In order to diversify their investment portfolio for many forex traders trade on the binary options market. If you want to do the same but you do not know on what assets you commit, here are the four main
The raw materials cover a range of industrial sectors : the agricultural sector, the mining sector and the sector relating to the production of electricity. The raw materials are divided into two large families : the hard such as the natural resources that must be extracted or harvested (rubber, oil, gold, copper, etc) and soft which come from the agricultural sector (soybean, wheat, sugar, etc).
The raw materials are the binary option asset the more volatile. If the volatility allows you to find the best trading opportunities, it leads also to a risk much more important for investors. It is necessary, therefore, to hope to make a profit to master the subject perfectly.
The market on which exchange the international currencies is called the forex. It is the largest market in the world with an average of $ 3 billion of turnover each day. If the forex is very large, it is also very liquid.
Most of the traders are trading currency say major as the USD, AUD and NZD, the euro, the pound, the japanese yen and the swiss franc. There is still hope to make a profit, it will be necessary to master the art of technical analysis and fundamental.
The indices are statistics used to measure a market, economic or financial. They correspond to a basket of assets considered to be representative of the sector. For example, the industrial average of the Dow Jones index that measures the stock market in the United States is based on the share prices of 30 u.s. companies traded on the stock exchange of New York and the NASDAQ.
With the indices, the traders on binary option can reach out more broadly in financial markets, and this without having to investor in each of the components of the index. Usually, on the market of binary options, indices are the assets most prized.
In the trading action, the traditional investors are really investing in the shares of the companies as such. On the binary options market, traders invest in the performance of the shares over a defined period of time. The return on investment therefore depends on the amount invested and the payout ratio. If the trader correctly predicts the direction the price of the share then it will be » in the money «. In the contrary case, it will be found » out the money «. If you are new to binary options, it is perhaps the asset class to start with because you will easily find the information needed to negotiate them.
Now that you know the different types of assets available to trade on the binary options market, you make your choice !
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