Learn to manage your money and assets in binary options trading

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Best Binary Options Broker 2020!
    Perfect For Beginners!
    Free Demo Account!
    Free Trading Education!
    Get Your Sign-Up Bonus Now!

  • Binomo
    Binomo

    Good Choice For Experienced Traders! 2nd place in the ranking!

Best Binary Options Money Management Strategies

Updated on: 6 January 2020

An efficient winning strategy in binary options also contains money management. The money management part in binary options is not a strategy that will help you predict the movement of certain assets. It’s a strategy that will help you manage your assets well in order to achieve your desired profitability ratio.

Money management is generally ignored by most binary options traders. This is because they believe that it’s enough to be able to predict the movement of the assets and everything else will follow automatically after this. However, if you don’t have the necessary discipline in order to manage your finances you might actually end up losing money rather than winning.

A good binary options money management strategy basically has two main parts, which are taking some risks as well as having the discipline to abide to the rules that you have proposed in your money management strategy.

There are a lot of binary options money management strategies available. Below in this article we tried to outline most of these strategies. Based on your trading style and goals you may decide yourself which strategy you’d like to use.

Hot in 2020: Cryptocurrencies are the biggest gainers in 2020. You should register at Bitcoin Trader in order to make a lot of money. Bitcoin Trader is a trading bot that will invest in Bitcoin when it’s starting to go up and sell when it’s starting to go down. You can make up to 5% to 10% gains every day with Bitcoin Trader.

FEATURES WE LIKE

Most Efficient Money Management Strategies

First of all we’d like to reiterate the issue about discipline. Sure, you will be trading with your own money and as such you can do whatever you want, however if you’re really committed towards making money in binary options then you will have to have discipline and follow the proposed strategies to the letter.

Below we tried to compile a list of the best binary options money management strategies. We won’t tell you which strategy to use, however after reading the below descriptions you will be easily able to find the strategy that best fits your needs.

The below strategies focus on establishing various minimum winning or maximum losing requirements and limits. The idea is that once you reach the proposed limits you will have to stop trading no matter how much money you have won or how much money you have lost.

Number of wins & number of losses

This is one of the most common money management strategies in binary options. If you use this strategy, you will have to propose yourself a daily total number of wins or loses limit. Once you reach one of these limits you will immediately stop trading.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Best Binary Options Broker 2020!
    Perfect For Beginners!
    Free Demo Account!
    Free Trading Education!
    Get Your Sign-Up Bonus Now!

  • Binomo
    Binomo

    Good Choice For Experienced Traders! 2nd place in the ranking!

For example, you may propose to win a maximum of 10 times per day. Once you have reached this limit you will stop trading. This is because it may happen that you may get caught up in the heat and enthusiasm and may become reckless in the process of purchasing new contracts.

This is a common psychological reaction among financial traders and you should not underestimate it.

Likewise, you should also propose a maximum loss requirement. If, for example, you have lost 10 trades today you decide to stop no matter what. This is because if you just propose a maximum winning requirement you may as well lose 100 trades before you win 10 (usually never happens but we overdramatized it for the sake of the example).

This way if you have lost 10 times during the day, you will stop trading no matter what. This will prevent you from running after your money, something that’s also a common psychological phenomenon observed among financial traders.

Percentage of losses

This is basically the same as the above-mentioned example only in percentages. However, this money management strategy is more permissive because it won’t limit you according to the number of trades won.

Instead, this strategy calls for you to stop immediately in case a certain percentage of your trades are unsuccessful. For example, you may propose a percentage of 20%. If you’re good, you may only reach this percentage after 100 trades or never at all. However, you may as well reach this percentage after 10 trades after which you should stop for the day.

Amount of wins & amount of losses

This strategy is also very similar to the first one with the only difference being that you propose to win a maximum of $X per day and not lose more than $Y per day. If you reach one of these limits, you should stop immediately.

For example, you may propose to win a maximum of $100 per day and not to lose a maximum of $50 per day. Once one of these limits is reached, you should stop trading immediately.

We know it’s hard to stop when you have unfortunately lost but please do not run after your money, it will make things worse since most people are very emotional in these situations. Trading online is about being rational and objective.

