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Revision as of 04:19, 15 April 2023

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Opening and closing trades

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Frequently Asked Questions


Opening and closing trades is the essence of binary options trading. In this type of trading, traders predict whether the price of an underlying asset will go up or down within a certain timeframe. The trade is opened by selecting an option with a fixed expiry time and a predetermined payout if the prediction is correct. Here are the basic steps to open and close trades on a binary options platform:

Choose an underlying asset: Binary options platforms offer a wide range of underlying assets, such as stocks, currencies, commodities, and indices. Choose an asset that you are familiar with and that you believe is likely to move in a predictable direction.

Select the option type: There are different types of binary options, such as high/low, range, and one touch. Choose the option type that best suits your trading strategy and risk tolerance.

Set the expiry time: Binary options have a fixed expiry time, which can range from minutes to months. Select the expiry time that you believe gives the asset enough time to move in the predicted direction.

Choose the amount to invest: Binary options platforms usually have a minimum investment amount. Decide how much you are willing to invest in the trade and enter the amount in the investment field.

Predict the direction: If you believe the asset will go up, select the "call" option. If you believe it will go down, select the "put" option.

Monitor the trade: Once the trade is open, monitor it closely to see if it is moving in the predicted direction. Some binary options platforms offer tools and indicators to help traders analyze the market and make informed trading decisions.

Close the trade: If the trade is moving in the predicted direction, the trader can close it before the expiry time to lock in profits. If it is moving against the prediction, the trader can close it to limit losses.

Closing a binary options trade is as simple as opening it. Traders can close a trade before the expiry time by selecting the "sell" option on the platform. The payout will be determined based on the current price of the asset and the remaining time until expiry. It is important to note that binary options trading involves a high level of risk, and traders should never invest more than they can afford to lose.

To open and close trades on the IQ Option and Pocket Option platforms, follow these simple steps:

IQ Option:

Log in to your account and select the asset you want to trade. Choose the amount you want to invest in the trade and select the expiration time. Select either the "Call" or "Put" option, depending on your market prediction. Click on the "Purchase" button to execute the trade. To close a trade, go to the "Open Positions" tab and click on the "Sell" button next to the trade you want to close. Confirm the details and the profit/loss of the trade before clicking on the "Sell" button again to close the trade.

Pocket Option:

Log in to your account and select the asset you want to trade. Choose the amount you want to invest in the trade and select the expiration time. Select either the "Up" or "Down" option, depending on your market prediction. Click on the "Trade" button to execute the trade. To close a trade, go to the "Trades" tab and click on the "Sell" button next to the trade you want to close. Confirm the details and the profit/loss of the trade before clicking on the "Sell" button again to close the trade. It is important to note that both platforms offer various trading tools, including stop loss and take profit options, as well as chart analysis tools to help you make informed trading decisions. Additionally, it is important to manage your risks by setting a proper trading plan and not investing more than you can afford to lose.



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