Binary options training: How to become a binary options trader
Binary options trading requires no diploma or prior training in order to trade assets such as raw materials, currencies, stocks and indexes, however the novice binary options trader should create a very specific action plan to learn about binary options in ideal conditions. This action plan is divided into several phases:
Choose a regulated broker: Choosing a good binary options broker is paramount. In fact, there are a number of brokers on the web who engage in fierce competition. To begin, choose a regulated broker by consulting a comparison of regulated binary options brokers. Once you have done this, think about getting proper training to become initiated in binary options trading.
How do I get trained? Binary options brokers offer a number of training tools on their trading platforms. Are you more independent or do you need regular follow-up? If you are independent, buying a book about trading would suit your needs, and the binary options brokers also provide trading guides dealing with a number of important subjects such as initiation to the broker’s platform, as well as trading strategies and techniques. On the other hand, if you require assistance, it is wise to take advantage of trading seminars facilitated by professionals. Generally these trading seminars are free and you receive quality training from an expert.
Start off with a demo account: After completing training to help you understand the basics of binary options, it is important to jump in and try to trade binary options. Demo accounts are a perfect way to practice in virtual mode and to get closer to trading in real mode. However, keep in mind that trading in virtual mode on a demo account allows you to trade up to $50,000 so you have the ability to place a number of positions. This makes the transition to trading in real mode problematic – for this, moving from virtual mode trading to real mode trading must be done cautiously.
Move to trading for real: After having completed all these steps, you will be able to begin trading binary options. However, be sure that you have a very specific trading strategy – what assets should you trade? Raw materials? Indexes? Currencies? You also need to define the expiry level on which you want to trade. For a beginner, it would be wise to chose medium to long-term expiry levels more so than short-term, which is more suitable for experienced traders. Even more importantly, you must control your emotions during a trade to avoid seeing your capital melt like ice in the hot sun, by placing positions without first taking a few steps back.