What you should know about binary options

What you should know about

Binary Options

This ebook does not explain what binary options are and how to use

them; for these purposes you can read one of the many ebooks

published by the brokers and available from their websites. The Binary

Optioner ebook focuses on the tricky things about binary options:

- Why to trade binary options ?

- How to pick binary brokers?

- Which are the regulated binary brokers?

- The statistics of the binary platforms and expected returns of the

trader: are binary options really statistically biased in favor of

binary brokers?

- Advanced tools for the professional trader: trading signals by

sms/email and trading systems.

“What you should know about binary options” – www.thebinaryoptioner.com Pag. 2

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about binary options”. You assume total responsibility and risk for the use of the content of

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No statement within the ebook should be construed as a recommendation to buy or sell a

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any other information given in this ebook or in the website www.thebinaryoptioner.com is

given as a general comment and for information purposes and does not represent

financial advice. Many of the matters discussed are subject to detailed rules, regulations,

and statutory provisions which should be referred to for additional detail and are subject

to changes that may not be reflected in the ebook information.

Past results are not indicative of futures results. Options and derivatives involve a high

amount of risk and are not suitable for all investors; in the trading of binary options you

may incur in the loss of the entire capital invested. Do no trade options, binary options

and/or derivatives without understanding the nature of this trading, these financial assets,

the risk involved in trading derivatives and without asserting your trading education,

experience, competence and risk adversion.

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Why to trade binary options?

The reason why to trade binary options is not because they are easier to trade

than other financial assets (maybe they are, maybe not) or because you can

make more or easier money than in Forex or in Stocks or in traditional Options.

You want to trade binary options to make money, exactly for the same

reason you want to trade Futures, Forex, Stocks or Options. It is just

another way of trying to make money. As simple as that.

Are these features really differentiating binary options from other assets?

Quick expiry times: from 60 seconds to many months.

This is not only for binary options; you go in and out in 60 seconds in almost

every assets, and even less.

Simplicity: the investment decision is Up or Down, Above or Below, In or Out

of the boundary, Touch or Not Touch.

Apart from some advanced strategies in traditional options, basically all the

financial assets trading is all about “Up or Down”.

Profitability: trading in binary options can make you even 85-90% per trade,

and several hundred percent in One Touch binary options.

Many derivatives have these kinds of return, not only binary options.

Limited risk: unlike Forex, where you can get margin calls, in binary options

you can lose not more than the amount invested.

This is true also for traditional options, not only binary options, or in stock

trading when you go long and not on margin.

Stop loss/profit target: no need to manage the exit, whether it be in the loss

or in the profit.

Also in this case, traditional options are like binary options

No need to calculate the number of shares or options or futures to buy/sell,

you just need to set the amount you want to risk.

True, but I don’t think this is a major factor.

So, our answer to the question “why to trade binary options” is to

“make money”, and to “why to trade binary options instead of forex or

stocks or futures or options” is because “we like binary options”, just

like you could like the other financial instruments better.

AS SIMPLE AS THAT!


How to pick the broker

How should you pick the broker?

Based on the assets portfolio on binary options?

Of course, the higher the number the bigger your choice and the better for you.

Based on the return of the binary options offered by the broker?

Of course, getting 85% is better than 70% when you are in-the-money, and getting

back 10% is better than losing 100% when you are out-of-the-money.

Based on bonuses?

Maybe, but you MUST know EXACTLY what a bonus legally means for your account

and your money.

Based on the kinds of binary options?

Also, for the same reason: more choice means better choice (maybe).

I only tell you a couple of important things about this point.

“One Touch” options

Do you ask yourself why they are only “Touch” but not “No Touch”? Why do you

think the returns are so high but only if the assets touches the target price? Maybe

because statistically the probability of “touching” is so low? Probably this is the

reason. Our suggestion is not to trade One Touch binary options, because they are

too biased in favor of the broker. In other words, only if the broker offers both the

“Touch” and the “No Touch” version, on the same asset and for the same expiry, is

the algorithm of the platform fair, in order to “protect” the broker profitability, and

only in this case are the upper and lower target prices statistically balanced; if

instead the broker offers only the “Touch” version (called “One Touch”), then there

is a high probability that the platform has set the target prices (upper or lower)

significantly far away from the market price (but not too far away in order not to

deter investors), making statistically very difficult for the trader to be in-the-money.

The extremely high return (300-400-500% !) is just a way to attract trades in

transactions that will hardly expire in-the-money.

