There are many types of binary options, today I want to talk about boundary options or commonly called binary options. In this binary option’s category, the trader has to choose if the price of underlying tool ( actions, bond, currency, raw material ) is included in a certain time range or not.
Substantially, in this boundary binary options are given two investment possibilities: in or out. “In” when the price of underlying tool will be in the time range considered by our broker. “Out” if the price will get out from the time range considered.
Boundary Binary Options are easier than “one touch” options. But our capital return is lower, around 80%, even if some brokers offer earnings of 200-350%, widening the price range offer earnings.
Boundary Options: Some Advice
Binary options Boundary investment must never be underrated, in fact, isn’t simple try to foresee if the underlying tool’s price can stay in a certain time range or not. The first thing that we have to analyse is the option’s deadline, bigger is the deadline and fewer are the possibilities to make a rational prevision. The deadline that we have to consider, making correct previsions, mustn’t overtake the day.
There are many tools used by technical analysis to establish when the price of a determined good can stay in a pre-established range or not. The most trustworthy of these tools, in this case, results to be our trend line. Trace trend line helps to establish the most probable trend’s direction. I would like also to remember you that you can use pivot points to establish if the price will remain into certain limits all day long, or if it will overtake it.