As an aspiring trader looking to maximize your profits, you need to educate yourself on proven binary options trading strategies. With the rise of online trading platforms like Pocket Option, you now have access to a powerful yet beginner-friendly way to trade binaries. By learning the fundamentals of reading charts, identifying trends, and managing your risk, you can trade binary options successfully. With practice and persistence, you’ll be able to execute high-probability trades with confidence. This guide will walk you through everything you need to know to trade binaries profitably on Pocket Option as a beginner. You’ll learn practical tips on fundamental and technical analysis, developing a trading plan, and optimizing your trades for maximum reward versus risk. Follow along to start trading binary options intelligently and expand your income potential. The time is now to harness binaries with the right knowledge.
An Introduction to Binary Options Trading on Pocket Option
Binary options trading on Pocket Option allows you to speculate on the price movements of a wide selection of financial assets like stocks, commodities, indices and currency pairs. With binary options, you are predicting whether the price of the underlying asset will be higher or lower than the current price at the time of expiration.
Types of Options
Pocket Option offers the standard binary options types:
- Call/Put: You predict if the price will rise above or fall below the entry price.
- One Touch: You predict if the price will touch a specified target price before expiration.
- Range: You predict if the price will remain within or go outside a specified price range at expiration.
How to Trade
To place a binary option trade on Pocket Option:
- Select an asset you want to trade from the list of available options. These include stocks, commodities, indices and currency pairs.
- Choose an expiration time. Options expire at the end of the trading day, week, or month. Shorter expirations of 60 seconds up to 5 minutes are also available for high volatility assets.
- Decide if you think the price will go up or down. For call/put options, choose “higher” if you think the price will rise and “lower” if you think it will fall.
- Enter the amount you want to invest and click “buy”. Your profit potential and ROI percentage are clearly stated upfront. Returns can range from 70-90% for standard options.
- Wait for your trade to expire. If it expires “in the money”, your payout will be added directly to your trading account balance.
With a simple and intuitive platform, competitive returns, and short-term expirations, Pocket Option is an appealing choice for new and experienced binary options traders. By following a few basic steps, you can start trading binaries and potentially earn high profits.
How to Open a Pocket Option Account and Make Your First Deposit
To start trading binary options with Pocket Option, you first need to open an account and make an initial deposit. ### Creating an account
Visit the Pocket Option website and click the “Register” button. You will be required to enter some personal details like your name, email address, and phone number. You will also need to choose a password to use for logging in. Your account will be verified within 1 business day.
Choosing a subscription
Pocket Option offers three account types: demo, standard, and VIP. For most traders, the standard account is suitable. It requires a minimum deposit of $50 and includes access to over 100 assets, trading signals, and a personal account manager. The VIP account, with a $1000 minimum deposit, adds additional benefits like trading strategies, risk management tools, and exclusive trading assets.
Making a deposit
You can deposit funds through wire transfers, credit cards like Visa and Mastercard, or e-wallets such as Skrill and Neteller. The minimum deposit for a standard account is $50. Deposits are processed instantly so you can start trading right away.
Placing your first trade
Once your account is funded, you can begin trading binary options on forex pairs, commodities, stocks, and indices. Select an asset, choose a call or put option, enter an investment amount, and click “buy”. Your trade will be open immediately. Monitor it carefully and close it manually when you are ready to exit for a profit or loss.
With an account set up and funds deposited, you now have access to Pocket Option’s platform and can experience the thrill of binary options trading. Start small to minimize risks as you learn, and you’ll be making profitable trades in no time! Let the trading begin!
Top Binary Option Trading Strategies for Success on Pocket Option
There are several effective trading strategies you can utilize on Pocket Option to increase your chances of success. The key is to understand each strategy and determine which aligns with your trading style and risk tolerance.
Trend Following Strategy
This popular strategy involves identifying an asset’s overall price trend and then trading in the direction of that trend. If the trend is up, you place call options. If the trend is down, you place put options. Look for assets that are steadily increasing or decreasing in value over a longer time frame. Check price charts for the past few months to determine the trend and if it seems sustainable. Once you identify a strong trend, trade in the direction of the trend.
Range Trading Strategy
Range trading involves identifying assets that fluctuate within a defined price range. You place trades at the upper and lower boundaries of the range. Look for assets that are not trending strongly up or down. Trade call options at the lower boundary and put options at the upper boundary. Your options will be “in the money” as long as the asset remains within its typical trading range.
News Trading Strategy
This strategy involves trading options based on the predicted impact of scheduled news events and data releases. Look for events that historically trigger significant price movements and volatility. Before the event, trade options in the expected direction of price movement. For example, trade call options before an anticipated interest rate increase or strong economic data release. Be very careful, as the markets can be quite unpredictable around major events.