Past closing prices

The second word concerns whether or not the broker has a page in its website

reporting the prices of the previous expiry times. If that is the case, the trader can

compare the broker closing prices with the prices of the most important data

providers (Thomson Reuters, Bloomberg, just to give two examples). All the serious

brokers should have this service as a way to be fully transparent.


Let’s continue now with the way you should pick the broker.

Based on where the broker is legally located?

This is for sure an important factor: even if the binary industry is getting regulated

just recently after the ruling of the CySEC (May 2012), the majority of the brokers

are still incorporated in fiscal paradise, and knowing which jurisdiction will be in

case the one settling a dispute with the broker might be relevant for you.

Based on the Terms & Conditions of the Brokers? YES

Based on whether the broker is regulated or not ? YES

In few words, you shall pick the broker mainly among those who are

regulated and after having read the Terms & Conditions in full.

How to read the Terms & Conditions of the binary options broker

So let’s look at the way you should read the Terms & Conditions

This is one of the most important points, and at the same time one of the least

looked at.

We will see that the most delicate points in the Terms & Conditions are related to

the withdrawal process (quick or slow? fees? conditions limiting or even prohibiting

the withdraw?) and to strange clauses forcing the customer to trade a minimum

amount of money before having the possibility to get back his money, or even

part of it, even in the absence of a bonus.

For these reasons you MUST read the Terms & Conditions, or get the help of

professional website like www.thebinaryoptioner.com in order to be sure that the

T&C are ok.

What do you have to read in particular? Let’s look at some Terms & Conditions in

order to understand in practical terms.

In order to speed up and simplify the analysis, copy and paste the Terms in MS

Word, and look for the keywords “withdraw” and “bonus”, and you will find the

most delicate and important sections for you.

Withdrawal process

With “withdraw” you will get also “withdrawal”, “withdrawing” etc. In these

sections you will find the conditions of the withdrawal procedure: documents to be

submitted, data verification process by the broker for security purposes, number of



days the broker reserves for the whole process, the ways and the fees of the

money transfer from the broker to the credit card or the bank account of the

trader. It is important to know that the data and personal documents controls are

necessary for the anti-laundering laws, and that for the same reasons the broker

will transfer to the credit card, from which the first deposit originated, an amount

not higher that the deposits and will transfer the excess amount to the bank

account of the trader. All this means that the broker must accurately control the

trader identity and the bank account to be credited. Usually, from these sections

you can see brokers who want a fair number of days to perform the security

controls and brokers who take advantage of the need to control the data and

require up to 15 to 20 days before transferring the money. Also the withdrawal fees

differ a lot among brokers, and also this must be taken into consideration in

selecting the broker.

Bonuses

The sections concerning the “bonus” keyword are even more important, because

they list the conditions and the contractual limits binding the customers when they

accept the bonuses.

Let’s look directly at the following examples of Terms & Conditions.

Examples of Terms & Conditions

Case 1 to 6 are considered by The Binary Optioner to be fair and acceptable,

whilst cases 7 and 8 should be considered as not acceptable.

Case 1

“8 SPECIAL OFFERS, BENEFITS AND BONUSES

…….

8.2 Unless stated otherwise in the terms of the offer, a precondition for making

withdrawals after using the bonus/benefit is to buy options of 15 times the amount

of the bonus/benefit.

…….

8.4 The bonuses/benefits must be used within the period defined in the details of

the special offer. Should the bonus/benefit fail to be used within this time frame,

the bonus/benefit will be withdrawn from the client’s account.

8.5 Once receiving the bonuses/benefits, the client has 3 (three) calendar months

to complete the total amount of investments required as a precondition for

withdrawal. If the required total amount of investments is not reached during this


time period, the company will withdraw the bonuses/benefits funds from the

client’s account according to its discretion.”

Under these conditions, in the presence of a bonus, if the value of the transactions

do not reach 15 times the value of the bonus within 3 calendar month, only the

bonus value is at risk and can be canceled by the broker from the account, but

the investor is free to withdraw the available money on the account; clearly he will

not be able to withdraw the value of the bonus, or part of it.

