Binary Option Trading - Gambling?

[supersaiyan1111]

This video describes a Forbes.com article that equates Binary Option Trading to Gambling. I think its useful to watch because even though it is opinionated, a Forbes.com opinion does come with some weight. Enjoy~

http://www.youtube.com/watch?v=VwXcUqDj3l0

 

[bellavista507]

This video describes a Forbes.com article that equates Binary Option Trading to Gambling. I think its useful to watch because even though it is opinionated, a Forbes.com opinion does come with some weight. Enjoy~

http://www.youtube.com/watch?v=VwXcUqDj3l0

By no means is Binary options gambling. Well really it is. Yet so is standard mt4 trading. Gambling is definded as "Taking a wager on something without truly knowing the outcome" In no way is gambling definded to the amount one wagers, or the time the wager is for.

In fact options to me is a better option for those of us who are emotional trader. Here is why. In mt4 trading, your stop loss (if you have one) is how you exit a position. In binary it is time. If your a swing trader. Why not trade options? As your position is based on an expectation not within the next several mins to hours.

Basically, news releases, price manipulation, and even your own emotions may tempt you to take a new position or close the one which you have. In options that isn't so. You can wager say of a 2000 usd account maybe 50 dollars, That the price will not touch xyz price over the next 5 mins, 30 mins, 1 hr, etc. That is essentially what your doing when you wager in mt4.

Yet with binary you earn much more money. As the avg payout in winning positions is maybe 80%. If you lose, then you out of the total amount you have wagered. Not one cent more. Yet, remember in mt4 the lower the leverage, the more money you must risk to have a position open.

Forbes are a bunch of uptight, invest in the future blokes. Those who are earning major profits in forex are scalping. They may not be trading options, yet options is forex!

 

[Nyan]

Is it true that BO brokers in their Clients Agreements directly declare that the quotes could be managed by the broker itself (which means you might be offered a quote that doesn't exist)? Heard that from a friend who found this statement on a web-site of a BO broker.

 

[addit]

In this moment for me binary options are more like gambling. I;m a Forex trader and I;m trying to understand Binary options....
I need a strategy!!!
I will try more and maybe I will chance my opinion but for now is looking like a casino without nice girls, free drinks and food!

 

[krecex]

If you think either binary or Forex trading is a gambling, then what are those long and training are given? Surely people won't want to waste their time explaining gambling right? If you still don't want to learn how to trade either in binary or in forex. just leave them alone. And do your own business.

 

[ezrydn]

Binary trading takes more intensive learning than regular Forex. In Binary, you have no :helps," i.e., indys, to support your decisions. If you're unhappy with your Binary trading, it just shows you're not there yet. Oh, sure, get upset, call it gambling, whatever it takes to make you feel better about lacking experience and capacity. I seriously doubt there are any Binary winners that trade it all day like some of you attempt to do. Personally, I only sit on a binary broker for 30 min and then move on. And I win, too.

 

[okon2much]

By no means is Binary options gambling. Well really it is. Yet so is standard mt4 trading. Gambling is definded as "Taking a wager on something without truly knowing the outcome" In no way is gambling definded to the amount one wagers, or the time the wager is for.

In fact options to me is a better option for those of us who are emotional trader. Here is why. In mt4 trading, your stop loss (if you have one) is how you exit a position. In binary it is time. If your a swing trader. Why not trade options? As your position is based on an expectation not within the next several mins to hours.

Basically, news releases, price manipulation, and even your own emotions may tempt you to take a new position or close the one which you have. In options that isn't so. You can wager say of a 2000 usd account maybe 50 dollars, That the price will not touch xyz price over the next 5 mins, 30 mins, 1 hr, etc. That is essentially what your doing when you wager in mt4.

Yet with binary you earn much more money. As the avg payout in winning positions is maybe 80%. If you lose, then you out of the total amount you have wagered. Not one cent more. Yet, remember in mt4 the lower the leverage, the more money you must risk to have a position open.

Forbes are a bunch of uptight, invest in the future blokes. Those who are earning major profits in forex are scalping. They may not be trading options, yet options is forex!

I totally disagree with you on the first part. Binary Trading is gambling, there is no dispute about that. However, many seem to feel FX trading is gambling. Normally, forex trading is just like any other business that anyone can choose to gamble, but FX is not gambling.

 

[supersaiyan1111]

Interestingly enough...the same author also has a video describing a French Financial Organization's warning against binary options

 

[Rambo35]

This video describes a Forbes.com article that equates Binary Option Trading to Gambling. I think its useful to watch because even though it is opinionated, a Forbes.com opinion does come with some weight. Enjoy~

http://www.youtube.com/watch?v=VwXcUqDj3l0

Hi, I do not think binary option trading is equal to gambling. I have been trading them only for a short time, and while it requires a different strategy than forex trading I do believe there are a handful of option traders who are able to generate profits.

I have had my ups and downs as I try to figure out how to generate profits on a more constant base, but it is obvious that with the right strategy you will be able to achieve consistent profitability.

I think those who claim it is gambling have never achieved that goal and it is so much easier to dismiss a task than master it.

 

[Partha25]

Binary trading takes more intensive learning than regular Forex. In Binary, you have no :helps," i.e., indys, to support your decisions. If you're unhappy with your Binary trading, it just shows you're not there yet. Oh, sure, get upset, call it gambling, whatever it takes to make you feel better about lacking experience and capacity. I seriously doubt there are any Binary winners that trade it all day like some of you attempt to do. Personally, I only sit on a binary broker for 30 min and then move on. And I win, too.

 

[garena]

I don't know how a binary option broker earn money, can someone tell me? Are they earning like a casino? You win, they lose and otherwise. If they work like a casino, I think I had better avoid them.

 

[eyeball]

Gambling ??

The real reason most self -designated experts and many financial writers call binary's gambling is the negative payout percentage. In their trading world all price outcomes are random and therefore unpredictable. In their view the best a binary trader can do is achieve a 50/50 win loss ratio and further presuming a payout of only 70-80% on wins and a pay-down of 100% on losses the 50/50 scenario will be an automatic loser which they equate to the house percentage in a casino, ergo the gambling metaphor. I take issue and exception to their basic premise of randomness. There is causality (a reason) either technical or fundamental, for every single bar on every single forex chart ever printed or that will be printed in the future. Our job, as traders and analysts, is to determine that reason, and once understanding it use it to our advantage by trading profitably.To blithely label binary's as gambling is to misunderstand the very essence of financial trading in forex, stocks or bonds. Forbes can do better than this.

 

[ahada143]

i want to know that binary really paying. i doubt something binary not paying. but forex is paying. i earn from forex huge money.

 

[inggo]

just like what eyeball said. its a matter of how you look at it, if you trade treating it like gambling then its a gamble, but there are parameters that we are given to actually conduct the required analysis to further grow out chances of hitting a bigger percentage of wins over loses, when that happens and you earn i doubt people will see it as gambling, lol im looking into binary trading and might join optiontrade if not this year maybe the next if im ready

 

[garena]

i want to know that binary really paying. i doubt something binary not paying. but forex is paying. i earn from forex huge money.

I have read many feedback that binary trader get paid well from some binary options. I don't want to list any name here, you can google for them. to me, I thi binary option and forex are same.