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IQ Option will soon be furnished with yet another attractive FX Options feature. The new trading instrument will be yet another on the platform that will empower traders by combining all the advantages of Forex trading with the appeal associated with options trading.
It is expected to be a highly profitable hybrid. The other major news is that the newly created FX Options feature will be offered to EEA customers as well which will allow them to trade short-term forex.
The idea behind the new instrument is to make things simple on the trading platform, while at the same time giving control of the risk factor to the customer. So, they can set what is acceptable. You can watch the video for more details.
Advantages of FX Options:
- Traders will benefit from an unlimited number of returns which mainly depends on the price of assets changing
- If there is a loss investor will not end up losing all the capital invested. They will be able to choose the risk factor by defining what amount they want to trade
and selecting a strike price. So, they can get the desired return when the asset expires
- Trading will be more comfortable than with using CFDs since you don’t have to bother about leverage, pips, and margins, etc.
The way these payouts work is pretty simple. The customer defines the price at which they would be willing to exchange one currency for the next one. The payout will vary depending on the difference in price between each of the currencies. Also, the starting and end point of the currency value will be taken into consideration. So, the larger the price difference between the currencies the more significant will be your risk but so will be the payout if the odds are favorable.
The feature, in essence, gives the control over to customers who can then manage their risk. However, there are still risks which can’t be controlled like that of the market. Though being able to choose the risk level will help clients minimize their losses while maximizing gains.
At the moment FX Options is available in up to 14 currencies. The expiration times start from a minute and are right up to 5 minutes. The other good thing as mentioned above is that clients can’t lose more money than they invest.
As of late easymarkets has launched their easyTrade that uses a similar concept. Though we think that IQ Options’ implementation of the concept is much better and easier to use.
Open a Free IQ Option Demo Account by Clicking the Green Button Below
General Risk Warning:Binary options trading carries a high level of risk and can result in the loss of all your funds
Binary and digital options are prohibited in EEA
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose.
Start trading now with our recommended Binary Options Brokers.
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