Case 2

“Special Offers, Benefits & Bonuses

PLEASE READ ALL TERMS & CONDITIONS BELOW BEFORE ACCEPTING A BONUS. YOU

ARE NOT REQUIRED TO ACCEPT A BONUS. A TRADING BONUS IS OPTIONAL FOR ALL

ACCOUNT HOLDERS. EVERY BONUS REQUIRES A TRADING TURNOVER BEFORE ANY

WITHDRAWAL IS MADE BY THE ACCOUNT HOLDER. BY ACCEPTING A BONUS YOU

ARE AGREEING TO THE TERMS AND CONDITIONS BELOW. ALL BONUS INSERTIONS

ARE FINAL.

Special Offers, Trade Refunds, Benefits and Bonuses

Please read carefully before accepting a special offer, trade refund, benefit, or

bonus.

……..

2. Unless stated otherwise in writing from [broker name] and only [broker name],

the terms of the offer, a precondition for making withdrawals after using the

bonus/benefit is to buy options of 20 times the amount of the bonus/benefit plus

the deposit amount. Example: (deposit + bonus x 20 = required turnover for

withdrawal)

……..

4. The bonuses/benefits must be used within the period defined in the details of the

special offer. Should the bonus/benefit fail to be used within this time frame, the

bonus/benefit will be withdrawn from the client’s account.

5. ……..

By accepting a bonus into your account, you are agreeing to the terms and

conditions above. NOTE: If the required turnover is not met when making a

withdrawal request – the withdrawal request will be automatically canceled.

NOTE: [Broker name] DOES NOT RECOMMEND TAKING A BONUS UNLESS YOU KNOW

HOW MAKE IT WORK IN YOUR ADVANTAGE AS LEVERAGE. BY ACCEPTING A BONUS

YOU ARE AGREEING TO THE ABOVE TERMS.

Dormant Accounts Procedure


1. [broker name] client accounts in which there have been no transactions

(trading / withdrawals / deposits), for a set period of 12 months, will be considered

by [broker name] as being dormant accounts. 2. Dormant accounts will be

charged an annual maintenance fee of US$25 or the full amount of the free

balance in the account if the free balance is less than US$25. There will be no

charge if the free balance is zero. Consequently, all accounts with a zero free

balance will be closed.“

Before making a withdrawal in the presence of a bonus, there must be a number

of trades for a value of 20 times the value of the bonus plus the deposit, which

means:

Required transactions value = (deposit) + (bonus x 20).

The broker can also set deadline within which these transactions must be

performed, otherwise the bonus can be canceled.

There is no limitation in the absence of a bonus: this might be an obvious assertion

but there are certain brokers which impose a minimum value of trades also with no

bonus given to the trader before the he/she can withdraw, even partially, his/her

money (case 7).

The accounts inactive for 12 months are charged $25 or, if the balance is less than

$25, an amount equal to the balance, therefore in this last case set to zero and

then canceled.

Case 3

”Bonus conditions:

…….

Bonuses are only available for withdrawal after trading X times the volume of the

bonus value.

For example if a bonus of 100$ is granted, the trader must complete a total trading

volume of x times 100$ before the bonus is available for withdrawal (subject to

account balance).

…….

In the event that the entire or part of the deposit on which the bonus is given is

withdrawn before X times the bonus has been traded, then the following shall

apply:

1. The bonus shall be canceled.

2. In the case of trading losses, all the trading losses will be deducted from the

original deposit and the remaining balance may be withdrawn.

3. In the case of profits, the trading profits shall be canceled and the original

deposit may be withdrawn.”


If the trader receives a bonus, the minimum turnover in transactions required is

equal to “X” times the value of the bonus before the investor is able to make any

kind of withdrawal from his account, even out of the original deposit. The multiplier

is not specified in the general Terms & Conditions, but it is set for each specific

bonus. If the trader would like to withdraw even partially from the account after

having received the bonus and before reaching the minimum required value of

transactions, the bonus is canceled together with the profits generated while the

bonus present on the account; the losses instead remain and charged to the

account and the trader can only withdraw the original deposit less the losses

incurred; in the best scenario then, the trader will withdraw no more than the

original deposit.

We strongly suggest that before accepting a bonus you must know precisely the

Terms of the same bonus.

Case 4

”11. Withdrawal Procedure

….

For bank wire transfers, [broker name] covers the withdrawal fee for the first

withdrawal of a given month, any subsequent withdrawal using bank transfer will

accompany a processing fee of $30, which covers the transfer fee.

…..

Once a withdrawal request has been submitted, it can take [broker name] up to 3

business days to process the request. Once the request has been approved please

allow an additional 5-7 days for the funds to show in your account.

…..

