FAQ
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- What is a binary option? Binary options are also known as fixed return and digital options. They can be used to trade underlying assets and Binary Option Brokers payout pre-determined profits and losses which are known to the investor even before their options are executed.
In particular, when any of your binary options finishes in-the-money then, as an OptionRally registered member, you will be paid a profit as high as 78% of your original deposit. In addition, successful results are solely dependent on price direction and not the size of magnitude of its movement. This means that if the value of your binary option finishes just one price increment in the correct direction at the expiry time, then you will gain a profit.
In contrast, if any of your binary options terminates out-of-the-money, then OptionRally will pay you a refund which can be between 10% and 15% of your original deposit. Another benefit about trading with binary options is that you will always know your potential profits and losses for every investment you make even before your option is executed. In essence, you also have an inherent risk and money management strategy at your disposal when you trading using binary options. - What is an underlying asset? These are the securities upon which binary options are constructed. Underlying assets can be stocks, commodities, Forex currency pairs and trading indexes.
- What is the maximum investment amount? The maximum amount that can be invested into a single binary option is $5000 or the currency equivalent. However, there is no limit to the number of binary options that you can exercise at any given time.
- What is an expiry time? This is the time at which the lifetime of a binary option elapses. This is an important event because it is used to determine whether you finish in-the-money if your option successfully achieved its objective or not-in-the-money if it did not.
- Binary Options vs Traditional options OptionRally offers binary options as defined above which are different from the traditional ones presented by the Stock Exchanges. For example, traditional options usually possess longer expiry times, larger fluctuating yields and can be sold before their expiry times.
In contrast, binary options have pre-determined yield and expiry times ranging from one hour to one month. In addition, they normally cannot be sold before the selected expiry time elapses. OptionRally is planning to introduce binary options which will allow their investors to sell them before their expiry times elapses. - Rate Colors of the OptionRally Trading Platform Green indicates that the price of the underlying asset of a binary option is higher than its previous day’s closing value. In contrast, red implies that the current day’s price is lower than yesterday’s close.
- What is the Time displayed on the OptionRally’s Trading Platform? The time zone is the Eastern Standard Time (EST).
- Where can I view the precise trading hours of each asset type? You will find a detailed list of all our available assets which includes for each one a description, expiry times, symbols and trading hours in the asset index located at the bottom of the OptionRally’s home page.
- Where can I view my transaction History? Logon to your OptionRally account and then click ‘My Account’. You will then be able to locate all your personal and financial data including deposit, withdrawal and portfolio history, etc. You can also rest assured that all private information is stored safely and securely on the OptionRally trading platform.
- Do I need to download and install any software for trading? No! OptionRally’s trading platform is totally web-based. This means that you simply need to open and fund an account with OptionRally in order to start trading binary options immediately.
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