Trading binary options can seem deceptively simple, but leaning too far into that notion can blind people to some of the risks that often accompany this type of trading.
If you’re interested in taking the binary options path, it’s critically important to understand exactly what you’re getting into and setting appropriate expectations.
Will trading binary options enable you to buy a villa in the South of France next year? Probably not. Will they allow you to quit your full-time job and finally start on that novel you’ve always wanted to write? Don’t count on it.
The good news is this type of trading can serve as a great supplement to your other trading strategies and personal financial initiatives.
Here, we’ll take a look at what binary options trading is all about and you can decide whether it’s right for you.
I personally do not trade options. However, learning options trading basics can help you decide if you want to try options trading and to succeed if you do.
I want to start with options trading basics so you don’t get confused. I know that the jargon and strategies required for trading can leave some people intimidated, so I’m going to break it down for you.
Options trading is a little-understood sector of trading. Some traders are quick to dismiss it as a waste of money, whereas others find it too risky to pursue. However, as you’ll learn in this post, when chosen at the right time, options trading can allow you peace of mind and potentially unlimited profits.
I’m going to cover some of the fundamental key terms and strategies of options trading basics so you can follow along.
Companies aren’t just whole entities. They’re made up of tiny parts called shares. Each share represents a certain percentage of the company, and shareholders own those shares.
When you invest in the stock market, you buy shares — essentially pieces of paper that entitle you to a portion of the company’s profits if it makes money. Whether you make or lose money depends on the stock price.
For instance, if a company’s stock is trading at $14 per share and you buy 1,000 shares, you’ve invested $14,000 in the company. Should the stock shoot up to $18, you’ll make money. If it sinks to $12, you lose money.
Investors buy shares of stocks because they want to turn a profit. If they’re like me, they might invest in small companies for hours or even minutes. Others hold on to more expensive stock for months or years.
Regardless, everyone who invests in the stock market trades shares. But what is a shareholder and how does the process work?
Forex stands for foreign exchange, but I’m not talking about students here. Instead, I want to help you learn how to take advantage of forex trading just like you would when trading stocks.
In fact, forex works a lot like the stock market. The only difference on the surface is that you’re trading currencies instead of shares.
Another difference lies in volume. On most days, trading volume exceeds $5 trillion. It’s a highly liquid investment pool, which appeals to many investors.
But what is forex trading? And how can you take advantage of opportunities in the market?
You might know that I’m partial to penny stocks, but I’ve also researched many other types of investment vehicles. Each has its own unique set of rules, expectations, and risk levels, so I urge you to learn about them all.
Today, I’ll cover what you need to know about forex trading.
What is a financial advisor? And why should you turn to one for help?
You’ve heard that old saying: “A lawyer who represents himself has a fool for a client.” The same goes for making financial decisions.
If you’re not educated in areas like investing and money management, you could make a serious mistake that costs you all you’ve saved. Turning to a financial advisor can help you make smarter choices with your money.
After all, you want your cash to work for you — not against you. Here is what I would tell someone if I were counseling him or her face-to-face.
What an absolutely crazy few weeks it’s been as the slow summer trading I was praying for just doesn’t seem to be coming true as there are Supernovas galore nearly every single day lately…as I write this I just made roughly $2,000 on today’s big spiker, Black Box Corp (BBOX) and will gave a detailed video lesson this weekend for subscribers of my newsletters here. Continue reading
You may have heard the term ICO or ICO cryptocurrency, but do you really know what it means?
Initial Coin Offering (ICO) is one of the hottest trends in investing right now, but relatively little is known about it. However, it’s one of my most asked-about topics these days, both from my students and others.
Here’s a comprehensive guide on ICOs to help you gain a better understanding about what they are and how they work — then you can decide for yourself if it’s a good way to diversify your portfolio.
It’s important for you to know that while this emerging investing trend offers many opportunities, the government is still working to create the best set of standards and rules to regulate the system, which means that there’s an assertive level of risk involved.
First, I’ll cover the basics about what an ICO is (and what it isn’t) …
Stocks are nothing more than pieces of paper — whether physical or virtual. They represent real money, but on their face, they’re just contracts.
You probably know that I don’t like risk. When I play the stock market, I want the greatest rewards at the lowest risk. I suggest that you take the same position.
When it comes to stock futures, my principles remain the same. But what are stock futures? And how can you trade them wisely?
What Are Stock Futures?
Stock futures are different from traditional stocks in that they take place in the — you guessed it! — future. Trading stock futures means agreeing on a price for a stock, whether to buy or sell, and putting an expiration date on it.
I am SO proud to announce early-bird pricing has begun here for my 10th annual conference coming up September 29-October 1st not just with me, but also my team of millionaire traders, including several of my top trading challenge students.
Here’s a quick video I made today explaining more about the event and why you MUST attend, along with detailing how I made roughly $1,000 on Friday, trading from the other side of the world as my charity has opened 4 schools in the past month in Bali, but because I know the best penny stock patterns inside and out, I called PED and GBR’s Friday spikes ahead of time in my watchlist sent hours before the stock market even opened: Continue reading
Why This Is Such A Big Week Ahead
Summers are usually slow for penny stock trading, but the past few weeks we’ve seen SEVERAL great Supernovas like GEVO ($4 to $24 in 2 days) and ASTC ($2 to $8 in 1 day), CLBS ($4 to $11 in 2 days) and CLPS ($5 to $17 in 4 days).
And I’m getting more questions than ever from students galore looking to become my next self-sufficient millionaire trading challenge student…and despite my doing Q&A webinars weekly, along with my top students giving an additional 1-2 webinars per week to trading challenge students, the questions just don’t stop, mainly because newbies seem to think the key to success is having to answers to just a few of their questions whenever they ask instead of having a far more comprehensive overall framework and understanding of how penny stocks work and move…and in case you’re wondering they’re wrong, no one or two or even three questions and answers matter, learning how the game works as a whole is IMPERATIVE to your success!