12. Investment Reward and Bonus Policy

…….. Unless stated otherwise on specific promotions the default promotional terms

apply to all bonuses as shown below:

Withdrawal of funds which have received additional rewards, bonuses, or

promotions, require a trading volume fulfillment of 30 times the bonus or in the

even of a refund bonus 20 times the bonus amount. The trade volume

requirement begins upon receipt of the bonus in the traders account. Upon

receipt of the bonus, the trading requirement must be fulfilled prior to withdrawing

funds from the account……”

Apart from some redundant concepts, also in this case without any bonus there

are no limitations to withdraw.


Case 5

”18.4. Withdrawal instructions.

…….

The maximum bonus amount is 4.000 EUR/USD/GBP

1. …….

2. Bonuses are only available for withdrawal after a trading volume of 20 times

the bonus value has been met. For example if a bonus of $50 is received, a

total trading volume of $1000 must be made by the trader before the bonus

can be withdrawn.

3. In case you decide to use the early closure feature, only 50% of the amount

you invested on an option will be counted in the trading volume.

4. ……….

5. ……….

6. Should the entire or part of the deposit on which the bonus is given be

withdrawn prior to the 20 times the bonus volume has been traded then the

following shall happen:

The Bonus shall be cancelled

All the trading losses will come from the original deposit and the remaining

balance may be withdrawn.

The trading profits may be cancelled and the original deposit will be

available for withdrawal. ”

The bonuses are available for withdrawal after transactions worth 20 times the

value of the bonus. For example, if you receive a bonus of 50$, it is necessary to

perform as many trades for a value of 1.000$ before the bonus can be withdrawn.

In case of withdraw, even partial, from the account on which the bonus has been

credited before the 20x condition is satisfied, then:

The bonus is canceled;

All the trading losses will come from the original deposit and the remaining

balance may be withdrawn.

The trading profits may be cancelled and the original deposit will be

available for withdrawal. ”

Like it happens with other brokers, if you want to withdraw before making the

minimum turnover required by the bonus’ conditions, you will be able to withdraw

the amount deposited less the losses incurred. Not only the bonus but also the

profits generated while the bonus is credited on the account will be cancelled.


Case 6

”Special Offers and Bonuses

Benefits and Bonuses may be offered by the Company from time to time, and shall

be credited to the client’s account subject to the terms of the offer made to the

client, e.g. making minimum deposits and/or executing certain trade volume

within a specified time period.

Unless mentioned otherwise in the terms of the offer, if the client wishes to make a

withdrawal after receiving the bonus, he/she can do so only after executing a

trade volume (aggregated sum of investments) 20 times the amount of the

bonus/benefit AND at least 20 trades. ”

In brief, unless the conditions of bonus state otherwise, if a customer want to

withdraw he has to generate trading turnover for a value of 20 times the bonus

and 20 operations.

In the absence of the bonus there are no limitations to withdraw.

Now we will look two examples of Terms & Conditions extremely in favor of the

broker, and unfair for the investors.

Case 7

”7. Specific Conditions of Use

Withdrawals: …… §30active trading days are necessary in order to ask for a

withdrawal.§15 times the trading volume is required in order to make a withdrawal

and also withdraw the Bonus § Processing the withdrawal request takes a period of

3 to 5 business. if the conditions are fulfilled and the request is approved, the sum

will be paid within a period of 7 to 10 working days. § You will be charged a

penalty fee of 45€ for any withdrawal of sums less than or equal to 300 Euros. § A

fee of 15% will be charged for all withdrawals above 300 Euros.§ [broker’s name]

authorizes withdrawals up to a maximum value of 5000 USD or Euros per month. In

the event that a trader wishes to withdraw earnings of a value greater than 5000

USD or Euros, they will be forced to spread out the withdrawal over several months.

Bonus:

…….. There is never any obligation to accept these bonuses. ……..”


Three are the constraints quite burdensome:

the need to carry out trading activities for 30 days before you can withdraw,

the obligation to make operations for a value of 15 times the initial deposit

regardless of the presence of the bonus,

the excessive fee of 15% of the value of the withdrawal, with a minimum fee

of €45.

It does not matter that much if within the bonus section the broker underlines that

there is no obligation to accept the bonus: the constraint of the minimum turnover

in binary operations is valid even without the bonus.

And incredible is also the condition for those willing to withdraw more than €/$

5.000; apart from the fact that the wording of the article seems to refer only to

withdrawals of profits, therefore excluding the case of withdrawals of funds

deposited, limiting the withdrawal to $5,000 and divide the surplus in withdrawals

to be made in "several months" without even indicating how many months of

delay seems too unfair.

