IQ OPTION PLATFORM GRANTS ACCESS TO CLASSIC OPTIONS
IQ OPTION: boost your income with classic options
The wonderful news about the possibility of trading in classic options was presented by one of the best binary options brokers – IQ Option. One of the simplest and most reliable platforms has introduced this new opportunity for even greater trading profitability.
IQ Option is one of the most popular platforms on the binary options trading market. This innovation was primarily aimed at expanding the available portfolio of assets and more thoughtful risk management. The purpose of creating this trading instrument was also to increase the overall profitability of the usual financial instruments that were already well known to the trader.
Classic options from IQ Option provide access to trading the stock of more than 500 of the largest US companies!
Classic options have been recreated in the image of all well-known options that have become widespread in the US. They are based on the prices of more than 500 of the world’s largest companies.
IQ Option cooperates with 13 stock exchanges to obtain reliable information on price changes. This will allow all traders to gain experience in trading classic options with the help of the IQ Option broker.
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What do we know about classic options?
Trading classic options is very similar to trading all well-known binary options. What is the essential difference between these two kinds of options?
The income from trading binary options is limited to the maximum percentage of income. In the case of trading in classic options, income is almost unlimited. The increase in profitability will depend only on the direction in which the price moves.
The most important factor is the opportunity to complete the transaction at the right time. This significantly reduces the risk of losing revenue on such transactions.
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Principle of operation
The size of the contract is determined by the volume of your investments – this is the number of options available to you for trading. IQ Option does not limit the minimum contract size to a hundred options.
Using trading in classic options, you can buy one option at the minimum price of $0.06. Factors that determine the price of each option (example):
- The best market price of the underlying asset
- Time to expiration
- Volatility
- Strike price
The strike price is the price level that, according to a trader’s forecasts, will be reached or surpassed by a specific asset before the expiration of the contract. Depending on your choice of asset, you can be provided with up to 5 strike-price options to choose from.
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How to use classic options in trading
When the chart shows the actual price approaching the strike price, the value of the option you chose rises, but when the chart shows the price withdrawing from the strike price, the contract price will decrease proportionally.
As a result, we can note the proportionality of the contract price and risk. The indicator of the level of risk is the strike price. The lower the strike price the less you risk losing on the deal. Conversely, the higher the price, the greater the risk.
The loss of money in such a transaction is limited only by your investment. Profitability in this case is unlimited. The movement of prices in the right direction will raise your level of income. The higher it is in relation to the strike price, the greater will be your profit.
The first three months of using this tool will be COMMISSION-FREE. General Risk Warning: Binary options trading carries a high level of risk and can result in the loss of all your funds.
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