IQ Option is a unique broker with a binary options trading platform. We are dedicated to providing our South African traders with top-notch security measures, state-of-the-art technological innovations and distinctive features so as to provide a trustworthy platform to enable effortless trading in South Africa.
A binary option is an simple form for trading where the trader speculates whether the price of an asset will rise or fall at the expiry time. The expiry time is an indication of when the transaction will close. A strike price refers to the price at which an asset may be purchased at a given time. In-the-money means you may profit from the transaction and that it is worth exercising, while out-of-the-money means you may be very close to losing your investment. binary options trading has become more popular in South Africa due to ease of accessibility and the innovative features it has displayed over time.
Below are the Top Five binary Options Beginner’s Tips to enable you to become a successful trader in South Africa:
1. Requirements for participating in binary options trading
As a South African trader, you should be over 18 years of age. Hence, a proof of identity is required.
A trader must be aware that trading in binary options may result in a loss. You are, therefore, advised not to invest your expenditure money i.e. money kept aside for your food, health and/or rent bills.
Traders should invest in legal tenders from their own online wallets to fund their accounts.
2. Trading procedure In binary options, traders in South Africa can participate in two ways:
Call option: Call option allows the investor to gain money when the investor predicts that the price of the asset at hand will increase in value over a given trading period.
Put option: Input option, the investor profits if he predicts that the price of a given asset will drop over a given period.
3. Assets involved in binary options To better trade with binary options, you need to understand the assets involved. They include:
Currency pairs which are available in over 25 currency pairs. They include EUR/USD/SA RAND and many others.
Indices which are securities that represent a market whereby each index has its own calculated market value.
Commodities which are inclusive of items such as gold, silver, sugar among others.
Stocks which basically share that companies own and traders buy.
4. Advantages of binary option binary options trading in South Africa does not require much experience since it’s not as complex as forex exchange.
Also, it offers high returns on your investment. It is simple as there is no requirement of downloads nor any third party involvement and it enables traders to trade in a wide variety of assets. For instance, traders can choose from currencies, commodities, stocks and indices – all in one place – on the IQ Option platform.
5. Market analysis procedure For South African traders to get a return on their investment, they must examine the market through detailed analysis of the products they are investing in.