Not to mention the English style, quite approximate and superficial.

For all the above reasons, these Terms & Conditions seem unfair and unjust, and for

that not be accepted at all.

Case 8

”19. ……. Withdrawals shall be made according to the site procedures and will

take up to fourteen (14) banking days or as determined by the billing services

provider of the site, the longer between the two.

21. The Company, at its sole discretion, may decide (but not be obliged to do so)

to offer bonuses, promotional offers or any other kind of benefits to the Client, to

set its conditions, and/or change them without prior notice to the Client. The

Company shall not be subject to reason its decision nor to be forced to do the

same in future transactions of the Client. Once a bonus has been

awarded/accredited to a clients account, they will be subject to execute

transactions in an amount of at least ten (10) times the deposit amount and might

also subject to minimum deposit and/or minimum volume of trading and/or a

certain time limit. Furthermore, the Company may, at its sole discretion, credit the

Client with up to Thirty five Percent (35%) bonus for each deposit made by the

Client up to a maximum of one thousand five Hundred ($1500). ”


The important and unfair conditions are:

the delay of 14 days before transferring the money is quite long and

unjustified even for all possible controls for identity security and anti-

laundering purposes;

the broker reserves the right to credit on the customer’s account a bonus up

to 35% of the deposit, with no possibility for the customer to reject it, which

means that the broker has the right to artificially create the bonus and to

impose the subsequent bonus conditions of the minimum turnover of

transactions, which could mean that the broker can avoid any request of

withdrawal by simply crediting the bonus!

These conditions must be considered unfair and unjust and for that not

acceptable.

Broker’s legal head office

If you want to know where the legal office of the broker is located, not always the

address indicated in the “contacts” section is the legal address, because for

marketing purposes the address mentioned could be the one of the call center or,

even more frequently, only the phone numbers, email addresses, IM and online

chat tools are shown. In order to know without doubt the legal jurisdiction of the

broker (and of the disputes arising between the broker and the customers), you

have to look in the Terms & Conditions, and see if within the first clauses the

corporate name and the address of the broker are published; if in the Terms &

Conditions this information is not given, then it is necessary to look at the end of

Terms & Conditions and find at least the legal jurisdiction competent in case of

legal disputes arising between the broker and the customers: you won’t know the

precise address but at least the country where the broker is located.

Here are a couple of examples.

In the first, the Terms & Conditions of the broker indicate precisely corporate name

(that we have hidden) and legal address.

“1. This Agreement is entered into by [broker name] registered under the laws of

_The British Virgin Islands having its registered office at [broker’s address]

(hereinafter referred to as: the “Company”) and yourself (hereinafter referred to

as: “you” or “Customer”) (In this Agreement the Company and you may be

referred to collectively as the: “Parties”).”


In the second, only the jurisdiction competent for legal disputes is indicated

(Cyprus), which means that the broker is legally located in Cyprus.

“12 Law and Jurisdiction

The laws of the state of Cyprus shall govern the use of the Site and all its

consequences including the Terms of Use. The competent court in Larnaca, Cyprus

shall have sole jurisdiction over any matter involving use of the Site.”

To conclude, looking at the Terms & Conditions of the different brokers, it is clear

that there are brokers which are highly professional and serious, as well as brokers

which take advantage of the fact the potential customers do not read the

contract between them and the broker and chose the broker on the basis of

marketing campaigns, advertising, promotion activities in general.

It is therefore necessary to carefully read both the T&C regulating the trading

account and the relationship between broker and customer, and the specific

conditions of the trading bonuses that brokers offer constantly to attract new

customers.

One of the services rendered by The Binary Optioner is to highlight brokers with

clear, fair and just Terms & Conditions.

For any question you are welcome to write to us at [email protected]


The statistics behind binary options platforms

This article will show you how your success rate need to be in order to make money

under the different combinations of return/rebate.

We split our explanations under the two different scenarios: efficient market theory

and non-efficient market theory.

In the efficient market theory, a trader can call the market right 50% of the times,

and on the other side he is in the loss side in the other 50% of times; in the opposite

hypothesis that the efficient market theory is not valid, the probability of the trader

to be in the right position is not necessarily equal to 50%, but depends on his/her

ability to predict the market movement.

