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The most common type. Traders predict whether the asset price will be higher or lower than the current price at expiration. A correct prediction yields a payout.

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Underlying Asset: The financial product you’re trading, such as a currency pair like EUR/USD, a commodity like gold, or an index.

Trading binary options is a relatively simple process, especially for beginners. Follow these clear steps to get started and improve your chances of success:

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Binary options are a type of financial derivative that let traders speculate on the price direction of various assets, including stocks, currencies, commodities, and indices. The term “binary” comes from the two possible outcomes of a trade:

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No, binary options themselves are not a scam—they are a legitimate form of financial trading. However, the here industry has gained a poor reputation due to the presence of unregulated brokers, fraudulent platforms, and deceptive marketing practices.

In many jurisdictions, binary options are lightly regulated or not regulated at all, get more info increasing the risk of scams and fraudulent brokers.

With expiration times starting from as little as 60 seconds, traders can see fast outcomes and take advantage of short-term market movements.

South Africa’s regulatory body for non-banking financial services. It oversees more info binary options brokers serving the African market, promoting fair practices.

While both binary options and traditional options enable traders to speculate on asset price movements, they differ greatly in structure, risk, and strategy. Understanding these differences is crucial for choosing the right trading approach.

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