In todays market, investors can often get confused with the various trading instruments and products available on the market, especially to retail investors. Options trading has been around for some time, its main focus in the beginning was on institutional investors and slowly this focus moved to more retail or casual investors. With the advent of Binary options, this has opened up the market to even more "casual" investors, investors wanting to take a short term contract that offers higher then average payout/dividends. It is important that those investors understand the difference between a Vanilla Option and a Binary Option.

Scalping Trading Tip We recommend 24Option for binary options scalping. 24Option has binary options with a very short expiry time (60 seconds). These derivatives are perfect for binary options scalping. Click here to start scalping.

Cherry Trade are based in Gibraltar, and have been in operation for just over a year (Established 2014). They are powered by the Spot Option Platform which is the most technologially advanced Binary Options Trading Engine that exists today. Due to their use of the Spot backoffice and engine, they have the facility to not only provide excellent trading options, but they also have a superb suite of user tools and learning resources that make them a great option for Binary Options customers. They accept traders from just about every country you can think of (including the USA) so there us no reason not to sign up.

Binary options signals are a type of alert that investors can choose to receive from a binary options trading platform in order to make decisions about which binary options to buy and Amsalumni.Kku.Ac.Th sell. The most common way you can sign up to receive binary options signals alerts is through a binary options signals broker service.

As Magnum options no longer accepts US traders, in case you are from US we recommend you to check other brokers such as CTOption, GOptions,Porter Finance and Bloombex. The best way to get everything out of this article, is to first open a free account to Magnum Options by clicking the button below. After that you are able to test the features alongside while are reading this review.

In the financial markets, scalping is a trade technique that is used to skim profits from the market by opening and closing positions within minutes. The scalper’s dream is to pick a few pips here and there, utilizing little drops of water to eventually make a mighty ocean. If practised well enough, a trader can easily master the art of scalping and become very successful at it. That is why many brokers hate scalpers with a passion, because a good scalper can easily beat a broker acting as a counterparty dealer.

The biggest feature of binary options is the fact that the payout is known in advance while with plain vanilla options the return will fluctuate during the life of the option. For the trader this means tha binary options are simples because they know in advance how much they stand to win or lose.

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A vanilla option is the name given to a ‘normal’ type of option, with no special or particular features. As the name suggests, its a normal or standard option available on the JSE to most investors. Compare this to a Binary Option, in that Binaries are different when you consider the payout and pricing structure. Binaries are often much cheaper then their Vanilla counterparts. The reason for this is that in Binaries, the return is always known and is always fixed and ultimately this aspect controls the level of risk available on a Binary option. It is important that traders are familiar with the basic concept and ideas of options trading before starting to trade Binary Options online.

Generally speaking, only charts as low as 1 minute and a maximum of 15 minutes should be used for binary options scalping. The essence of doing this is to ensure that whatever information that has been gleaned from the charts after technical analysis is something that will play out within the shortest time frame possible. You cannot for instance, use a four hour chart for analysing a trade that is expected to play out in 20 minutes. Binary options scalping is a highly speculative method of trading and it must be thoroughly practised by the trader on a demo platform before being applied to the live market. If used by inexperienced traders, it will lead to more losses than wins. But if used after experience in the technique has been gained, the trader will be able to smile to the bank at the end of every trading day.