceeds. The contracts are settled for the cash differential between the price of the opening and closing trades.
Traditionally, equity based CFDs are subject to a commission that is a percentage of the size of the position for each trade. Alternatively, a trader can opt to trade with a market maker, foregoing commissions at the expense of a larger bid/offer spread on the instrument.
Winning Binary Options Trades Daily report 6th August Russell TF Futures
If you trade the S&P 500 Emini Futures, or trade the Nasdaq, Dow Jones, Rusell mini futures, or if you trade Forex and Crude Oil you need to check out www.sceeto.com for one of the worlds most advanced indicators. A no obligation Free Trial is availible.www.sceeto.com
Winning Binary Options Trades Daily report 6th August Russell TF Futures.
For Free Signals For Trading Binary Options . Go To http://www.Binaryforecast.com .Signals are 100 % percent free. Please also check out probably the fastest and best real time indicators in the world. Go to http://www.sceeto.com . Why pay for Binary Options signals when you can get them for free. Also for indicators you can get a free trial at Sceeto. Sceeto has indicators for Ninja Trader as well as Tradestation and Sierra Charts.
Whether you spread bet , trade Binary Options Futures or Forex you need to check out the free alerts and signals our real time software gives.
Sceeto and BinaryForecast monitor order flow in the market and tells you when the big banks and brokers are buying or selling in real time. Win more of your trades using our great indicators and alerts as well as our signals.
Stop losing money on bad trades or when program tradhing and high frequency trading happens. Old technical anaylis is gone. The stock market moves fast and your old charts and indicators probably can not keep up.
Get the best get Binaryforecast.com and Sceeto.com .
Text Courtesy Of Wikipedia
Example of a Binary Options Trade
A trader who thinks that the EUR/USD strike price will close at or above 1.2500 at 3:00 p.m. can buy a call option on that outcome. A trader who thinks that the EUR/USD strike price will close at or below 1.2500 at 3:00 p.m. can buy a put option or sell the contract.
At 2:00 p.m. the EUR/USD spot price is 1.2490. the trader believes this will increase, so he buys 10 call options for EUR/USD at or above 1.2500 at 3:00 p.m. at a cost of $40 each.
The risk involved in this trade is known. The trader’s gross profit/loss follows the ‘all or nothing’ principle. He can lose all the money he invested, which in this case is $40 x 10 = $400, or make a gross profit of $100 x 10 = $1000. If the EUR/USD strike price will close at or above 1.2500 at 3:00 p.m. the trader's net profit will be the payoff at expiry minus the cost of the option: $1000 – $400 = $600.
The trader can also choose to liquidate (buy or sell to close) his position prior to expiration, at which point the option value is not guaranteed to be $100. The larger the gap between the spot price and the strike price, the value of the option decreases, as the option is less likely to expire in the money.
In this example, at 3:00 p.m. the spot has risen to 1.2505. The option has expired in the money and the gross payoff is $1000. The trader's net profit is $600.Trading
CFDs are traded between individual traders and CFD providers. There are no standard contract terms for CFDs, and each CFD provider can specify their own, but they tend to have a number of things in common.
The CFD is started by making an opening trade on a particular instrument with the CFD provider. This creates a ‘position’ in that instrument. There is no expiry date so the position is closed when a second reverse trade is done. At that point the difference between the opening trade and the closing trade is paid as profit or loss. The CFD provider may make a number of charges as part of the trading or the open position. These may include, bid-offer spread, commission, overnight financing and account management fees.
Even though the CFD does not expire, any positions that are left open overnight will be ‘rolled over’. This typically means that any profit and loss is realised and credited or debited to the client account and any financing charges are calculated. The position then carries forward to the next day. The industry norm is that this process is done at 10pm UK time.
CFDs are traded on margin, and the trader must maintain the minimum margin level at all times. A typical feature of CFD trading is that profit and loss and margin requirement is calculated constantly in real time and shown to the trader on screen. If the amount of money deposited with CFD broker drops below minimum margin level, margin calls can be made. Traders may need to cover these margins quickly otherwise the CFD provider may liquidate their positions.
