Options: Serious Warning -All Options are Not Equal-Think Binaries

Terrapin Trader

SCAM WARNING

We are not associated with, nor will Optionsinvesting.co.uk  ever be associated with the ‘binary options’ scam. We trade exchange traded options only. They are listed here:  http://data.theice.com/MyAccount/Login.aspx?ReturnUrl=~%5CViewData%5CDefault.aspx

A binary option by definition can have 1 of 2 possible outcomes. Binaries are traded on the well known and thoroughly decent spreadbet platforms like IG index . They are based on their own prices, and have an end value of 0 or 100. These are not a scam, and are actually  fun.                                                                                                                                                                                      I  refer to http://scambroker.com/binary-options-trading-scam/ showing how trading is made to look simple. Just buy when you get a green light and sell when you get a red.

Typically the underlying is a big US stock. You may be brilliant at this form of trading, but you will never get your money back, I am told.  Their platforms are usually algo’s- or black boxes that may generate a few winning trades. I get plenty of calls and emails from these people. A horrible way to make a living, trying to cheat people.

Trading is not easy

It can take decades ( Gary Smith’s book- How I Trade For a Living). Gary took decades to figure out how he could make money. There are no shortcuts for most of us-though we will endeavour to show you many of the pitfalls…..And the really good stuff.

We love talking trading. We love trading. Most people just love the talking part (as you may know if you’ve ever been to those money shows). We are not here to take your money. We want you to take money from the market, with every trade, every month. Our site is here tosupport you and help you develop. Some of you are already on that path-and we know who you are!    In return WE grow as traders and mentors. WE, are NOT a scam.

Published by Terrapin Trader

First found out about options in 1995.From the arcane magazine Exchange and Mart! First trade- a covered call on VOD in 1999. Made 10%,VOD almost doubled. That's when I realised I was not a good trader,and I was forgiven thanks to the amazing world of exchange traded options

2 Comments

  1. Another way to think of binaries is like a spread-you sell one option and buy another in the same product- example -buy a 6800 put for 50,sell a 6700 put for 20, you now have a binary outcome at expiry- 1. the spread hits its max value of 100(profit=100 minus premium paid,(50-20=30) so you make 70 on a cost of 30, or 2. you lose 30.
    But…… we can close out or adjust any old time along the way-that is for another time.
    Don’t lose sleep over this…too late, I know you will.

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