Binary option trading is gambling

Binary option trading is gambling

If Binary Options could indeed be classed as gambling then all traders in stock markets are gamblers and surprisingly, many of them are some of the richest people on the planet. Unlike gambling, in Binary Options you CAN predict with a high degree of confidence how an asset will move! /12/27 · Binary options and Gambling There are many articles circulating on the Internet these days that tend to equate. Such articles tend to degrade the ‘trader’ and replace the word with ‘ trader ’ with ‘ gambler ’, all in an effort to discourage binary options trading.3,4/5(5) /05/04 · blogger.com is an award-winning online trading provider that helps its clients to trade on financial markets through binary options and CFDs. Trading binary options and CFDs on Synthetic Indices is classified as a gambling activity. Remember that gambling can be addictive – please play responsibly. Learn more about Responsible Trading. Some products are not available in all countries

Is binary options trading gambling? - Quora

This guest article was written by Simon Klein who is a professional trader with over 10 years of trading experience. Simon has a passion for trading and loves to train and coach others — whether a complete beginner or an experienced trader.

He is also the founder of TradeSmart4x. Binary Options are a hot topic at the moment. There is a lot of misinformation out there and conclusions are binary option trading is gambling drawn based on a lack of knowledge instead of being based on a deep understanding.

Join the iFX EXPO Asia and discover your gateway to the Asian Markets. This article will cover the interesting topic about how to classify whether the activity you are doing is considered trading or gambling and will uncover how to ascertain whether what you are trading is a financial instrument or not. It appears, binary option trading is gambling, based on a recent articlethat regulators in different countries do not know whether to classify binary options as a financial instrument or gambling.

This statement shows a shallow understanding of binary options as well as financial instruments, binary option trading is gambling. There are a number of types of binary options and this article appears to imply that there is only one. For example, there are fully regulated binary options that trade on the NYSE and NADEX. There is also a Binary Options Exchange where you can be the writer and seller of binary options.

Well, it is if you are just looking at the outcome of one individual trade in isolation. If on the other hand, you binary option trading is gambling trading a system that has a positive expectancy then the outcome of a large enough number of trades is not uncertain anymore — you will make money!

I would like to offer a different and novel approach to understanding the nature of trading and gambling. To address the issue as to whether binary options are gambling or trading, you have systematically look at each category of binary options and decide whether you can develop a system that has a positive expectancy or not. If there does not exist a system of trading that has a positive expectancy, then you are gambling and what you are trading is not a financial instrument.

If on the other hand, you can develop a system of trading that has a positive expectancy, binary option trading is gambling, then you are trading and what you are trading is a viable financial instrument. If you take a look, on the surface, at trading binary options through an OTC over-the-counter binary options broker, it would appear that you may be gambling.

This is because, on the other side of binary option trading is gambling of your trades, is the broker. This is because you can only be the buyer of the binary options.

You can either buy a put or a call. If you win you will always profit less than what you risked. The broker, on the other hand, will have a positive expectancy.

The only way that you can make money over time when your reward is less than your risk is ONLY if you are able to develop a system of trading that increases the percentage of winning trades to a point at which you will have a positive expectancy.

THE TRUTH ABOUT BINARY OPTIONS

, time: 8:19

Is Binary Options Trading Gambling Or A Financial Instrument? - Binoption

/08/09 · If you take a look, on the surface, at trading binary options through an OTC (over-the-counter) binary options broker, it would appear that you may be gambling. This is because, on the other side of each of your trades, is the broker. The odds are in the broker’s favor. This is because you can only be the buyer of the binary blogger.comted Reading Time: 4 mins If you on the surface of trading using OTC (over-the-counter) binary options broker, this might be considered as gambling. On the other side is always a broker and the odds always in broker’s favor. This is because in this situation you can only a buyer here, buying a put or call option /05/04 · blogger.com is an award-winning online trading provider that helps its clients to trade on financial markets through binary options and CFDs. Trading binary options and CFDs on Synthetic Indices is classified as a gambling activity. Remember that gambling can be addictive – please play responsibly. Learn more about Responsible Trading. Some products are not available in all countries