What is a binary option? A binary option is a financial instrument based on a simple yes or no question where the payoff is a fixed amount or nothing at all. This means binary options offer defined risk and clear outcomes on every trade. Each binary option trade starts with a question - will this market be above this price at this time? If the answer is yes, you can buy the option. If it’s. A Guide to Trading Binary Options in the U.S. FACEBOOK TWITTER LINKEDIN By Cory Mitchell. Updated Jun 23, 2019. Table of Contents. Expand. U.S. Binary Options Explained. A Zero-Sum Game. Binary.com is an award-winning online trading provider that helps its clients to trade on financial markets through binary options and CFDs. Trading binary options and CFDs on Synthetic Indices is classified as a gambling activity. Remember that gambling can be addictive – please play responsibly. Learn more about Responsible Trading. Some. A binary option is a financial product where the buyer receives a payout or loses their investment, based on if the option expires in the money.Binary options depend on the outcome of a yes or no. Since 2008, investing and making money online with binary options has become increasingly attractive to investors and individuals who invest in shares, equities, currencies, and commodities. There are only two options in binary trading; hence the use of the term “binary”. It is almost like placing a bet, in that you are wagering that an asset will increase Nadex Binary Options turn every trade into a simple question: will this market be above this price at this time. Touch Bracket™ contracts. A Nadex Touch Bracket has floor and ceiling knockout points. This structure can maximize effective leverage and provide natural profit targets. A binary option is a financial exotic option in which the payoff is either some fixed monetary amount or nothing at all. The two main types of binary options are the cash-or-nothing binary option and the asset-or-nothing binary option. Binary options can be used to gamble, but they can also be used to make trades based on value and expected profits. So the answer to the question will come down to the trader. Advantages of Binary Trading. The main benefit of binaries is the clarity of risk and reward and the structure of the trade. Binary options are easy to trade, but as with anything new, getting down the basics requires some study and practice. Watching an experienced trader go through the entire process of planning and executing trades can certainly help. That's why I put together a multimedia instructional package, Binary Options: Fixed Risk, Known Cost. Binary options allow you to trade on a wide range of underlying markets. One of the advantages of trading binary options is that you are not buying or selling an actual asset, only a contract that determines how that asset performs over a period of time. This limits your risk and makes it easy for anyone to start trading.