Choose A Platform with a better payout!
You will find different platforms offering you different payouts anywhere between% 60 and% 81 when your price prediction is correct and a payout of% 0-% 15 if your price prediction is incorrect. If you compare two leading companies, Any Option and Cedar Finance you will find that Cedar Finance will offer you% 75-% 80 /% 0 while Any Option will offer you% 70 /% 15 therefore with Any Option you would get% 5- % 10 more on your investment over time, even though it might appear as if you are getting a higher payout with a company that will pay you more if your prediction is correct. The point is that you have to make sure you do the math before you fund a trading account and definitely not do it with the first company you come across.
Diversify Risk, Trade relative to your Budget!
There are many ways to reduce the risk when you are trading and I actually made a few videos on my YouTube Channel where I explain how to manipulate the risk, but the most basic thing you have to do is to trade relative to your budget. If you start an account with $ 200 do not step into a trade with more than $ 35-50, as you will not be% 100 right all of the times even with a very good strategy and you definitely do not want to put ' all the eggs in one basket 'and lose all of your money on one trade! Diversify risk correctly so you can practice your strategy!
Do not take a Bonus Offer when you fund your account!
You may be asking yourself why am I telling you not to take free money that the platform offers. It's very simple. The bonus locks you in to a volume of trades you would have to generate in order to withdraw your money from the platforms, often equal to 20 or 30 times the amount you deposit. If you do not have much experience with Binary Options, you certainly want to have access to your money at all times if you choose to take it out, therefore I would not recommend taking a bonus offer, especially if you are just starting out with online trading.
Avoid Emotional Trading, Trade with a Strategy!
The most common trading mistake is when people involve emotions with trading as they gather intuition, luck, good heart or any other factors coming getting to know the asset you are trading and developing a strategy, maybe get them anywhere!
The good part is that unlike with Forex Trading, you are not required to use software and complicated charts and a simple fundamental analysis of the asset you are trading may be all that you would need to generate profits! Watch my short strategy videos on my Binary Option channel and learn various strategies.
You snooze! You lose! It's day trading so you got to be FAST !!
Many times as the graph is about to hit the price level you purchased your option putting you at risk. Would not you rather just break even? If your initial option was a Call Option (up) anticipating that the price of the asset goes up, if and when the graph hits your price level, quickly buy a Put Option (down) for the same amount and this way you can break even ! minimize the potential lose and build up profits over time!
Make sure to watch my videos on YouTube as I explain my strategies and provide my viewers with information about this exciting world of Binary Options.
Source by Michael Freemann