Binary Options is it Gambling? Yes! No!

Who lives outside Binary Options says it is Gambling. Who are inside says it depend on how you trade Binary Options. Yaikssssss.... So both parties agreed that this is gambling. Right?.... Wrong!...

Let me explain you this. Since it is binary you have only 2 options (High/Low or Call/Put) if you blindly choose a direction and make the trade. If you are not watch the market movements. If you do not analyze the market and other conditions. Then you are gambling. When it is gambling soon enough you will loose your money very fast.

What if 

1. First you study what is binary options is  
2. Second you study how to read financial market charts
3. Third you study what support and resistance lines are.
4. Fourth you study how to incorporate those SR lines and  indicators to predict the market movement.
5. Fifth you study how determine the expiry time. 
6. Six you study about money management.
7. You place the trade when all those fits in a line together + money management in place.

Then we can say that person is not gambling. Because he/she knows the market. How the market behave for the next x of time. He/She know how to manage his/her money.

Watch the following video explaining whether the Binary Options is gambling or not more deeply....

Believe me if and only if you follow those steps you are not gambling.

What I will do with this blog......?

As a newbie to binary options trading I thought of writing my experiences and trading diary in this blog daily. The tools I'm using. Other websites, blogs I'm following. About articles I'm reading.... and every thing about binary options. So I hope that this will help anybody who is willing to do binary options for extra money or for living. Hope that someday I will join the pros in this field. And will become a full time trader.

Before December last year (2014) I knew nothing about binary option but forex. So I wrote an email to forex group (www.sinhalenforex.com/) to help me to gain knowledge and start trading. They suggest that it will be more suitable to start binary option trading considering my financial and family situation. And they suggest a website to follow. A big thanks to Mr. Lakshan Rajasinghe who is a trader and a blogger from Sri Lanka. His blog www.sarusara.com showed me the path in the right direction to begin the journey to be a better binary option trader. It was written in my native language (Sinhala). He writes it with his own experience and knowledge as a forex + binary option trader since 2011. For any one who can read and understand Sinhala I highly recommend his blog to follow to become a better binary option trader.

Binary options - Simplified version of trading forex market....

Binary options are an amazing way to earn extra income, but what are they?
Those are forecasts on how the market price of a specific asset will perform during a certain time period.  For experienced traders and investors, this method is very familiar, as all investments are structured around this nature.  When someone invests in the markets by buying stocks they are essentially stating that, “I believe that this company will succeed and the stock price will rise and earn me money.”  When buying stocks in forex market, investors are tied to purchasing the stock at the per share market price, which when purchasing a large amount of stock can be extremely expensive and prohibitive to people who do not have the funds to invest.  Binary options remove the market price requirement of assets and instead replace the investment amount with an amount of your choosing.  This means, if you believe that Apple’s stock price will rise in the next fifteen minutes, you can invest $50 instead of buying one share of stock for $650.

The return on investment ranges from 70% – 89% which means that you can earn a significant return on every investment.  Let’s return to the example of purchasing Apple stock.  If you were to buy one share of Apple stock it would cost you about $650 (not including broker’s fees) and if the stock rose over the next few months to $700 per share, you would have made $50.  Now if you opened 13 binary options of $50 predicting that Apple stock would rise over the next fifteen minutes you would earn up to 89% on each binary option, for a total of $94.50.  That means in just fifteen minutes you could earn a total $1,228.50 on the same amount that you would have spent on one share of Apple.