Trading binary options has become popular in the US ever since 2008. In 2008, the SEC approved trading binary options in the United States. Since then, we have had tons of brokers that claim to be the best. Before you grab any broker, I will teach you what to look for before you do it. There are so many elements to being a good broker, so please stick with me.
A broker would give you a trading platform that belongs to him. This platform is the middleman between “you” and the “exchange.” Knowing this, you should always compare brokers based on only the services they offer you. No more. No less. Along with that, there are some other criteria you check to get an all-around decision.
Some brokers allow you to trade everything, while others limit your trading options. Of course, your options will be limited if you choose the wrong broker. Brokers offer many types of trading; boundary, ladder, touch, pairs, and more.
So brokers have different trading costs, bonuses, environments, and payouts. Compare all these before you choose your trade.
Some shady traders do NOT provide flexible expirations. Instead, they will get you stuck in a deal with long expiration dates. Just Beware!
Look at the minimum deposit brokers allow. It can range anywhere from five dollars to two hundred fifty dollars.
Check if the broker allows a demo account facility for testing.
Make sure your broker has customer support. Some don’t have any, and others have 24 Hr instant support.
Check if these brokers are regulated. If they are, research the authority.
The best scenario is this. You would get a secure trading platform, numerous bonuses, and a 90% payout rate. Along with that, make sure your broker has good flexibility for trade expiration.
As I said, the broker is the middleman. So, how do they make money? Firstly, they get a margin of an OTC trade by simply being a counterparty. The margin is significant mainly because both sides are hedged. The broker does have protection in case he wouldn’t get enough margin. Secondly, they make money from being the middleman. They charge a commission for matching the buyers and sellers. The commission is an amount inside the transaction. The tighter spread in buy and sell prices makes your trading cheaper.
There are so many brokers in the market, and they all have different features.
Some brokers are only good at short-term trades, while others excel at boundary trades. In this case, you would want two accounts to benefit from both.
You might open lots of demo accounts with different brokers to get experience. People do this to train before they get into the real trading world.
Having accounts with multiple is the same as having your eggs in different baskets. If one loses money, you have it diversified enough.
You would get various signup bonuses from opening accounts with multiple traders. In other cases, large deposits will give you rewards. So if you are depositing large amounts to get a bonus, having multiple accounts may not be for you.
You NEED to assess a lot of factors before choosing a broker. Some of them are listed below.
Choose based on the financial you want to trade. Some brokers may not offer the one you are interested in trading.
Brokers will take a fee from your payout. Usually, this is around 10-15%. So make sure you choose one that will maximize your profits.
Brokers sometimes set outlandish minimum deposits. Just get one that offers a reasonable minimum.
Ensure that trader allows demo accounts. It is a testing facility for you to practice trading.
Lots of countries regulate their brokers. So make sure the broker you choose is up to snuff. I would hate for you to get legal complications.
Brokers offer many different methods of payouts. Be sure the payout options are secure: and you are comfortable with them.
We live in an instant. Confirm that the broker you choose allows instant payouts. It will be so much better in the long run.
We are all busy and can’t always use our laptops for trading. Make sure the platform you choose has an IOS and Android app.
There are a lot of restrictions on the financial market. The regulatory bodies from other countries make these rules. They regulate the brokers and help protect us as traders. They can legally provide help if you have a dispute with a trader. Some of the regulatory bodies are:
Australian Securities and Investments Commission in Australia (ASIC)
Commodity Futures Trading Commission in the United States (CFTC)
Financial Conduct Authority in the UK (FCA)
The Cyprus Securities and Exchange Commission in Cyprus and the EU (CySec)
Financial Services Board in South Africa (FSB)
I would recommend getting a regulated broker. They are more reliable, and they can ensure your protection.
You should ensure the broker does what it “says” and has reviews. A lot of brokers are scammers and take your money. When you spot a reliable, use it. These factors can help spot a reliable one.
A Regulatory Authority
Free Demo Account
Reasonable Minimum Deposit
No Hidden Fees
Now that you know what is in a good broker, we will compare the top ones for you. You will see the details and features of each broker in this list.
Gembell Limited manages the pocket Option broker. It started its operations in 2017 and has its registration in the Marshall Islands.