Number of trades

This strategy requires you to stop trading after you have executed a certain number of trades regardless of the outcome of those trades. You can also combine this strategy with any of the above.

Winning ratio

And the last binary options money management tip is to watch your winning ratio. If this winning ratio drops below a certain level, such as 80%, you should stop trading. You will have to calculate your winning ratio after each trade you execute. The best thing to do is to use an excel file for this purpose.

Risk Level Strategies

Now you might be asking what the best percentages and ratios are in the case of the above-mentioned strategies. Like, what’s the best minimum winning ratio, for example. This will depend on the risk you are willing to take.

Below we have established the recommended rates and percentages for the above-mentioned strategies taking in consideration the risk level you are willing to take.

Low risk strategy

A low risk binary options money management strategy is for those who do not wish to take high risks. This will result in fewer profits but generally few or no losses at all.

Number of wins & number of losses

– Stop trading after 10 wins

– Stop trading after 4 losses

Percentage of losses

– Stop trading after 8% losses

Amount of wins & amount of losses

– Stop trading after $50 profits

– Stop trading after $25 losses

– Stop trading if the winning ratio becomes lower than 80%

– Stop after 10 trades

Medium risk strategy

The medium risk money management strategy is for those who would like to earn some extra money but still aren’t 100% sure if they want to go all in.

Number of wins & number of losses

– Stop after 30 wins

– Stop after 10 losses

Percentage of losses

– Stop after losing 15% of your contracts

Amount of wins & amount of losses

– Stop after winning $150 in a session

– Stop after losing $50

– Stop if your winning ratio becomes less than 75%

– Stop after 50 trades

High risk strategy

The high risk strategy is for those who are not afraid to lose large sums of money with the prospect of making huge profits fast. This risk assessment binary options strategy is only recommended to experts.

In this case, we’ll be allowing for a bit more flexibility and have defined the limits a bit loose (defined by the + sign).

Number of wins & number of losses

– Stop after 100+ wins

– Stop after 30 losses

Percentage of losses

– Stop if you lose 25% of your trades

Amount of wins & amount of losses

– You are already an expert, so you do not need a maximum win amount limit.

– However, stop if you lose more than $100 in a session

– Stop if your winning ratio drops below 65%.

– You can trade as much as you want, however in this case choose another limit from the ones mentioned above.

General Tips and Guidelines

There are also some general tips and guidelines when it comes to the money management strategies mentioned above. The first is that you may also naturally use different numbers and percentages than the ones listed above (but still in the range of the ones mentioned by us.)

In the beginning and if you are a newcomer you should still strongly consider using the limits written above in the case of the low risk strategy though. Later on you may establish your own limits by slightly modifying the ones mentioned by us.

However, no matter what kinds of limits you use you should ALWAYS have the discipline to stick to those limits no matter what happens. This is one of the most important things to keep in mind.

Another suggestion is that you may combine two or more of the above-mentioned limits. For example, you may propose to not lose more than 10 trades per day and not trade more than a total of 50 trades.

The rule in this case is that you should stop trading whenever one of these conditions is met. For example, if you have lost 10 times but you only traded 20 times you should stop, even though you also proposed to trade a total of 50 trades.

And this is all we have to teach you in this binary options strategy article. Remember, a proper binary options trading money management strategy is essential in becoming a winning trader, so this guide is perhaps one of the most important pieces of advice we can give you.

If you want to learn more about how to win in binary options and binary options strategy then feel free to browse though out additional articles. And like we always say: trading binary options successfully doesn’t depends on luck, it depends on commitment and discipline.

Please verify you are a human

Access to this page has been denied because we believe you are using automation tools to browse the website.

This may happen as a result of the following:

  • Javascript is disabled or blocked by an extension (ad blockers for example)
  • Your browser does not support cookies

Please make sure that Javascript and cookies are enabled on your browser and that you are not blocking them from loading.

Reference ID: #f859eca0-7785-11ea-8811-698d741517a1

Binary Options Course For Beginners

Требования

Binary options trading is an excellent financial tool for both beginners and advanced traders alike.