To see how CFDs work in practice see the examples of typical CFD trades. The ‘margin percentage’, and ‘charges’ shown may vary from provider to provider, but are typical of CFD provider
Winning Binary Options Trades Daily report 6th August Forex Euro USD 6E ...
If you trade the S&P 500 Emini Futures, or trade the Nasdaq, Dow Jones, Rusell mini futures, or if you trade Forex and Crude Oil you need to check out www.sceeto.com for one of the worlds most advanced indicators. A no obligation Free Trial is availible.www.sceeto.com
Winning Binary Options Trades Daily report 6th August Forex Euro USD 6E Futures.
For Free Signals For Trading Binary Options . Go To http://www.Binaryforecast.com .Signals are 100 % percent free. Please also check out probably the fastest and best real time indicators in the world. Go to http://www.sceeto.com . Why pay for Binary Options signals when you can get them for free. Also for indicators you can get a free trial at Sceeto. Sceeto has indicators for Ninja Trader as well as Tradestation and Sierra Charts.
Whether you spread bet , trade Binary Options Futures or Forex you need to check out the free alerts and signals our real time software gives.
Sceeto and BinaryForecast monitor order flow in the market and tells you when the big banks and brokers are buying or selling in real time. Win more of your trades using our great indicators and alerts as well as our signals.
Stop losing money on bad trades or when program tradhing and high frequency trading happens. Old technical anaylis is gone. The stock market moves fast and your old charts and indicators probably can not keep up.
Get the best get Binaryforecast.com and Sceeto.com .
Text Courtesy Of Wikipedia
In the late 1990s CFDs were first introduced to retail traders. They were popularised by a number of UK companies, whose offerings were typically characterised by innovative online trading platforms that made it easy to see live prices and trade in real time. The first company to do this was GNI (originally known as Gerrard & National Intercommodities); GNI and its CFD trading service GNI touch was later acquired by MF Global. They were soon followed by IG Markets and CMC Markets who started to popularise the product in 2000.
It was around 2000 that retail traders realised that the real benefit of trading CFDs was not the exemption from stamp tax but the ability to trade on leverage on any underlying instrument. This was the start of the growth phase in the use of CFDs. The CFD providers quickly responded and expanded their product offering from just London Stock Exchange (LSE) shares to include indices, many global stocks, commodities, bonds, and currencies. Trading index CFDs, such as the ones based on the major global indexes e.g. Dow Jones, NASDAQ, S&P 500, FTSE, DAX, and CAC, quickly became the most popular type of CFD that were traded.
Around 2001 a number of the CFD providers realised that CFDs have the same economic effect as financial spread betting except that the tax regime was different, making it in effect tax free for clients. Most CFD providers launched financial spread betting operations in parallel to their CFD offering. In the UK the CFD market mirrors the financial spread betting market and the products are in many ways the same. However unlike CFDs which have been exported to a number of different countries, spread betting relying on a country specific tax advantage has remained primarily a UK and Irish phenomenon.
The CFD providers started to expand to overseas markets with CFDs being first introduced to Australia in July 2002 by IG Markets and CMC Markets. CFDs have since been introduced into a number of other countries; see list above.
Until 2007 CFDs had been traded exclusively over-the-counter (OTC); however, on 5 November 2007 the Australian Securities Exchange (ASX) listed exchange-traded CFDs on the top 50 Australian stocks, 8 FX pairs, key global indices and some commodities. There were originally 12 brokers offering ASX CFDs, but as of 2009 there are only five.
In June 2009, the UK regulator the Financial Services Authority (FSA) implemented a general disclosure regime for CFDs to avoid them being used in insider information cases.[3] This was after a number of high profile cases where positions in CFDs were used instead of physical underlying stock to hide them from the normal disclosure rules related to insider information.[4 .Exchange-traded binary options
In 2007, the Options Clearing Corporation proposed a rule change to allow binary options,[1] and the Securities and Exchange Commission approved listing cash-or-nothing binary options in 2008.[2] In May 2008, the American Stock Exchange (Amex) launched exchange-traded European cash-or-nothing binary options, and the Chicago Board Options Exchange (CBOE) followed in June 2008. The standardization of binary options allows them to be exchange-traded with continuous quotations.