Its trading platform is safe and secure and provides versatile facilities for traders
It offers trading in 100+ financial assets
It provides a demo account facility
It offers deposit bonuses to encourage new traders
It ensures a 24/7 professional support system
It does not charge any fees for deposits and withdrawals
IQ Option, formed in the year 2012, is quite popular among the trading community. The detailed features of the company include: –
Regulated under CySEC
It provides a free demo account
It provides access to 500 various instruments
It provides 24/7 support
It allows a minimum deposit of $10 and minimum trade amount of $1
Very reliable and trustworthy platform
Quotex belongs to the Seychelles brand of Cypriot financial holding, which has received an authorized Center for Regulation of Financial Markets Relation (CROFR) certificate. It offers access to various financial assets and trading indicators.
It offers enhanced safety and security, and the data leakage risk is left behind
It has more than a dozen technical indicators for trading with charts and provides a universal trading platform
Quotex has an easy trading platform, and access to it is quick and fast
It has a multilingual customer support system that offers 24/7 service
Finmax has become one of the leading brokers of the world ever since its launch in 2015. The Financial Market Relations Regulation Center (FMRCC) regulates it.
It is a regulated broker
It offers multiple account types
It provides excellent payouts
The withdrawal process is fast
It provides different tradable assets
However, it also has a demerit as it does not support ECN trading apart from the benefits mentioned above.
Binomo, founded in 2014, is one of the best binary options brokers due to its client-oriented approach. In addition, it provides a wide range of financial instruments that offer favorable trade and investment terms.
It offers trading in 70+ financial instruments
It provides different option types such as Binary Options, Pair Options, Long Term Options, Touch, and 60 seconds
It offers a deposit bonus of up to 110%
It provides a Spotoption trading platform that is client-friendly and easy to use.
Olymp Trade, founded in 2014, is a Russian trading platform and is owned by Smartex International Ltd.
It provides an Olymp Trade trading platform, an excellent choice for traders due to its adaptation to different screen resolutions
Its welcome bonuses are up to 100%
Regulated under FINACOM
The broker keeps the deposits with the European bank
The Expert Option has official registration in the UK, which is active in the financial markets since 2015.
Demo Account facility
Technical tools for extensive analysis
Russian Federation certified broker
It offers an attractive minimum deposit facility of $10
But, besides the merits, it has also got a demerit of a limited choice of options maturity.
The Binarium trading platform, founded in 2012, is regarded as one of the best among the multilingual forex brokers.
One request per day and limit per day $ 200 and per month $1,000
Two requests per day and limit per day $ 500 and per month $2,500
Five requests per day and limit per day $ 1,000 and per month$20,000
Five requests per day and limit per day $ 5,000 and per month $50,000
From $ 5,000
Unlimited requests per day and limit per day $ 15,000 and per month $1,00,000
A unique trading platform
Available training materials
Several financial assets for trading
It offers minimum deposits and insurance for transactions.
The broker began its active operations in 2010. Its main features include:
The broker offers an automated trading platform that generates trading signals and places orders on behalf of traders. It started its operations in 2016. Its main features include:
Min. Trade Price
Automated Binary trading platform
All assets are available.
Trend, CCI, RSI,
FinRally is an international broking firm and uses enhanced technology for the protection of data. Its features include:
Up to 100%
Cent Project Ltd, which is a subsidiary of Finance Group Corp, owns Binarycent. The various features of BinaryCent are listed below:
The trading platform RaceOption belongs to Race Projects company having its registered address in Seychelles.
High-speed withdrawal request processing
Different payment methods for replenishment
24/7 customer support service
The legal entity “Advanced Binary Technologies Ltd” owns it, which started its operations in 2014. It has registration in Saint Kitts and Nevis. Its main features are:
Currency pairs, indices,
It belongs to the IG Group in London, UK. Its features are:
Stock Indices, currency pairs & Crypto
The broker offers an automatic robot trading service, which got launch in the cryptocurrency market in 2017. Its features include:
Automatic Robot Trading Centobot
The broker allows the trader to open the purse on the resource (for cryptonym), and intelligent contracts regulate the financial transactions. Its other features include:
Registration in the Cayman Islands
Binary Options, shares, commodities,
currency pairs, cryptocurrencies, etc.
The In Trade Bar is a binary options broker with origins in Russia but claims its registration in the UK.
It is Georgia based trading platform, which delivers the trading process seamlessly. Its main features include:
It offers users to make money from binary options and cryptocurrencies. Its features are:
*General Risk Warning: Your capital might be at risk
Do your research on the best one for your scenarFirst, makeMake sure you know all the requirements, caveats, and features of each one you consider. Then, after you have evaluated everything, choose the one you think fits you well.