Some definitions:

Return: payout for the trader when the binary option expires in-the-money (ITM);

usually between 70% and 85%;

Rebate: payout for the trader when the binary option expires out-of-the-money

(OTM); usually between 0% and 15%.

Expected return: statistical return that the platform or the trader should expect

when trading indefinitely.

Assumption: efficient marker theory

Under this hypothesis, we can calculate the expected returns for the platform and

for the investor as follows.

Platform Expected Return = ((1-Probability of winning) x (1-Rebate) - (Probability of

losing x Return))

which in the case of the platform paying out 100% return and rebating 0% is:

Platform Expected Return = ((1 – 50%) x (1-0%)) – (50% x 100%) = 0%

So, with the Return set at 100% and Rebate at 0% the expected return is $0.

If the option return is 90% and the rebate is 0% we have :

Platform Expected Return = ((1 – 50%) x (1-0%) – (50% x 90%)) = (50% – 45%) = 5%

Investor Expected Return = ((50% x 90%) – (1 – 50%) x (1-0%)) = (45% – 50%) = -5%

This means that statistically the binary investor must expect to lose 5% if the

probability to be in-the-money and to be out-of-the-money is 50% (this being like

the case of the Head or Tail game), while under the same circumstances the

expected return of the binary platform is 5%.


We can then calculate the platform and the investor expected returns for different

pairs of Return-Rebate

Return 70% - Rebate 10%:


Investor Expected Return = ((50% x 70%) – (1 – 50%) x (1-10%)) = (35% – 45%) = -10%

This means that investing infinite times in binary options with return 70% and rebate

10%, the investor will lose 10% and the platform will make 10% under the

assumptions of the Efficient Market Theory (50% of probability to be in-the-money,

50% to be out-of-the-money)

Return 90% - Rebate 10%:


Investor Expected Return = ((50% x 90%) – (1 – 50%) x (1-10%)) = (45% – 45%) = 0%

This case is equivalent to the case Return 100% - Rebate 0%; the closer the sum

Return+Rebate to 100%, the closer the expected returns to 0%.

Assumption: the efficient market theory is not valid

In this case, we assume that the trader can be more successful than 50%.

Hypothesis 1: Return of 85%, Rebate 0%, trader success rate 68% of the time:

Investor Expected Return = ((68% x 85%) – (1 – 68%) x (1-0%)) = (0.578 – 0.32) = 25.8%

Hypothesis 2: Return of 85%, Rebate 0%, trader success rate 60% of the time:

Investor Expected Return = ((60% x 85%) – (1 – 60%) x (1-0%)) = (51% – 40%) = 11%


Developing the different trio of Return-Rebate-Trader Success Rate, we can put

together the below table and summarize as follows:

EXPECTED RETURNS

Investor's success rate

50% 60% 70% 80% 90% 100%

Platform Return = 60% - 0% -20.0% -4.0% 12.0% 28.0% 44.0% 60.0%

Platform Return = 70%-0% -15.0% 2.0% 19.0% 36.0% 53.0% 70.0%

Platform Return = 80%-0% -10.0% 8.0% 26.0% 44.0% 62.0% 80.0%

Platform Return = 90%-0% -5.0% 14.0% 33.0% 52.0% 71.0% 90.0%

Platform Return = 100%-0% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0%

Platform Return = 60%-5% -17.5% -2.0% 13.5% 29.0% 44.5% 60.0%

Platform Return = 70%-5% -12.5% 4.0% 20.5% 37.0% 53.5% 70.0%

Platform Return = 80%-5% -7.5% 10.0% 27.5% 45.0% 62.5% 80.0%

Platform Return = 90%-5% -2.5% 16.0% 34.5% 53.0% 71.5% 90.0%

Platform Return = 100%-5% 2.5% 22.0% 41.5% 61.0% 80.5% 100.0%

Platform Return = 60%-10% -15.0% 0.0% 15.0% 30.0% 45.0% 60.0%

Platform Return = 70%-10% -10.0% 6.0% 22.0% 38.0% 54.0% 70.0%

Platform Return = 80%-10% -5.0% 12.0% 29.0% 46.0% 63.0% 80.0%

Platform Return = 90%-10% 0.0% 18.0% 36.0% 54.0% 72.0% 90.0%

Platform Return = 100%-

10% 5.0% 24.0% 43.0% 62.0% 81.0% 100.0%

Platform Return = 60%-15% -12.5% 2.0% 16.5% 31.0% 45.5% 60.0%

Platform Return = 70%-15% -7.5% 8.0% 23.5% 39.0% 54.5% 70.0%

Platform Return = 80%-15% -2.5% 14.0% 30.5% 47.0% 63.5% 80.0%

Platform Return = 90%-15% 2.5% 20.0% 37.5% 55.0% 72.5% 90.0%

Platform Return = 100%-

15% 7.5% 26.0% 44.5% 63.0% 81.5% 100.0%

The lines in bold are the most common combinations of return/rebate among

binary brokers, the lines in shadow are not realistic combinations of return/rebate

and are shown here only for comprehension purposes, but no broker will offer

them as the expected return would be negative for the broker.

