2020 Minimum To Trade Options

2020 minimum to trade options

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What are binary options?

Binary options are a financial product, which allows you to trade on a wide range of financial assets, including currencies, stocks, bitcoin and commodities. All you need to do is correctly predict the direction of the price of the underlying asset within a designated time period.

When traders believe the price of the asset will decline, they purchase a "put" option.

In contrast, when they predict prices will increase, traders purchase a "call" option. You have to select when you want the option to expire before you make your trade.

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The period of expiry can range from 60 seconds to 5 minutes to 1 hour to one week and so forth. As opposed to traditional trading, you do not purchase or own the underlying asset, but instead purchase a contract that, at expiration, pays out a pre-determined, fixed amount or nothing at all.

If your prediction is correct you can make a profit of up to 92% of your investment. This means that if you invest $100 on an option and the payout is 92%, you will make $92 profit if the option is a winning one.

How to trade binary options?

To trade binary options, you must first open an account with a broker that offers binary options trading.

You can choose one of the brokers reviewed on this website, then you have to open an account with the selected broker. Once the account fully opened, it is possible to access to the trading platform where all the trading tools are available and all binary options as well.

The different types of options: high low, one touch, range

There are many forms of binary options:

  • the High Low binary option is probably the most common and the most popular option.

    2020 minimum to trade options

    Winning the option requires that the price at maturity is higher than the initial price set when the option is bought, in the case of a Call option. Or, at the opposite, in case of a Put option, winning the option requires that the price is lower than the initial price.

  • the One Touch binary option is also a popular option.

    2020 minimum to trade options

    To win, the price has to touch at least once a set price before the maturity. There is a reverse variant, called the No Touch option, where, in order to win, the set price has to be never reached before the maturity.

  • the Range binary option : to win the option, it is necessary that the final price is between an upper bound and a lower bound.

Brokers reviews

There are many brokers that offer binary options trading.

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In addition to the comparison above, you can have a review, experiences, features, advices and tips for each broker, you just have to click on the "Review" button to be redirected to the page relative to the given broker.

Free demo account no deposit

Some brokers offer free demo account to try to trade binary options without deposit.

That is ideal for traders who learn trading, but also for any trader wishing to test different strategies for free. When we open a virtual account, we have a definite amount of virtual money that we can spend on several trades.

Minimum deposit

To open a real account, you must deposit money, however, the minimum initial deposit required to open a trading account varies, depending on the broker.

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The minimum deposit is a data that is provided in the broker’s comparison above. . There are some brokers with a required minimum deposit equal to only $5.

Minimum trade

The minimum trade is the minimum amount to make a trade, this data is provided in the comparison of brokers. This data can vary from 1 dollar to 25 dollars depending on the broker. However, some brokers may offer a differentiated minimum trade depending on the type of binary options for example the minimum may be 25 dollars except for 60 seconds options, the minimum amount could be for example, only 5 dollars.

Payment methods

Different payment methods are available to deposit money into an account.

How to trade binary options?

The most common payment methods are credit card payments and bank transfer. However, there are many other reliable and safe payment methods that are becoming increasingly popular, the best known are Neteller and Skrill. Then, other local payment methods exist depending on the trader’s country of residence.


Some brokers offer different types of bonuses.

First of all, the bonus for opening a real account, it is often expressed as a percentage, it is a portion of the amount of the first deposit.

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Loyalty bonuses and promotions are also offered regularly by different brokers . Some conditions apply regarding bonuses, for example, withdrawal is possible after a certain number of trades, so it is recommended to read the conditions for each promotional offer with a bonus.

1 minute / 60 seconds binary options

This is a particular type of binary option because the maturity is only one minute or 60 seconds, contrary to the more traditional maturities of several days or several hours.

What is a Binary Option and How Do You Make Money?

Some brokers offer even options with shorter maturities of only 30 seconds. In this case, some people think that it looks like gambling.

Forex and binary options

Forex deals exclusively on the currency market. With binary options, potential investments are much larger, it is possible to trade on the currency market, but also on the stock exchange, shares, indices, commodities like gold or oil. Possible underlying assets are much larger.

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Furthermore, many traders feel that it is easier to invest in binary options.

Mobile App : iPhone, iPad and Android

The vast majority of brokers offer mobile applications in order to trade directly from their Android smartphone or iPhone, or from an Android tablet or an Apple iPad.

It is possible to download an app from Google Play (Android) or from the Apple AppStore (IOS).

2020 minimum to trade options

On pages dedicated to each broker, a link is available to be redirected to the official page of the broker’s application. In general, it is possible to trade as easily as from his computer, however, on some applications, some options are missing compared to what it is possible to do with the classic web platform or with the software to download offered by the broker.