The key to success with any strategy is gaining experience through practice. Start with a demo account to test different strategies in a risk-free environment. Once you find strategies that work for you and fit your trading style, you’ll be well on your way to trading binary options profitably on Pocket Option.
Managing Risks When Trading Binary Options on Pocket Option
When engaging in binary options trading on the Pocket Option platform, proper risk management techniques are essential to mitigate potential losses. As with any investment, there is an inherent level of risk, thus you must implement prudent strategies to navigate uncertainties.
Setting Stop Losses
Establishing stop loss orders is integral when trading binary options. A stop loss order automatically closes a trade when the underlying asset reaches a predetermined price. This helps curb losses if the market moves against your position. Determine stop losses based on your risk tolerance and the volatility of the asset. Wider stop losses give the trade more room to fluctuate, while tighter stop losses minimize risk but increase the chance of stopping out.
Diversifying Your Trades
Diversification means allocating your investment across various assets, expiration times, and trading types. Do not put all your funds into a single trade, as this amplifies your risk. Spread your trades over stocks, currencies, commodities, and cryptocurrencies. Also, trade contracts with varying expiration times, such as 60 seconds, 5 minutes, and end of day. In addition, utilize different trade types like call/put options, touch/no touch options, and boundary options. Diversification reduces risk through not having all your eggs in one basket.
Only Invest What You Can Afford to Lose
When trading binary options, only deposit and risk money that you can afford to lose. Do not invest funds allocated for essentials like housing, food, or bills. While binary options trading does provide the opportunity for high returns, there is also a high level of risk. You could potentially lose your entire investment. So, determine how much discretionary income you have available for trading and do not exceed that amount. Investing more than you can afford to lose is a recipe for financial disaster.
In summary, manage your risks prudently when trading binary options on Pocket Option. Establish stop losses, diversify your trades, and only invest what you can afford to lose. By following these best practices, you put yourself in the best position to generate returns while limiting your exposure. But always keep in mind that binary options trading is very risky, so proceed with caution.
Frequently Asked Questions About Pocket Option Binary Trading
What assets can I trade with Pocket Option?
Pocket Option offers over 100 assets to trade, including currency pairs (forex), commodities, stocks, and cryptocurrencies. The platform features major currency pairs, like EUR/USD and GBP/USD, as well as minor pairs. In addition, you can trade gold, silver, crude oil, and natural gas. Pocket Option also provides access to major US stocks, like Apple, Facebook, and Tesla, as well as cryptocurrencies such as Bitcoin, Ethereum, and Litecoin.
What trading types does Pocket Option offer?
Pocket Option allows you to trade four binary option types: Up/Down, 60 Seconds, Ladder, and One Touch. Up/Down options have expiration times from 1 minute to 1 month and offer the highest payouts of up to 95%. 60 Second options are the fastest, expiring in just 1 minute.
Ladder options allow you to predict price levels that an asset will reach by expiration. One Touch options yield payouts up to 500% if the asset price reaches a predetermined trigger level.
How much does it cost to trade with Pocket Option?
Opening an account and trading with Pocket Option is absolutely free. Pocket Option is a no-commission broker, meaning you pay no fees or commissions on your trades. The only cost to you is the amount you choose to invest in each binary option trade. Pocket Option makes money through the bid/ask spread – the difference between the buy and sell price of each asset.
Is Pocket Option regulated?
Yes, Pocket Option is regulated by the Vanuatu Financial Services Commission (VFSC) under license number 15014. Pocket Option must comply with strict rules set by the VFSC to maintain fair and transparent trading conditions, protect client funds, and ensure a safe trading environment. Pocket Option keeps all client funds in segregated accounts and has strong security measures in place to safeguard accounts and personal data.
How do I withdraw money from Pocket Option?
You can withdraw funds from your Pocket Option account by logging in, clicking “Withdrawal” under “Finance,” selecting your preferred withdrawal method (VISA/Mastercard, wire transfer, etc.), entering the requested details, and specifying an amount to withdraw. Most withdrawals are processed within 1 to 3 business days. There are no fees for withdrawing funds from Pocket Option. The minimum withdrawal amount is $10.
Conclusion
As we have seen, trading binary options successfully on Pocket Option requires doing your research, managing your risk, having a trading strategy, practicing discipline, and keeping emotions in check. By educating yourself, sticking to your plan, and trading with your head rather than your heart, you can increase your chances of profiting. With its user-friendly platform, good payouts, and array of resources for beginners, Pocket Option offers an ideal environment to get started trading binaries. Follow the tips outlined here, keep practicing and learning, and you will be on your way to trading binary options profitably on this platform.