As you can see, staying between 60% and 70% of success rate guarantees a quite

interesting return, while the break-even can be calculated as being 55%: this

means that in order to make money in binary options you need to get it right more

than 55 times for every 100 trades.


On the basis of this simple statistical calculations, some say that the expected

return for the platform is not fair, and that the binary option industry is a way for

binary brokers to make money with this statistical advantage similar to the Casino.

We say that this is like in Stock, Forex and Bond trading: when you consider that

brokers charge you commissions, fees and that you as an investor “pay” the bid-

ask spread, the break-even success rate of the traditional markets is very similar (if

not higher) than in binary option trading.

The important thing is to have the account with Regulated Brokers, where your

money is safe and you can withdraw your earning with no hassles.

You need then tools to reach the success rate between 60% and 70% in order to

have interesting returns in binary options trading, with 55% being the break-even

point.

The Binary Optioner offers you a set of trading signals and trading systems with the

highest performance in the industry for your trading, under the motto:

“Trade No stress & Make Money”


Trading signals by SMS/Email

Trade No Stress!

3-hour expiry trading signals

End-of-hour trading signals

Live trading room signals

The trading signals are created by algorithms which monitor the underlying assets

continuously and which generate the signals as high probability trading

opportunities arise.

With this kind of professional service you will dedicate 15-30 minutes per day to

your trading, and even more importantly you will TRADE NO STRESS and increase

significantly the probability of MAKING MONEY.

All the services monitored and offered by The Binary Optioner have to generate a

minimum of 60% success rate, otherwise they will be delisted from the website The

Binary Optioner and no more offered.

For the signals given in real-time in the LIVE trading room you will follow a

professional trader as he trades real time and copy his trades into your brokerage

account.

3-hour expiry trading signals by sms/email

The signals are intended for options with expiry 3 hours from the time of the signal.

The SMS indicates precisely time of the signal and time of the option expiry. All the

times are GMT, as indicated anyway by the SMS.

It is therefore necessary to have a broker which offers the Option Builder tool, or

which offers the possibility of early closure (so you can close the option after 3

hours).

After subscription to this service (available in different format, 7 days, 1-month, 3-

month), you will receive once a day, at about 11:30 EST, the SMS and the email

with a list of up to 5 signals, the entry price and the direction to take.

Example:

signals for 24/06/13, expire time 18:32GMT(-Options)

,-A-,EUR/USD,Put,1.3099

,-B-,NasdaqC,Put,3312.6

,-C-,USD/CAD,Call,1.0528

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,-D-,USD/CHF,Call,0.934

,-E-,USD/JPY,Call,97.575

What to do:

-A-, buy a put on EUR/USD at or above 1. 3099

-B-, buy a put on NasdaqC at or above 3312.6

-C-, buy a call on USD/CAD at or below 1.0528

-D-, buy a call on USD/CHF at or below 0.934

-E-, buy a call on USD/JPY at or below 97.575

Expiry: set the expiry time with the Option Builder (or similar tools), or buy options

which can be closed before expiry (early closure tool).

Recommended brokers: TopOption and Banc de Binary (offering the Option

Builder tool) and 24Option (early closure option). They are all regulated brokers!

The signals are sent by SMS and email.

Get access to the Member Area to see the performance of the signals

End-of-hour trading signals

During the day you will receive by sms and email up to 5 trading signals, and for

each of them you will then buy a binary option with end-of-hour expiry. The expiry

time is indicated in the sms/email in GMT time.

The signals are for the cross currencies eur/usd, gbp/usd, usd/cad, usd/chf,

aud/usd, both for the New York session and for the London session.

Customer satisfaction is guaranteed by a team of professional traders.

