Master option binary of these mean the same thing. Let’s talk about each of these types of trades in detail.
Binary options is becoming a very exciting world, replete with choices. Will X asset be trading at a price which is higher or lower than the current price at Y expiry time? Low trading offered by many binary options brokers. Low trades, it will usually range from five to 15 minutes to sometime hours later on the same day. Intra-day trading used to be all that was offered by the majority of brokers, but that is starting to change with the integration of Long Term trading. If you are correct about your assertion and the asset is trading at the level you indicated when the clock runs out, you win your trade. With One Touch trading, you are looking at a given asset, and you are asked a different question.
Will X asset reach Y trigger point by Z expiry time? The trigger point may be anywhere on the chart. Usually the further away the trigger point is from the current price level, the higher your potential payout if you win. A point which is located nearby is easier to reach, and therefore would pay out less since the risk is lower. If you say that the asset will touch the trigger point, and it does, anytime within the expiry period, you win your trade and the payout. If you are wrong, you lose your investment.
One thing that is exciting about One Touch trades is that you will typically encounter much higher payouts for these types of trades. This is due to there being more risk associated with them. There are also variations on the One Touch trade, though not many brokers offer these. No Touch trades are just like One Touch trades, except that you are betting that price will fail to reach the trigger point. There are also Double One Touch and Double No Touch trades involving multiple values. Boundary trades, also known as Range trades, involve trading in a channel.
One aspect of technical analysis which you will learn when you are studying how to trade is the concept of a channel in which price ranges. The upper and lower limits are determined by support and resistance. Price will test these limits and will generally stay inside them, though price will eventually pass these limits and enter into a new range. With a Boundary trade, you are essentially doing a Double No Touch trade. You are stating that price will stay within a certain range which is bounded by two trigger points.
If price stays within that designated range during the entire trade, you win. What is great about Boundary trading is that it allows you to profit even in flat markets when price is staying relatively stable. Since you can only profit based on price movements in most trading situations, this is a unique opportunity in the binary options world which you will not discover elsewhere. Only a minority of binary options brokers offer Range trading, so if this is an opportunity which interests you, you will need to look for a broker which does offer you this type of trade. 60 Second trades have become extremely popular in recent months.
Almost every binary options broker out there now offers them. Low trades which I talked about before, except that the action blazes by in just one minute. The expiry time for 60 Second trades is always one minute. A word to the wise: these super-fast options are not for everyone. You can make a great deal of money this way if you are skilled at working with small timeframes and acting fast, but the majority of traders who jump into these trades without planning and testing will discover that their money is gone in 60 seconds. Do some demo testing first to make sure that this type of trading is right for you! One of the most exciting types of trades which I have only recently noticed binary options brokers providing is Long Term options.
These options are just the opposite of 60 Second options. Instead of being designed to last a very short time period, they are designed to unfold over days, weeks, or even months. You will find a variety of expiry times available. But I don’t want to sit around in a trade for weeks just to find out if I have won or lost. Why would I do that when I can make money in just 60 seconds?
That is a typical reaction from binary options newbies, which is the reason that this type of trading has not really taken off. Nonetheless, you will find more and more brokers making these longer expiry times available. So this begs the question: why would you want to sit around in a trade for weeks or months? Long Term trading doesn’t exactly offer up fast-paced action.