Amex offers binary options on some ETFs and a few highly liquid equities such as Citigroup and Google.[3] Amex calls binary options "Fixed Return Options"; calls are named "Finish High" and puts are named "Finish Low". To reduce the threat of market manipulation of single stocks, Amex FROs use a "settlement index" defined as a volume-weighted average of trades on the expiration day.[4] The American Stock Exchange and Donato A. Montanaro submitted a patent application for exchange-listed binary options using a volume-weighted settlement index in
Winning Binary Options Trades Daily report 6th August Crude Oil Futures
If you trade the S&P 500 Emini Futures, or trade the Nasdaq, Dow Jones, Rusell mini futures, or if you trade Forex and Crude Oil you need to check out www.sceeto.com for one of the worlds most advanced indicators. A no obligation Free Trial is availible.www.sceeto.com
Winning Binary Options Trades Daily report 6th August Crude Oil Futures.
For Free Signals For Trading Binary Options . Go To http://www.Binaryforecast.com .Signals are 100 % percent free. Please also check out probably the fastest and best real time indicators in the world. Go to http://www.sceeto.com . Why pay for Binary Options signals when you can get them for free. Also for indicators you can get a free trial at Sceeto. Sceeto has indicators for Ninja Trader as well as Tradestation and Sierra Charts.
Whether you spread bet , trade Binary Options Futures or Forex you need to check out the free alerts and signals our real time software gives.
Sceeto and BinaryForecast monitor order flow in the market and tells you when the big banks and brokers are buying or selling in real time. Win more of your trades using our great indicators and alerts as well as our signals.
Stop losing money on bad trades or when program tradhing and high frequency trading happens. Old technical anaylis is gone. The stock market moves fast and your old charts and indicators probably can not keep up.
Get the best get Binaryforecast.com and Sceeto.com .
Text Courtesy Of Wikipedia
Binary options are high risk financial instruments where a prediction is made regarding the price of an asset at a certain period of the day. The predictions made relate to very small price modifications, which are extremely hard to predict, hence the high risk factor.
In finance, a binary option is a type of option where the payoff is either some fixed amount of some asset or nothing at all. The two main types of binary options are the cash-or-nothing binary option and the asset-or-nothing binary option. The cash-or-nothing binary option pays some fixed amount of cash if the option expires in-the-money while the asset-or-nothing pays the value of the underlying security. Thus, the options are binary in nature because there are only two possible outcomes. They are also called all-or-nothing options, digital options (more common in forex/interest rate markets), and Fixed Return Options (FROs) (on the American Stock Exchange). Binary options are usually European-style options.
For example, a purchase is made of a binary cash-or-nothing call option on XYZ Corp's stock struck at $100 with a binary payoff of $1000. Then, if at the future maturity date, the stock is trading at or above $100, $1000 is received. If its stock is trading below $100, nothing is received.
In the popular Black-Scholes model, the value of a digital option can be expressed in terms of the cumulative normal distribution function.In finance, a contract for difference (or CFD) is a contract between two parties, typically described as "buyer" and "seller", stipulating that the seller will pay to the buyer the difference between the current value of an asset and its value at contract time. (If the difference is negative, then the buyer pays instead to the seller.) In effect CFDs are financial derivatives that allow traders to take advantage of prices moving up (long positions) or prices moving down (short positions) on underlying financial instruments and are often used to speculate on those markets.
For example, when applied to equities, such a contract is an equity derivative that allows traders to speculate on share price movements, without the need for ownership of the underlying shares.
CFDs are currently available in the United Kingdom, Hong Kong, The Netherlands, Poland, Portugal, Germany, Switzerland, Italy, Singapore, South Africa, Australia, Canada, New Zealand, Sweden, Norway, France, Ireland, Japan and Spain.Non exchange-traded binary options
Binary options contracts have long been available Over-the-counter (OTC), i.e. sold directly by the issuer to the buyer. They were generally considered "exotic" instruments and there was no liquid market for trading these instruments between their issuance and expiration. They were often seen embedded in more complex option contracts.
Since mid-2008 binary options web-sites called binary option trading platforms have been offering a simplified version of exchange-traded binary options. It is estimated that around 90 such platforms (including white label products) have been in operation as of January 2012, offering options on some 125 underlying assets.
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