Example of signal:

"DOWN SIGNAL: PUT USD/CAD NOW AT 1.0131. EXPIRES 18:00 GMT 12-APR-2013"

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The signal is sent by SMS and email

Get access to the Member Area to see the performance of the signals

LIVE trading room

Subscribe to the LIVE trading room and you will be side by side with a professional

trader as he trades; you will be able to see what he does and listening his

explanations about his trading strategies in binary options. You will also be able to

copy his trades and make money!

You will LEARN and MAKE MONEY.

The trading room will be opened from 9:30 to 11:30 EST; during this timeframe you

will then follow the screen and the explanations of the trader and copy the trades

into your account.

You will learn techniques that will change FOREVER your way of trading, and most

of all your performance in trading.

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Trading systems

Learn how to trade forever

With the trading systems, The Binary Optioner offers you the possibility to learn how

to trade.

No more need to wait for sms and emails telling you what to do: you will learn how

to trade successfully FOREVER!

Trading systems Light

Trade part-time

Forex Binary Options Trading System

Trade 2 hours per day or less in two sessions: New York and Euro session

Easy-to-use, must-have system for binary options trading

Trade one hour or less per session for 1-5 trades per day

Choose between Euro and New York session, or trade both

Earn an average of $1.750 per month with $500 trades in the Euro session

Earn an average of $3.200 per month with $500 trades in the New York

session

Earn an average of $4.950 per month with $500 trades in the two sessions

combined

Trading system for binary options on the index S&P500

Trade one hour or less per day

With Banker11 you trade on binary options S&P500, once a day starting from

12:00 EST with expiry at 13.00 EST.

1-2 trades per day

Earn $600-800 per month with $100 trades

Earn $3.000-4.000 per month with $500 trades

Introductory system to Banker11 PRO

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Trading system for binary options on GOOG and AAPL

Trade less than one hour per day

Clear and simple entry signals

Trade for 90 minutes per day (9:30-11:00 EST) for 1-2 trade per day

Accuracy up to 90%

Focus on Google & Apple

Earn up to $800 per month with $100 trades

Earn up to $4.000 per month with $500 trades

Earn up to $8.000 per month with $1.000 trades

Get ready for STRIKER9 PRO

Trading system PRO

Trade full time

Trading system for Gold binary options

Binary Option System BB12 is a powerful and unique trading system for Gold

binary options

Entry signals clear and simple

Two sessions, EURO and New York, for 5-15 trades per day per session

Earn an average of $15.000 per month with $500 trades in the Euro session

Earn an average of $23.000 per month with $500 trades in the New York

session

Earn an average of $38.000 per month with $500 trades in the two sessions

combined

Trading system PRO for FOREX binary options

Euro and New York session

Trade full time in the two sessions Euro and New York

Focus on GBP/USD and EUR/USD

Earn an average of $38,000 per month with $500 trades in the Euro session

Earn an average of $38,000 per month with $500 trades in the New York

session





Earn an average of $76,000 per month with $500 trades in the two sessions

combined

Trading system Pro for binary options on the index S&P500

Trade 4 hours per day

Trade full time as a PRO on binary options S&P 500 for 4 hours per day

5-10 trades per day

Accuracy up to 80%

Earn $25.000 per month with $500 trades

Trading system PRO for stock binary options Apple & Google

Pro system: trade full time from 9:30 to 16:00 EST, for 5-30 trades per day

Accuracy up to 90%

Focus on Google & Apple

Earn up to $5-6.000 per month with $100 trades

Earn up to $25-30.000 per month with $500 trades

Earn up to $50-60.000 per month with $1.000 trades




Trading systems ULTRA

Only for those who already master the Pro systems

Trading system Forex Binary Options

For the “Dead Zone Trader”

Trade 9-10 hours per day for 40-50 trades in the Forex Deadzone session:

17:00-02:00 EST

Make an average profit of $7.000 per day with $500 trades

Not purchasable by all: only those mastering a Pro trading system can buy

this system

Trading System for Binary Options on AAPL e GOOG

Quick to learn, super-easy to use for incredible results

Suitable for AAPL binary options with 30-minute expiry

Usable for similar stock, like GOOG

Not a software, not a plugin, not an EA: QWARG is a course which will teach

you how to trade ULTRA

Learning time: 2 – 3 hours to understand the system, some days of trading for

hands-on experience, and the full life to use it

15-40 trades per day

Earn in the range of $30-60.000 with $500 trades

Have a Good Trading

&

“TRADE NO STRESS”

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https://systemsforlife.net/amember/go.php?r=6186&i=b6

Economy & Finance

What you should know about binary options