In this binary options course: binary options basics, binary options alternatives, binary option brokers, binary option trading strategies and more..

A binary option is a financial opportunity that offers investors a fixed price and a fixed return. Binary options are also known as fixed options or digital options and are traded only on the internet.

About the Binary Option Course

Binary options combine the analytical aspects of day trading with the lucrative features of traditional options trading so traders can maximize their profits while minimally investing in time and/or capital.

Forex, commodites, indices and stock shares can be traded with the binary options system. In this course you will learn how to trade call options and put options and what the benefits are.

Quite simply, a binary option is a financial tool that allows you to predict if the market price of an asset will rise or fall within a certain time period. The period of expiry can range from one minute to a number of days, depending on your choice.

This course contains not only >40 minutes of video, also some interesting links and documents are enclosed. You are a trained binary options trader in as little as 45 minutes. Are you ready to make profit?

  • Beginner stock traders
  • Professional stock traders
  • Traditional options traders
  • Forex traders / Currency traders
  • What are Binary Options?
  • A Trading Demo

  • Reasons to trade binary options
  • Advantages of binary options trading
  • Expiry times
  • What assets can be traded?
  • The Three Step System
  • Choosing a Broker
  • How to be successful
  • The Difference with Traditional Options
  • Fundamental Analysis
  • Technical Analysis
  • Trend Analysis
  • A Broker’s Review: CherryTrade (USA traders accepted)
  • A Broker’s Review: Redwood Options (USA Traders Accepted)
  • A Broker’s Review: GOptions (USA Traders Accepted)
  • A Broker’s Review: Boss Capital (USA Traders Accepted)
  • A Broker’s Review: Grand Option
  • A Broker’s Review: Option Time
  • A Broker’s Review: Interactive Option
  • A Broker’s Review: 24Option
  • A Broker’s Review: 67Option
  • Summarizing
  • Binary Options Quiz
  • Get Your Free eBook
  • Contact me
  • Risk Warning
  • 4,0 рейтинг преподавателя
  • 556 отзывов
  • 11 713 студентов
  • 2 курса

Thank you for your interest in reading this little biography about me.

My day job is instructor at an vocational school is the Netherlands. I have been working here for five years now and train students to be an entrepreneur. I have workes as an assistent shopmanager in a computer store for about 8 years and learned a lot about dealing with the different types of people entering a store daily. I can perfectly determine how to treat a person and almost read him/her like a book. This can come in handy when working at a school which is what I do now.

My job at school is to manage a study centre, give technical support to students and co-workers, and much more. I am more like the center of gravity for our department and assist wherever I can.

Not only am I interested in trading the financial market, hence the binary options course I offer on Udemy, I am also interested in SEO, internet marketing, sales letters writing, WordPress, cars, and more.

I have been blogging about forex and binary options for a while. My website is frequently visited by both novice and professional traders. Binary options and forex have my interest for being relative easy to trade and make a little profit from it.

I signed up with Udemy to spread the word about trading. Domain name investing and trading is a way of trading I recently dived into. But also the speed and high returns on binary options trading is a topic I keep in touch with on a daily basis.

Trading stocks or whatever you would like to trade does not have to be a fulltime job. In fact, I think it can easily be done in your free time.

A course is a living thing. It has to modified and updated every now and then. If you have any remarks or comments, please feel free to send me an e-mail or leave me a message here on the Udemy platform.

I strongly believe that nothing would ever be perfect, but if we never give feedback, nothing would ever come close to being perfect as well.

Best Binary Options Brokers 2020:
  • Binarium
    Binarium

    Best Binary Options Broker 2020!
    Perfect For Beginners!
    Free Demo Account!
    Free Trading Education!
    Get Your Sign-Up Bonus Now!

  • Binomo
    Binomo

    Good Choice For Experienced Traders! 2nd place in the ranking!

Like this post? Please share to your friends:
Guide How To Become Binary Options Trader
Leave a Reply

;-) :| :x :twisted: :smile: :shock: :sad: :roll: :razz: :oops: :o :mrgreen: :lol: :idea: :grin: :evil: :cry: :cool: :arrow: :???: :?: :!: