Binary Options Weekend Trading

A big advantage of trading binary options is that you can trade over the weekends when most other worldwide investment markets are closed. Some binary options brokers have been offering weekend trading for some time now, with offerings from Middle Eastern indices to cryptocurrencies. This is due to the growing influence of markets outside New York, London and Tokyo which have grown in importance during recent years. The main example we can see comes from countries in the Middle East which have weekdays running from Sunday to Thursday and Saturday to Wednesday. In this article, I will take a further look at weekend binary options trading and examine whether it is a good idea to trade over the weekend.

Should I Trade Binary Options Over The Weekend?

Weekend trading is most definitely worth considering. It has developed its own set of fans, mainly traders with other full-time jobs and those who actually have a preference for the markets on offer. Most of the world’s markets open weekend_tradingfrom Monday to Friday. However, as we have seen, in the Middle East, the markets open from Sunday to Thursday with some running from Saturday to Wednesday, allowing investors to trade over the weekend. Some of these exchanges include:

Tadawul index. This is the only stock exchange located in Saudi Arabia and represents the biggest economy in the region. It is supervised by the Capital market authority and is offered by a wide variety of brokers providing weekend trading.

Tel Aviv 25 Index. This is the major stock exchange in Israel and comprises 25 of the largest companies in the Tel Aviv 100 Index. It is the only exchange in Israel and represents a number of major companies in the IT and pharmaceutical industries.

DFM Index. This is short for the Dubai Financial Market and is an index that can be found on the Dubai stock exchange. It is one of the United Arab Emirates’ main exchanges and has some of the largest players in the UAE.

Kuwait Stock Exchange. This is the major stock market representing the State of Kuwait and includes companies from the financial, real estate and insurance sectors.

The Advantages Of Trading During Weekends

Probably the biggest advantage of trading binary options over the weekend is that traders are able to enter trades during a period when most of the global investment markets are closed. This means a weekend binary options trader can make a profit within a defined timeframe, especially when trading options with a 30 or 60 minute expiry time during the weekend.

Some binary options brokers also offer “weekend options”. These start at the end of U.S. trading on Friday and last until Monday morning’s open in Europe. They were designed especially to cover events which typically occur over the weekend such as economic data from China and political events that have an impact on the markets, for example, G7 meetings. Long-term options are available on most binary options broker’s platforms and although perhaps not as exciting as their short-term counterparts, they can provide a good entry point for monthly, quarterly or similar trades.

Cryptocurrencies such as Bitcoin also have binary options offered for them as they are effectively traded 24/7. These can present exciting opportunities despite the smaller volume during Saturdays and Sundays. While they are, not surprisingly, overshadowed by the major currency pairs during the week, they do receive their fair share of attention come late Friday.

Overall, currency pairs have proved to be one of the most popular options for weekend trading because the market does not have any central control and can therefore offer one or more options at any given time. Those wishing to trade during weekends will thus benefit from learning how to trade binary options that are currency-based.

Traders wishing to trade over the weekend will be pleased to learn that there are a number of binary options brokers that are open for weekend trading. In the majority of cases, these platforms generally allow trading of Above Below and/or Up Down binaries that have expiries of 30 or 60 minutes. Other binary options brokers offer touch binary options that have an expiry on the following Friday within a specific time period during the weekend.

With binary options, there are always plenty of profit-making opportunities available so considering weekend trading as an alternative or additional trading activity could prove financially worthwhile. Why not try trading this weekend with our recommended broker?

U.S. Jobs Data Boosts Chances Of December Rate Hike

After Friday’s Non-Farm Payrolls report showed the U.S. economy created 211,000 jobs in November, exceeding market expectations, it is now likely that the Federal Reserve will assess that conditions are right for an interest rate hike in December. According to futures data, traders see a 78% probability that the Fed will raise its benchmark rate at its next meeting on 15th-16th December. In this week’s summary, I will be looking at the impact of the latest U.S. jobs data on the financial markets and what binary options traders can look forward to in the days ahead.

U.S. Stocks Surge As Europe Opens Higher

U.S. stocks took increased prospects of a rate hike in their stride on Friday, and rallied as the employment data showed the U.S. economy was strong enough to maintain tighter monetary policy. U.S. stocks surged 2% lifting much of the uncertainty surrounding the timing of a hike.

Today, European equities opened higher, following their Asian counterparts, after the solid U.S. jobs report put the Fed on track to increase interest rates.

The dollar, meanwhile, steadied, having recovered some ground late last week after the positive payrolls data supported the case for an imminent hike in U.S. interest rates. Against the yen, the dollar fetched 123.275. The dollar index against a basket of major currencies last stood at 98.444, after jumping 0.75% on Friday. Investors’ focus has now moved towards the pace of the tightening cycle following the initial move and how it could impact on assets such as bonds and equities.

Euro & Kiwi Fall As U.S. Jobs Data Revives Divergence

The euro and New Zealand dollar are being pulled back down by expectations of policy divergence after the positive U.S. jobs data strengthened speculation that the Fed will raise interest rates at its next meeting.

The euro extended a decline from 4th December, unwinding more of last week’s short-squeeze rally, after ECB President, Mario Draghi said that the ECB can roll out more stimulus, if deemed necessary. Investors had little choice but to wind back their bearish euro positions after the ECB stopped short of launching the aggressive easing measures that the markets were expecting. Draghi added that he was assured the measures, which included a small deposit rate cut and an extension of its asset purchase programme, would bring inflation back to the ECB’s target. The euro fell 0.1% to $1.0867 earlier today, adding to Friday’s 0.5% slump that had been its biggest daily loss in 2 weeks.

Analysts believe that the monetary policy divergence between the U.S. and the rest of the world will become more apparent during the next few months, The euro is expected to weaken again as it becomes clear the ECB will need to do more, with some predicting that the single currency will drop to $1.03 by mid-2016.

The New Zealand dollar, meanwhile, dropped by the most in 3 weeks as economists forecast its central bank will cut rates to match a record low this Thursday. The kiwi dollar fell 0.7% to 66.99 U.S. cents, set for its biggest decline since 16th November. The Reserve Bank of New Zealand is expected to reduce its overnight cash rate to 2.5% this week from 2.75%, taking the benchmark back down to the all-time low first reached in 2009 during the global financial crisis. Westpac expects the RBNZ to ease policy and signal that further reductions are possible. The bank sees the kiwi falling to 63 cents by the end of March.

As for other events this week, the markets’ focus should switch to a series of Chinese data which are expected to show continued sluggishness in the economy. Oil prices will also be in focus today as they hover around the $40 mark. At a meeting of the Organisation of Petroleum-Exporting Countries (OPEC) in Vienna on Friday, the 12-member oil producing group, whose de-facto leader is Saudi Arabia, left its production levels unchanged for the 3rd year in a row despite a global supply glut.

Overall, an interesting week for those awaiting the much-anticipated U.S. interest rate hike and its knock-on effects. Whatever your asset of choice – currencies, commodities, stocks or indices, the week ahead will undoubtedly present many profit-making opportunities. Be sure you’re ready to trade and sign-up with our recommended broker today!

Should You Accept A Binary Options Trading Bonus?

A leading question asked by many binary options traders is whether they should accept trading bonuses offered by some of the leading brokers. As many traders will be aware, trading bonuses are a way for binary options brokers to reward their clients for opening an account with them or a way of thanking them for their loyalty.

woman-holding-moneyBinary options bonuses allow traders to make more trades and are a good way of trying out different trading strategies while minimising the risk of losing their initial investment. They enable traders to learn the ropes on how to trade and familiarise themselves with a broker’s platform in order to give their trading activities an initial boost. In this article, I shall look at some of the different types of bonuses available and what every binary options trader needs to be aware of.

Types Of Bonuses Offered

Binary options brokers offer a different variety of bonuses. Each will have their own set of bonus offers so it is always best to check them out and find out exactly how they work and what is involved first. The following gives an overview of some of the main types of bonuses that a broker may offer.

Sign-up Bonus

Sign-up bonuses are the most popular type of bonuses on offer. They are designed to help traders get started with
their trading activities and offer new customers a monetary incentive of say, $100, to make it easier for them to carry out their first trade. This type of binary options bonus enables a trader to become familiar with the platform and how everything works and is also a way to gain experience in trading binary options and the financial markets.

Deposit Bonuses

A deposit bonus is where a trader is given an extra percentage of their deposit on top of what they have just deposited. Traders can take advantage of this by depositing a slightly higher amount than usual in order to exploit the offer. Traders should think carefully before accepting a deposit bonus as regardless how tempting it may be to make a larger deposit, in order to get more back traders need to ensure that they are still trading responsibly and within their means. As an example of a deposit bonus, if a trader deposits $250 and the offer is for 100% deposit match, their account would be funded with an extra $250 making the total amount available for trading $500. Different brokers offer a variety of percentages usually ranging from 25% to 100% and sometimes even more.

Rebates

A rebate bonus is where a trader gets back a portion of the deposits that they have made over an agreed period. Brokers usually tend to offer rebate bonuses at the end of the month and the percentage of the investments you get back can differ between brokers. This is a great reward for being a frequent investor and trading regularly, so rebate bonuses are one to watch out for on the bonus list.

Refer A Friend

Some brokers offer traders a bonus if they refer other people to sign up. This involves providing family and friends with a special link so that a broker knows they are the one who has referred them. Refer a friend bonuses are a good way for traders to add more funds to their  trading amount.

Be Sure To Check A Broker’s Bonus Terms and Conditions

When choosing a binary options broker to trade with, it is advisable to leave whether or not they offer welcome bonuses until last and focus instead on other key features offered, including whether they are regulated. This is so you know for sure that you are investing your money with a broker who is trustworthy.

If a broker appears to offer great bonuses that seem too good to be true, they probably are, so it is important to check their website thoroughly for information about each bonus including their terms and conditions regarding how you receive your bonuses and what you can do with the extra investment money. Some brokers impose certain restrictions on them and may not let you withdraw any funds until you have achieved the stated trading volume. For example, if you open an account with a broker and deposit $500 and you get a 100% sign up bonus, this may seem very attractive. However if the broker’s terms and conditions state that you have to trade 30 times the initial deposit amount, you would have to trade $15,000 worth of binary options before your account is credited with the extra $500. Hence, it is very important to read the terms and conditions carefully prior to signing up for any bonuses.

On the positive side, trading bonuses are an ideal way to boost your investment opportunities and gain experience of the markets. As a final word, traders should use their bonuses wisely and never deposit more than they can afford just to receive a bonus. Those who follow these guidelines will be well on their way to becoming a successful and profitable investor. Check out the bonuses offered by our recommended broker and fast-track your profit potential today!

Fed Expected To Be Key Driver In The Markets

The financial markets are in for a busy week ahead with U.S and European central banks in focus and the ECB expected to expand its easing program and slash its already negative deposit rate. This coincides with Friday’s highly anticipated U.S. jobs report where it is predicted that only a very poor U.S. jobs report could put a stop on the Federal Reserve’s plans to raise interest rates. In today’s weekly overview, I would like to take a look at what the markets are expecting which should give some direction on where binary options traders can look for trading opportunities.

Will The Fed Raise U.S. Interest Rates?

The release of November’s employment report on Friday is expected to show 200,000 non-farm payrolls and an unchanged unemployment rate of 5% following October’s solid 271,000 figures. The consensus is that only a janet yellendisappointing report could cause the central bank to hold off for longer. Even so, Fed officials would need to see warning signs in other U.S. economy reports but evidence of a softening economy is currently hard to find. With several important Fed appearances also due this week, Thursday will especially be in focus as Janet Yellen is due to testify about monetary policy before the Joint Economic Committee. Market watchers will be paying close attention to see if she reinforces the Fed’s message regarding December’s potential rate increase.

Dollar Steady Ahead Of U.S. Payrolls & ECB Meeting

The U.S dollar will also be a major focus in the markets this week as the diverging paths of the Fed and ECB have been driving it higher. The euro in the last week dropped below $1.06.

In Asian trade early today, the dollar was flat versus both the yen and the euro as many investors held back from taking strong positions ahead of the week’s potentially market-moving events. The dollar was at 122.85 yen compared with 122.86 yen on Friday, remaining steady on expectations that the Fed is set to raise rates.

The ECB’s policy meeting scheduled on Thursday is also regarded with high importance. Many economists believe that wage growth will remain slow if the central bank does not attempt to meet its price stability target of 2% anytime soon, countering the viewpoint that the bank may avoid increasing its re-flation policy until salary gains speed up. While the jobs number is expected to be the big mover as far as currencies are concerned, there is plenty of scope for the ECB to surprise as more often than not, Mario Draghi has surprised the markets with his dovishness.

It is anticipated that the ECB could push out the timetable for its easing program into 2017 and expand the type and quantity of securities it is buying.

Oil Down On Firm Dollar Ahead Of OPEC Meeting

OPEC is also due to dominate this week when it meets on Friday at which it is not expected to alter its stance on leaving the market to set prices. Last year, OPEC said it would not cut back on output unless other higher-cost producers did the same, choosing instead to let the market set the price.

Oil prices have more than halved since OPEC made this historic decision to defend market share by refusing to prop up prices through supply cuts.  Oil is now trading in the lower $40’s per barrel.

In the past week, oil prices have risen with the markets focusing on geopolitical events. However, most of this premium was out of the price and traders are once again focusing on high supplies and still-growing inventories. According to analysts, OPEC could talk down prices even further and depending on the outcome of its meeting, this remains to be seen.

Gold Set To Extend Losses

Gold also extended its losing streak today falling to its lowest level in almost six years. The precious metal looks set to record its biggest monthly slide in 2 1/2 years amid prospects of the expected U.S. interest rate hike. Gold has fallen out of favour with investors who believe it will take a hit in demand from higher rates as the dollar rises.

Spot Gold was little changed at $1,056.30 per ounce within touching distance of $1,052.46, the lowest level since February 2010, reached on Friday. Continued dollar strength is more than likely to exert further downward pressure on the precious metal this week.

Hence, traders can look forward to an important week ahead with regard to Friday’s jobs data along with with all-important important ECB and OPEC meetings. These are all potentially market-moving events so traders should be sure to keep informed on this week’s events as trading opportunities will inevitably arise. Why not sign-up with our recommended broker today and become a successful binary options trader?

Following The Trend For Binary Options Traders

One of the easiest and most profitable of all binary options strategies is the trend strategy. As many experienced binary options traders will be aware, many of the most profitable opportunities to trade occur when asset prices are trending in either direction for a period of time. Long-lived trends will present traders with a variety of opportunities, especially for those who use short expiry time periods. In this article, I would like to take a look at the basics behind trend trading and describe how a binary options trader would go about using it.

How Does Trend Trading Work?

In order to trade with the trend, a trader must be able to identify it. This can be done by using a basic price chart which shows the current and past price movements of an asset. Most binary options brokers provide these charts on their platform and with some experience, traders can learn to correctly identify price movements within them.

trend1Within these charts, the price movement is drawn with a line, moving up and down the chart along with the actual price movement. When this line is moving up or down for a period of time, a trend is taking place. For an upward moving trend, a trader would select a Call option for their binary options trade, whereas for a downward moving trend, they would choose a Put option. The asset time selection is very important as some trends may be short-lived. If a trader thinks that the trend is likely to cease before the trade ends, it may be preferable to opt for a short-term expiry, for example, 60 Seconds.

Traders need to be aware that not all trends are solid, which means that small pullbacks in the price of an asset can arise along the way. This is considered normal and should not be of any concern so long as a trader has confirmed that the price has generally been moving in the same direction for a period of time. When viewing a price chart, it is fairly clear to see how many pullbacks have arisen over a period of time as well as how far the price has retracted. Should the price of the asset prove too erratic, a trader may wish to consider other options instead.

It is also important to bear in mind that opportunities frequently present themselves when a price trend ends and then reverses. Just as the price of an asset can move in one direction for a period of time, it can easily move back in the other as it attempts to push back into its comfort zone.

Using Trend Lines For Trading

There are 3 main ways to use trend lines for trading purposes.

Firstly, they can be used to trade price ranges, in particular where the trend lines are parallel with one another, as can be seen in price channels. Price channels are basically two parallel trend lines where an upper trend line is drawn across a minimum of 2 price highs and a lower trend line is drawn across a minimum of 2 price lows. The price of the asset will generally tend to bounce off the two trend lines until an external factor causes the price to break out of the channel. Hence, when conducting trend trading in binary options using price channels, a trader may use the two trend lines as strike prices for a tunnel trade, a Touch trade or a High/Low trade contract.

Trend lines can also be used as support and resistance price levels which can form boundaries in a ranging market. Pivot points are trend lines which denote 3 areas of support and resistance, along with a neutrally-acting trend line, known as the central pivot point. When prices happen to be trading within the pivot points, these pivots can act as a reversal point or a benchmark for price breakouts and are highly effective for In/Out trades. A trader simply needs to choose 2 pivot points, or trend lines, as the upper and lower price barrier for a boundary trade.

Finally, trend lines can serve as landmarks for trading some binary options contracts. If a trader is looking for a direction or a landmark to go by when setting the strike price, trend lines can prove useful. For example, supposing a trader wants to trade a trade contract on an asset and is looking for the best place to set a strike price to execute a Touch trade. They can then look at the charts to establish whether a line can be drawn across 2 areas where the prices form highs or lows and whether the line appears to be part of a bigger pattern, such as a triangle or rectangle, etc. All these are patterns determine where prices are headed so a trader can use a trend line as part of these patterns as a landmark for executing a trade contract.

Can You Make A Profit Using Trend Trading?

Trend trading is something that all traders should be using and when used in the ways described, they will deliver profits. There is no better time to profit from binary options than when price movements become easy to predict. For this reason, it is important for traders to keep a close eye on market news and economic reports on a daily basis so that they are in a strong position to spot a solid trend in the price of their chosen asset. Most binary options brokers provide at least 100 tradable assets to select from which means that profit opportunities can be far-reaching. Why not trade with our recommended broker today?

Bleak Outlook For Euro As Commodities Decline

With an arguably quieter week than of late in the economic calendar, we move into the week ahead amid the aftermath of the Paris attacks and the current shutdown in Brussels. The markets will thus remain focused on Europe as well as on any further indications from the U.S regarding the anticipated interest rate hike. In this article, I shall provide an update on what’s happening in the financial markets and the key economic reports to look out for.

Euro Dips To 7 Month Low Against USD

The euro extended its losses versus the dollar today reaching a 7 month low on expectations that the European Central Bank will increase its monetary stimulus next month. ECB president, Mario Draghi’s recent comments boosted expectations for the ECB to introduce further monetary stimulus at its next policy meeting, exerting further pressure on the euro.

euroThe consensus is that the euro will fall towards parity with the dollar in the coming months as the Federal Reserve starts to raise interest rates while the ECB undertakes the opposite course of action. The euro was down 0.3% at $1.0611 after sliding to $1.0600, its lowest level since April. Against the yen, the euro fell to 130.57 yen, its lowest level since April. The common currency also touched a 4 month low against the Aussie dollar at $1.4679 earlier today, only recovering after a fall in commodity prices and on concerns regarding China’s slowing factory demand.

The U.S. dollar, meanwhile, held its own against a basket of six major currencies, fueled by the euro’s weakness. The dollar index hit a 7 month high of 99.977 and was last at 99.885. The general view of the euro remains negative.

Europe Equities Expected To Open Lower; Commodities Down

Market watchers also expect European equities to open lower today amid the continuing fall in oil prices as well as other commodities. The FTSE index is expected to open 25 points lower at 6,309, the DAX up 5 points at 11,124 and the CAC up 2 points at 4,912.

Oil prices continue to experience pressure during Asian trade on the global supply surplus. U.S. crude was trading at $41.10 per barrel with the Brent benchmark down 48 cents to $44.18  per barrel.

Gold, meanwhile, hovered close to a 6 year low today on the strong dollar and positive comments by the U.S, Federal Reserve regarding a rate hike next month. Spot gold fell 0.3% to $1,074.91 per ounce, extending Friday’s 0.4% fall. The precious metal declined to $1,064.95 last week, the lowest since February 2010. The dollar strength along with worries about China’s slowing factory demand has also impacted on other metals including copper prices which have recorded their lowest levels in over six years.

For traders observing the economic calendar, there are 3 key pieces of data expected out of the U.S. this week including Tuesday’s GDP data. The initial release showed that the U.S. economy slowed down to an annualised growth rate of 1.5% in the third quarter of 2015 after reaching 3.9% in the second quarter. In the forthcoming release, the figure is expected to be upgraded to 2%.

Also expected from the U.S. on Tuesday is CB Consumer Confidence  U.S. consumer confidence deteriorated in October to a 3 month low of 97.6, dimming prospects for a U.S. interest rate hike this year. Analysts had expected a rise to 103.0. U.S. consumer confidence is expected to rise this time to 99.3 in November.

Finally on Wednesday, U.S. Durable Goods Orders are due. Economists are expecting durable goods orders to go up by 1.6% in October and core orders up by 0.5%.

This summarises the week ahead in a comparatively quiet economic calendar. There are still many prospects for binary options traders to make profits in all the asset classes, so I advise traders to keep an eye on events as they unfold. Make sure you’re ready to hit the Call or Put button. Sign up with our recommended broker today!

Soft Commodities: Their Risks & Returns

The great thing about trading binary options is that it opens the door for traders to get involved in trading a huge range of assets. While the temptation may be to invest in some of the more popular commodities such as oil and gold, a growing number of traders have turned their attention to a category of commodities called soft commodities. Often undervalued and overlooked, these markets can hold big opportunities for binary options traders, hence, in this article, I will explain what soft commodities are and the returns and risks associated them.

What Are Soft Commodities?

Soft commodities belong to the category of commodities that are foodstuffs such as coffee, cocoa, sugar, wheat, corn and and fruit. Known for their extreme volatility and high sensitivity to both natural and geopolitical factors, soft commodities still continue to attract an increasing number of investors.

The same market forces that drive up the prices of crude oil and metals also affect the prices of soft commodities. soft commsMuch of this is demand from emerging economies such as China that are undergoing large-scale industrialisation programmes. This creates new markets for products such as coffee, sugar and similar products. The United Nations estimates that by 2030, net imports of food by developing nations will increase fivefold. Climate change is a factor to be taken into consideration as it can have a devastating effect by way of famine and drought. Estimates show that just a three degree rise in temperature could put another 400 million people on the poverty line and at the same time cause cereal crops to fall by 400 million tons.

What Are The Risks & Returns?

There are many different opportunities in soft commodities markets but it is important to stress that it is very speculative and risky. Although there are long-term price trends, attempting to predict the top or bottom is not an easy task. Commodities can be highly volatile and it can take a lot of research to be able to thoroughly understand their movements. However, you can carry out a valuation using both fundamental and technical analysis to find out about supply and demand as well as trends, entry points and exit points. There are also indexes designed to track the performance of commodities in the market that can be useful to traders. Investing in commodities can be done profitably if the trader is well informed and alert to market changes.

Another risk associated with investing in soft commodities is that they are not located in one place. They are spread all over the globe and controlled by the governments and companies of the countries where they are located. You can counteract this risk though by protecting your investment from this geopolitical insecurity by investing in reputable companies with experience and economies of scale.

However, soft commodities offer excellent diversification for a crisis portfolio as they are uncorrelated to the stock market. As commodities have a risk/return profile comparable to stocks and bonds, investing in commodities seems attractive, but the biggest case for including a commodity index to your portfolio is the negative correlation. Commodities have a negative return with traditional stocks and bonds. Negative correlation is when one security’s return moves in the opposite direction to another security. Economic conditions that are good for commodity returns such as unpredicted inflation are more often than not bad news for stocks and bonds. This analogy is also relevant to geopolitical conditions: a natural disaster or a war may disrupt wheat supplies and lead to higher prices. This is bad for stock and bond returns but encouraging for commodity index returns.

Despite the risks, traders have realised that soft commodity trading can be quite lucrative and is hence proving increasingly popular. If you are considering investing in soft commodities, you can trade with our recommended broker with a view to making a profit on this potentially lucrative asset class.

As a final word, it is a good idea to understand the soft commodities markets even if you have no intention of trading them. They are seen as key indicators for the broader marketplace, worldwide economic activity and U.S. dollar valuation. For those who trade in any of the other asset classes, understanding how soft commodities markets work can provide an invaluable insight into these markets.

Paris Terror Attacks: Geopolitical Events In Focus

This week, the focus is very much centred on Friday’s devastating Paris attacks which are set to have potentially far-reaching consequences.

As binary options traders will be aware, one of the most popular ways of trading binary options is trading on news and current events. Those who have had exposure to trading the financial markets will be aware that geopolitical events including war and terrorism can impact on anything from oil to currencies. Thus, current affairs can have a profound effect on the markets and is the reason why traders like to take advantage of any associated volatility.

I’d like to take a look at the potential impact of last Friday’s events and increased volatility in the markets, as undoubtedly the attacks will increase uncertainty, lower confidence and negatively impact on growth as a result of border closures and emergency measures.

The Potential Economic Impact On The Financial Markets

parisFriday’s terrorist events in Paris and news of France’s retaliation against the perpetrators today are set to have an impact across the world, the financial markets being no exception, with analysts mulling over the geopolitical and economic implications.

France’s main securities market, Euronext, is geared up for business as usual, albeit with extra precautions. Investors’ initial reactions will likely be to cut exposure to higher-yielding, risky assets. The Paris attacks are expected to push markets along the direction in which they were already heading, with the dollar strengthening, bond prices increasing and oil and stocks falling. In terms of the possible repercussions on the financial markets, we can expect to see a direct impact on oil, gold and the euro.

The consensus is that Western countries are more likely to involve themselves in the war against Islamic State which we have seen today with news of France’s revenge airstrikes. With the stakes now raised for further attacks, the already volatile Middle East may see further destabilisation and drive oil prices higher. Recall that the attacks of 11th September, 2001 led to a 55% rally in the price of Brent Crude over 12 months.

Crude oil futures crept up in trading today following the attacks but prices hovered around August lows and are expected to continue under broad pressure amid nervous trading. U.S. crude futures were trading at $40.91 a barrel, up 17 cents from their last close. Brent was up 19 cents at $44.66 a barrel. Oil prices have plummeted more than 60% since June last year as high production has coincided with an economic slowdown in Asia, mainly in China, which fell back into recession in the third quarter.

Meanwhile, spot gold prices rose as high as 1% today to a session high of $1,093.310 per ounce with $316 million or approximately 3,000 lots changing hands in the first 10 minutes of trade. This was almost the 10 times the 300-lot average of the first 10 minutes of market opening in the last two months. Other precious metals such as silver and platinum rose more than 1%.

In terms of gold, it is known that in times of increased risk, it is the classic safe haven. Gold has also had a month sustaining losses every week, as investors expected a Fed rate rise in December. Growing uncertainty is likely to boost the attraction of the precious metal and will be worth keeping an eye on.

Finally, the euro could experience increased headwinds as a result of the weekend’s events and could enhance the prospects of quantitative easing even further, which could, in turn could add to the euro’s decline. The common currency came under heavy selling in the aftermath of the attacks, falling almost 1% to 130.62 against the Japanese yen, its lowest level since late April early today.

The EUR/USD declined close to a 6 1/2 month low with the price of U.S. 10-yield treasury note yield rising. The yield which moves inversely with prices, plummeted to 2.25%. The dollar is expected to continue its rise against the euro and analysts are already said to be discussing how the recent events could accelerate the move in the euro towards parity with the dollar.

Hence, current events have created a heightened sense of insecurity by investors around the world and when that happens you have a flight to safety. Analysts expect a run on an already strong dollar with continued selling in stocks. With a lot of room for the markets to move up and down over the next few weeks, binary options traders are advised to keep focused on current events and the possible impact of upcoming economic data reports. Remember to keep an eye on the economic calendar for trading opportunities and open an account with our recommended broker today!

Understanding Binary Options Payouts

One of the great features of binary options trading is that a broker’s platform usually shows the profit percentage that a trade will generate if there is a positive outcome and the original price direction, either a Call or a Put, turns out to be correct. The percentages are consequently added to the original amount invested and the total amount is the payout for the trade. In this article, I will explain more about payout rates, how brokers calculate them and their importance to a binary options trader.

What Are Payout Rates?

A return rate in binary options is the profit rate paid by the broker to a trader and represents a fixed percentage of the amount of a trader’s investment. As we have seen, in the event a trader correctly predicts the outcome of a trading contract, they will receive the initial investment together with the promised percentage of the initial investment based on the payout rate.

platformThe following example explains how this works. Assume a binary options broker offers a trader the chance to predict that Apple’s stocks will end either above or below $200 by a certain expiry time. Assume also that the broker offers a payout rate of 85%. The trader predicts that the stocks will end above $200 and proceeds to invest a sum of $200. If the trader predicts the outcome of the trade correctly, they be rewarded with the sum of $370; $200 representing the initial investment and $170 representing the profit based on the payout rate of 85%.

How Do Brokers Calculate Profit Percentages?

Binary options return percentages are usually pre-established by the broker. Generally speaking, the easier it is to predict an option, the lower the payout rate will be, whereas, the harder it is to predict the outcome of an option, the larger the profit rate will be. The movement of commodities is usually easier to predict so for this reason, they offer lower payouts. Currency pairs are usually harder to predict and therefore offer higher return percentages. The average payout rate in the binary options industry tends to be around 85%.

The payout rate of binary options also depends on the type of the binary option due to the fact that some binary contract types are easier to predict than others. Thus easier options have lower return rates and more difficult contracts have higher return rates.

High/Low contract types are the easiest contracts available and simply require a trader to predict if the value of an asset will increase or decrease within a certain time frame. Hence, they offer the lowest payout rates. The most popular High/Low contracts offer payout percentages of 65 -95%. Although they pay out less than other types of contracts, they are easier to predict, thus ensuring a higher success ratio. For this reason, they are recommended to newcomers.

One-Touch contract types are a little more complicated to predict than High/Low options. In this case, a trader has to predict if the value of an asset will reach a certain pre-established value during a particular time frame. One-Touch return percentages usually fall in the range of 100%-200% and are ideally recommended for intermediate to expert traders.

Boundary contracts are the most complicated type of trading contracts in the business as contracts of this kind has two strikes. Traders win or lose depending on whether the value of an underlying asset will reach one of the two strike lines during a certain time frame. As these options are harder to predict than other contract types, they offer a high return ratio of 200% -500%. They are, however, recommended only for expert traders.

60 Seconds contracts are simple High/:ow contracts with expiry times of just 60 seconds but are not as easy as regular High/Low options due to their very short expiry time. Return ratios of 100%-150% are therefore considered normal when it comes to this type of contract.

When a broker lists a payout percentage it is usually the highest payout offered for a standard Call/Put option. A broker with a high payout percentage usually offers higher payouts when comparing similar assets to other brokers, although it is not always the case. If a trader chooses to trade a specific asset it is best to look for a broker that offers the highest payout for that particular asset.

Overall, it is important for traders to understand how binary options brokers calculate payouts so that they can create a trading strategy to build their trading account over a period of time. Opting for a partial refund, a service offered by some brokers, can also influence the potential profits a trader can make while also allowing some additional protection against major trading losses. Now you know how payout percentages work, why not sign up with our recommended broker and trade your favourite asset today?

Markets Look To Consumers After Jobs Data

After a busy previous week, this week’s economic calendar is fairly light with traders eyeing retail data and consumer sentiment for further support of economic growth following October’s U.S. employment data. After a solid jobs report in which U.S. non-farm payrolls rose 271,000, far exceeding the 180,000 new jobs predicted, Wall Street is consumer sentimentincreasingly confident that the Federal Reserve will raise rates in December. While some analysts have expressed caution that the figures may be overly optimistic, the consensus is that only a major downturn in next month’s economic reports would impact on expectations. Thus, the focus is now on the pace of the interest hike rather than the timing. I’d like to take a look at this and other focal points for the markets this week.

Dollar Higher On Increasing Bets Of Fed Hike

The U.S. dollar lost some ground to the euro today as investors took profits after solid U.S. employment data fuelled increasing bets on an interest rate hike in December. The euro rose 0.3% to $1.0768 after falling to a 7-month low of $1.0704 on Friday. In Asian trade, the dollar remained buoyant after soaring to nearly 7-month highs against a basket of currencies. The markets are pricing in a 70% probability that the U.S. central bank will increase borrowing costs next month, according to data. The dollar index, which tracks the dollar against a basket of six major currencies, was up by 0.1% at 99.256 after increasing as much as 99.345 on Friday, its highest increase since mid-April.

Any Other Potential Market Movers?

Analysts will also be eyeing several other reports as potential market movers. Firstly on Wednesday, ECB President Mario Draghi is lined up to speak in London. Market watchers will be on the lookout to see if he will provide any further details on his recent declaration that the ECB is prepared to cut interest rates and increase quantitative easing in order hold off renewed recession in the Eurozone. So far, Draghi has stated that ECB policymakers are assessing their next move between now and their next policy meeting on 3rd December.

On Friday, U.S. Retail Sales figures are expected which, following a poor performance in September, rose 0.1% against expectations of 0.2%. Core Retail Sales, excluding autos, declined 0.3%. Consumer spending is seen as one of the largest contributors to U.S. GDP, hence, weaker consumption negatively impacts on GDP growth. Retail Sales are expected to rise 0.3% in October while Core Retail Sales are expected to increase by 0.4%.

Also on Friday, U.S. UoM Consumer Sentiment data falls due. October figures revealed that U.S. consumer sentiment rebounded swiftly, showing that economic recovery remained upbeat in spite of headwinds from a strong dollar and weak global demand impacting on the manufacturing and industrial sectors. The UoM consumer sentiment index crept up from 87.2 to 92.1 in September following expectations of a lower reading of 88.8. Thus, the outlook for consumer spending looks positive.

AUD Trading Opportunities

Binary options traders looking for AUD pairs opportunities may wish to look out for Thursday’s Australian employment data. Australia’s employment market saw a loss of 5,100 jobs in September, missing forecasts for a 5,000 increase. The jobless rate did, however ,remain stable at 6.2%. Analysts expect jobs growth may contract resulting from soft economic conditions and jobs growth from the labour services sector will decline amid less housing activity and lower currency. Australia’s labour market is expected to increase by 15,200 jobs, with the unemployment rate anticipated to remain at 6.2%. The Australian dollar today fell 0.1% to $0.7034 after earlier falling as low as $0.7016, its lowest level since early October having taken a knock by the positive U.S. jobs report and disappointing Chinese trade figures.

Overall then, a quieter week than of late but still enough activity in the markets for binary options traders looking to make a profit from market events. Don’t miss out! Trade with our recommended broker today.

Binary Options Tricks For Success

Every trader wants to get the most from trading binary options. Those who have read my earlier blogs will be familiar with a lot of the advice already given, but it is always useful to re-examine some of the best tried and tested binary options tricks as well as looking at some new ones which can help you maximise your investment.

Most traders will already know that choosing a broker that offers different types of trades, top features, a large variety of assets and the best customer service around will given them the best shot at profiting in binary options. One of my recent blogs covered this area in depth. But what else should you be doing to maximise your profit potential? Here are 5 leading tricks for success which I would like to share with you below.

  1. Fund Your Account With More Than The Minimum Deposit

These days, most binary options brokers allow traders to get started trading with around $200, with some offering minimum deposits of even lower amounts. This is obviously a great, low-risk way to get started, but it can be potentially more profitable to take the plunge and actually deposit a larger sum of money. The reason for this is because the minimum trade amounts for most binary options brokers tends to be between $10 and $25. Hence, in order for a trader to trade, say 3% of their bankroll on each trade, it is ideal that they have a slightly larger bankroll than just $200. It is thus better to wait until you have more funds available and focus on practicing in the meantime.

  1. Adopt The Right Strategy

It is important for a trader to think seriously about how they will make trading decisions. Clued up traders should happy young business man work in modern office on computerknow that trading on your gut instinct alone is a sure-fire way to lose money. If you want to make money, it is vital that you use tried and tested strategies which give you an edge by allowing you to identify patterns in the market and profit from them. You can actually purchase strategies but since they can be found free of charge on most binary options brokers platforms, it is worth using these systems because you can usually find what you need without having to spend any money. Be sure to check out any good binary options broker’s education centre for a selection of different strategies that will help you achieve your financial goals.

  1. Use The Trading Tools Offered By A Broker

The majority of binary options brokers offer clients a selection of trading tools to manage open positions. The 3 best-known tools are Double Up, Rollover and Early Close. These are excellent tools for allowing traders to close their position early if the trade is not going their way or if they wish to or roll it over to stay in longer. The Double Up tool, meanwhile, allows traders to double their investment if the trade is going well. Similarly, a broker’s Option Builder tool allows traders to choose an expiry time and customise other aspects of a trade, allowing them control over their trades before they even enter a position. Traders should not ignore these tools. They’re there for a reason!

  1. Look Out For Dubious Withdrawal Terms

You only have to look online to see how common it is for binary options traders to complain about difficulties withdrawing their money. It is crucial to check through a broker’s terms and conditions before depositing any money with a new broker, particularly their rules about withdrawals such as what information will you need to provide, whether there is a minimum withdrawal amount, whether closing your account allows you to withdraw or not, if it is possible to withdraw more than once or twice a month and what fees are involved. It is always recommended that you make a point of finding out what you are getting into before signing up and be on the lookout for questionable withdrawal terms.

  1. Think Again Before Accepting A Bonus

100% deposit bonuses and other cash incentives look very tempting but the reality is that, like in all walks of life, “there is no such thing as a free dinner”. Quite simply, you end up paying for these bonuses one way or another since there are always strings attached. Traders who have accepted a bonus before will already know that you need to achieve a specified trading turnover in your account which is usually around 30 times the amount of the bonus before being able to claim and withdraw it. Until this point, it is purely acting as leverage which can make or break you. Many traders prefer not to accept a bonus for this reason, which is a sensible decision. In any case, bonuses should never be the main reason for selecting one broker over another.

Trading with insider knowledge is the best way to succeed in binary options and with these tried and tested tips, binary options traders can enjoy a potentially profitable trading experience. Why not come on board today and trade with our recommended broker?

Interest Rates In Focus As Markets Await Key Data

The week ahead sees the U.S, Federal Reserve back in focus on Wednesday when Fed Chair, Janet Yellen testifies before the House Financial Services Committee. Market watchers will also be awaiting Friday’s Non-Farm Payroll figures as these may give a clearer indication as to whether the Fed will raise interest rates for the first time since 2006 in December.

I’d like to take an overview of some of the week’s key forthcoming events which should provide some guidance as to where binary options traders can look for potential profit-making opportunities.

Will U.S. Fed & Payrolls Data Reveal Rate-Hike Plans?

Janet YellenOn Wednesday, Fed Chair Janet Yellen testifies which will be the markets’ main focus as she delivers a prepared statement followed by a question and answer session. Volatility can be expected as market watchers will use this important event to seek clarity on whether the Fed is on the path to a rate-hike. The Fed put a December rate hike on track last week.

Market-watchers will also be scrutinising Friday’s Non-Farm payrolls to calculate the chances of such a move. Economists predict that average job gains in excess of 150,000 a month in October and November may be sufficient to keep a December rate hike on the cards and are pricing in a 50% chance that the Fed will increase its main interest rate from 0.125% to 0.25% in December.

An increase in Fed rates would have consequences far beyond U.S. borders, resulting in increased borrowing costs for dollar debtors in emerging markets, pushing up the greenback against some major currencies and driving a global re-allocation of investment money.

What About Europe?

Over in Europe, and the U.K. in particular, the possibility of a rate hike is currently seen as less likely. The Bank of England is predicted to hold interest rates steady on Thursday and is also expected to slash its inflation and growth projections. The U.K’s economic recovery slowed down more than anticipated in the 3 months to September after a decrease in construction, suggesting that the 2 years of steady economic growth could be nearing an end.

Analysts do not expect the BoE to raise rates until the second quarter of 2016 and certainly not before the Fed makes its move. However, a Fed hike in December, could remove any remaining obstacles for an early BoE rate increase. If the Fed raises rates in December, the BoE is expected to follow not long after, probably early in the next year.

ECB President is also due to speak on Wednesday and traders will be listening to see if he will be providing any further hints on an extension of its quantitative easing program.

Gold Declines On Rate-Hike Concerns

Binary options traders looking to trade gold should note that the metal declined to its lowest level in 4 weeks today amid fears that the Fed would hike U.S. interest rates this year. Spot gold fell 0.2% to $1,139.93 an ounce having earlier dropped to $1,134.60, its lowest level since 5th October.

Gold rallied last month following speculation that softness in the global economy could make the Fed delay the rate hike into next year but the U.S. central bank’s hawkish comments last week triggered a bullion sell-off. Traders have been selling gold since last Wednesday when the Fed surprised markets with a direct reference to its next policy meeting as a possibility for the first U.S. rate hike in nearly 10 years. The precious metal then posted its worst weekly drop in 9 weeks on Friday.

Where Are Interest Rates Headed Down Under?

Moving down under, traders looking for trading opportunities on AUD pairs should look out for Tuesday’s Reserve Bank of Australia’s Rate Statement. The RBA kept the official cash rate at 2.0% in its October meeting in accordance with market consensus. The RBA’s Governor, Glenn Stevens is reported to be comfortable with the current rate although some experts are predicting rates will increase in 2016. There does, however, remain some concern that the RBA may be pushed to lower rates due to low growth and inflation.

Hence, we can expect an important week ahead in terms of economic data which will undoubtedly impact on interest-rate decisions. Will the Fed finally hike interest rates? The answer may become clearer this week as to whether we can expect a December hike. Traders should, therefore, be sure to keep tuned into this week’s events as trading opportunities will inevitably arise. Be prepared and sign-up with our recommended broker today!

An Overview Of Exotic Currency Pairs

Trading currencies are many traders’ asset of choice which is understandable given the exciting nature of the financial markets and the many opportunities which exist in which to make a profit. With a vast number of currency pairs available to trade which are classified as majors, minors and exotic currency pairs, it perhaps comes as no surprise that many traders ‘play safe’ and opt to trade with the major currencies. There are, however, many opportunities for investing in both minor and exotic currencies too.

In this article, I will take a brief overview of the different groups of currencies focusing on exotic currency pairs, and look at whether a binary options trader actually stands to make a profit by getting involved in them.

Exotic Currencies Explained

In the world of currency trading, currencies have different strengths. The world’s strongest currencies are called major currencies which usually belong to countries with relatively strong economies. These are also the most traded currencies and make up the majority of trades that take place in the financial markets. There is broad agreement about the which are the major currencies and these include USD, EUR, GBP, CHF and JPY. Some groups also include the Australian dollar (AUD) as a major currency, though it is often considered a minor. Minor currencies also include the Canadian dollar (CAD) and the New Zealand dollar (NZD).

Thai BahtAnother group of currencies that are traded in the financial markets are exotic currencies which are not as strong as the major currencies and are highly volatile in nature. For this reason these currencies are traded in lesser quantities or purely to facilitate international trade. Examples of exotic currencies can be any currency excluding the more frequently traded major currencies such as the South African Rand, Korean Won, Indian Rupee, Thai Baht, Uruguay Peso and Iraqi Dinari.

Scandinavian currencies including the Swedish Krona and the Norwegian and Danish Kroner are often classified as exotic currencies but most traders consider them minor currencies due to the greater liquidity observed in their respective markets.

Exotic currencies are neither major nor minor but they are still important in the financial markets. Exotic currency trading is different from trading in major currencies because of the level of interest in them in the market. The relative lack of activity in the exotic currency market means the currencies can have a high cost and can carry a high risk. It is also not particularly easy to understand nor it is not very secure. The political and financial environments in developing countries may change quickly and cause the country’s currency to rise or fall in value. Hence, these currencies belong to countries with volatile political environments and unstable economies.

Can You Profit From Trading Exotic Pairs?

High risk can however present a trader with opportunities and trading exotic currencies can be just as profitable as major currencies. Although it is not particularly easy to predict the path of the currency pair price movements with exotics, if a trader does decide, for example, to trade exotic pairs with a binary options broker, they should find plenty of opportunities to make profits from their trades.

The ability to predict sudden changes that tend to occur with these currencies and effectively dealing with the insecurity of knowing they go against the normal logical analysis, means that a trader could stand to gain substantially from trading these pairs. As always, knowing the background situation of the currency and using the appropriate trading tools helps to make a decision about whether or not to trade. This is a requirement with any currency pair that a trader decides to invest in but in the case of exotic currencies, it is absolutely vital.

Hence, trading exotic currency pairs, despite presenting a higher level of risk, are a very exciting proposition for many traders looking for additional ways to profit from the financial markets. Those who take the time to do their research and adhere to the guidelines given can look forward to both an enjoyable trading experience and the potential of making some attractive profits. Trade exotic currency pairs with our recommended broker today!

Earnings & Central Bank Meetings Dominate Week Ahead

The week ahead is yet another busy one amid the Federal Reserve’s policy meeting, a flurry of big-name companies set to post quarterly financial results and important central bank meetings in Japan and New Zealand. Here’s my summary of the week’s key events.

Market watchers will be paying close attention to Wednesday’s Federal Open Market Committee meeting when it reveals its latest policy statement. The consensus is that it is now highly unlikely that the central bank will raise its benchmark interest rate from historic lows this week. Expectations for increasing interest rates have been repeatedly pushed back with global financial volatility and challenges to U.S. growth presenting a big burden for policymakers. However, more clarity on what the Fed might do could arise after the employment report next week.

Earnings In Focus

The focus should, therefore, remain on economic reports as a flood of earnings from Apple and Exxon Mobil, amongst others reveal their quarterly results. Analysts will be keeping a close eye on how Apple sales in China performed amid the turmoil in the world’s second largest economy.

earningsWhile many traders will be expecting volatility to be stirred up by the reports, some remain concerned about the market’s past performance. Historically, the 4th week of October which is next week, is seasonally the weakest of the entire 4th quarter. This is based on data going back to when the S&P 500 was created in 1957. Nevertheless, December, the strongest month of the year is almost upon us, whereby the S&P usually rises on average by 1.5% which may allay fears somewhat. Traders may, therefore wish to look out for possible lows next week with a more upbeat outlook a month or so ahead.

European Stocks Decline

Meanwhile, crossing over to Europe, the start of trade today saw European stocks falling from a 2 month high amid renewed weakness in commodity producers, with the Stoxx Europe 600 Index declining 0.4% to 376.04.

Europe’s benchmark gauge rallied the most since July last week as ECB President, Mario Draghi hinted that the European Central Bank might introduce additional stimulus measures and the People’s Bank of China slashed its benchmark lending rate and banks’ reserve requirements. The Stoxx 600 thus broke away from the tight range it had been trading in for 2 weeks.

Equities are reportedly rebounding after posting their largest quarterly slump in 4 years. The Stoxx 600 has increased 8.5% so far in October, heading for its biggest monthly rally since 2009, with Germany’s DAX Index recording the biggest increase among developed markets. The Stoxx 600 was still 8.9% away from the record reached in April.

Central Banks Meet; U.S. Dollar Dips

In other news for the coming week, 2 key central bank meetings are lined up with the Reserve Bank of New Zealand due to meet on Thursday and the Bank of Japan on Friday.

The New Zealand dollar climbed 0.3% to $0.6773, bolstered by speculation that the RBNZ will halt cutting rates on Thursday and hang onto its options should the global economy show any further signs of slowing down. The RBNZ has slashed rates 3 times this year. The BOJ is also gaining attention amongst market watchers as a series of downbeat Japanese indicators has cooled expectations of additional monetary easing.

Meanwhile, over in the U.S., the dollar dipped early today, easing away from a 2 1/2-month high versus a basket of peers. The dollar index fell 0.2% to 96.953 after reaching 97.201 on Friday, its highest level since 12th August. The dollar was down 0.2% at 121.16 yen after touching a 2 month peak of 121.60 yen. The euro crept up 0.2% to $1.1035 after dropping to $1.0989, its lowest since 11th August.

Hence, a busy week ahead for binary options traders who should look out for market opportunities following the highly anticipated earnings reports. Also, those trading currencies should keep an eye on USD, JPY, EUR & NZD currency pairs as there will be market volatility resulting from BOJ and RBNZ central bank meetings and Wednesday’s FOMC meeting. Don’t miss out! Trade with our recommended broker here.

Binary Options Trading Platforms

All binary options brokers use a trading platform developed by a binary options platform provider. There are a several providers in the industry who together serve the growing population of binary options brokers. The

3 main providers in the industry are SpotOption, TechFinancials, & Tradologic. Many binary options traders may be familiar with these platforms but for those who are not, I will provide an overview on the companies behind them as I believe every binary options trader should be accustomed with the platform on which they are trading.

The Main Platform Providers

Understanding how to use a trading platform is very important and while some brokers’ platforms are easy to use, others can take more time to get to grips with. That’s why it’s important for traders to review a platform to ensure they are comfortable using it.

The largest binary option platform provider is SpotOption serving the majority of binary options brokers. The next largest is Tradologic followed by TechFinancials. Some binary option brokers have developed their own proprietary platforms, such as IQ Option, Opteck and Stockpair to differentiate themselves from other brokers.

SpotOption

SpotOption is officially the leading binary options platform provider and is the only one that offers a complete solution for licenced entities. Established in 2010, SpotOption’s technology platform was awarded “Best Binary Options Platform Providers” by Forex Magnates and EGR Best Binary Solution in 2013 and 2014. The company partners with some of the largest industry names including Banc De Binary, TradeRush and Markets.com as well as many other leading brokers.

SpotOption incorporates a range of unique features such as 60 Seconds, One Touch, Option Builder, Ladder Options and SpotWiz algo trading. Along with its online trading platform, the company also offers a mobile app for iPhone and Android with state-of-the-art graphics and features. Its latest platform, Spot 2, with its user-friendly interface, is centred on providing operators with a comprehensive binary options solution and requires no downloading. The SpotOption platform offers advanced technology and security backed by a range of excellent features. These include full API for integration and an MT4 plug-in with complete flexibility and customisation of platform, all of which have made it the provider of choice for many brokers.

Platform

Tradologic

Tradologic was established in 2008 by a team of professionals with a background in the financial, online gaming and technology industries. The company is a pioneer in binary options, offering advanced solutions to the online financial industry. Tradologic’s technological achievements have been recognised at many expos and trade shows and is the holder of many awards including Best Binary Option Software Provider Europe 2014 (Global Banking & Finance Review). Tradologic offers a broad spectrum of financial products for both casual and professional traders on an easy-to-use and friendly web-based platform. Tradologic’s software is fully compliant with industry regulators.

Tradologic’s binary options trading platform is a customisable, high-tech solution for web-based trading. It also provides a desktop application which allows operators, as well their clients, to add on plugins such as bots and signals. Tradologic offers a wide range of investment types on its platform including High/Low, Touch/No Touch, Touch Up/Down, Range Boundary, Binary 100, Turbo, MultiX and Matrix along with a broad array of supplementary trading tools which help to enrich the trading experience. Its API is simple, fast and flexible, allowing for easy integration into the client’s software which makes the addition of new option types and features an easy and satisfactory experience. Among the company’s expanding list of trusted clients are some of the largest online financial trading companies including OptionXP, OptionBit and Cedar Finance.

Tech Financials

Tech Financials provides cutting-edge binary options trading technology for online brokers. Since its establishment in 2009, the company has developed an exclusive portfolio of trading products. As one of the leading global providers of binary options platforms, TechFinancials complies with the regulatory requirements laid down by the main international financial authorities including ESMA, CFTC and JFSA. It is also the first and only binary options technology provider to be listed on the London Stock Exchange AIM market.

Tech Financials is committed to providing innovative trading technology, bringing professional online trading to the mass market. Its solutions deliver a simplified trading environment for both novice and experienced traders and provide an ideal entry to more professional trading products such as forex (spot) and exotic options. The company guarantees a simplified trading environment that unifies binary options with forex and ladder options in one offering. Its proprietary pricing technology delivers a high-performance platform with the most accurate, real-time pricing for a variety of valuable trading instruments. Tech Financials also provides a mobile trading solution which works on all smart mobile devices. From complete solutions to API integrations, it offers a fully comprehensive solution for brokers so that they can run a lucrative binary options trading operation. Tech Financials boasts the industry’s largest brokers which include 24Option and OptionFair as clients.

Trading platforms rank as one of the main factors in selecting a broker and traders need to feel comfortable using their chosen one. For this reason, it is also a good idea to sign up for a demo account and try trading with virtual money in order to get familiarised with a broker’s platform. Now you know more about the binary options trading platform you’re likely to be trading on, you’ll find our recommended broker’s platform a breeze!

U.S. Dollar Steady As ECB Meeting Looms

In the week ahead, the markets’ main focus will be on Europe and the U.S., and with important data also expected both from Canada and the U.K., traders can look forward to some volatility in the markets. Binary options traders looking for trading opportunities are advised to keep an eye on the economic calendar for the latest developments which I will summarise below.

U.S. Dollar Holds Firm

The U.S. dollar held steady versus the yen and euro on Friday after better than expected economic data re-ignited prospects of the Federal Reserve raising interest rates before the end of the year.

The U.S. dollar increased 0.1% to 119.53 yen after gaining 0.4% last Friday. The euro was up 0.1% to $1.1357 having lost 0.4% the previous day. The U.S. dollar received a boost last week after an upward revision in industrial production for August and a University of Michigan survey showing a strong rebound in consumer sentiment, pushing U.S. debt yields higher.

The dollar reached a 7 week low of 118.065 yen while the euro rose to a 7 week peak of $1.1495 earlier last week following downbeat U.S. indicators and worries about China’s economy undermining prospects of the Fed hiking rates before the year’s end.

Will The ECB Add To Its QE Program?

mariodraghiThis Thursday sees the closely-eyed ECB meeting take place and investors have been speculating about when, as opposed to if, the central bank is likely to make an additional stimulus move, Data confirming the eurozone has fallen back into negative inflation has renewed the prospect of ECB action.

The central bank’s mandate has been to ensure price stability throughout the eurozone which means targeting an inflation rate of close to, but under 2%. This has not happened since January 2013 and inflation currently sits at a negative 0.1%.

Renewed eurozone deflation in September is exerting pressure on the ECB to step up its stimulative action at its next meeting and this would most probably be by increasing or prolonging its quantitative easing program. ECB President, Mario Draghi has continually stated that interest rates have hit their lower levels.

Its current 60 billion euro per month easing program introduced in March is scheduled extend through to September 2016 but Draghi is reported to have said that the bank is ready to take action to ward off the threat of low inflation. However, some analysts are not expecting the ECB to go further along the easing route at present, saying that it is too early to decide if further easing is required.

The ECB is due to announce its rate decision on Thursday which will be followed by a news conference from Draghi. Should any new easing measures be announced, this will be expected the news conference.

Other News This Week…

On Tuesday, BOE Governor Mark Carney is due to speak in London. With consumer prices having fallen 0.1% in September, this has exerted further pressure on governor Carney to push prices up in order to achieve the inflation target of 2.0%. Downside risks are still inherent, such as global weaknesses and domestic economy so market volatility can be expected.

U.S. Fed Chair, Janet Yellen is also due to speak in Washington DC on Tuesday. Despite postponing the rate hike in September, Yellen has said she still sees the possibility of a rate rise in 2015 but with FOMC member objections for a rate hike in 2015 still abound, Yellen may have to face several objections from some members of the FOMC.

Finally, traders watching the Canadian markets can look forward to Wednesday’s Bank of Canada Monetary Policy Statement followed by its Rate Statement and press conference. The Bank of Canada maintained its interest rate at 0.5% in its September meeting, noting that the previous two rate cuts in January and July were still boosting economic growth. However, with global market uncertainty continuing to trouble policymakers, analysts have reduced their expectations of a rate cut in October.

So, a busy week ahead, with plenty of opportunities available for binary options traders to profit from the markets. Don’t miss out, trade with our recommended broker today!

Can You Earn A Living Trading Binary Options?

This is a question I am often asked by binary options traders and I will attempt to answer this in an informative way and honest way. There are binary options brokers on the internet together with articles on money management, trading psychology and a host of education tools designed at assisting traders lay foundations to becoming a successful and profitable trader. Whether you can actually trade binary options for a living as your main form of work and source of income without having to ever return to a day job is is not the easiest of questions to answer as everyone’s financial situation is different.

Trading For A Living: Points To Consider

In theory, it is actually possible to trade binary options for a living if you are good at it, and there are many traders out there who make a lot of money with trading as their sole source of income. It is important to be aware that in order to trade profitably to the point where a trader only does this for a living, a lot of start-up capital will be required. Theoretically, it is possible to turn small amounts of money into larger sums, but to do this successfully you will need to be able to have an extremely high in-the-money percentage and continually take trades in higher volume.

However, trading in high volume is not really recommended as it contributes to over-trading, or in other words, taking lower quality set ups. It is possible to turn small sums of money into larger sums by trading at a lower volume but this would involve highly risky money-management techniques where your trade size is equal to, or almost equal to the sum from your previous winning trade. To illustrate, a trader deposits $250 and trades the entire amount with his first trade. Assuming the trader wins, and ends up with an account balance of $420, he would then trade the whole amount once again, and continue in this manner.

This allows a trader to continue trading in lower volume taking only the best set ups. However, the main issue with this kind of money management is that once a trader loses, which is inevitable because everybody at some point loses trades, they would wipe out their account completely. It is a risky strategy and one which is not recommended at all. It is preferable to consider a fixed-investment money management strategy, where a single amount of money is invested into each trade. This amount remains fixed until a trader’s profit returns and trading skills dictate that it is viable to increase the size of his trade.

It is much better to take a more realistic approach and accept that trading can be difficult, even for those who have a large amount of start-up capital to start with. Even if a trader saves $100,000 capital to invest in trading and is sure he can trade this money profitably, it’s not that easy to get a 100% return annually which produces a yearly salary of $100,000.

One thing for sure about the trading profession is that no salary is ever guaranteed and profits are dictated entirely by a trader’s results. This can be nerve-wracking for a trader whose entire financial future is dependent on obtaining profitable trading results. Not surprisingly, this is one of the main reasons why many traders start to panic when they aren’t obtaining the results they need and end up making irrational trading decisions and wiping out their entire account.

Binary Options: A Great Source Of Extra Income

making moneyIn my opinion, every trader should view trading as a way to supplement their current source of income rather than replacing it. It is important not to make the mistake of viewing trading as a get-rich-quick scheme that will allow you to quit your day job because honestly speaking, it takes time to become an expert. This is not to say that enthusiastic traders should abandon all hope of trading for a living. However, it is better not to put all your eggs in one basket, as many serious traders will agree. Even if you are a highly competent trader, it is preferable to stick to your ‘day job’ along with the advantages of a fixed income stream and the additional benefits that regular employment provides. In this way, you can view your trading successes as an extra source of income that will help you achieve a better lifestyle or buy that luxury car you always wanted!

Above all, I believe traders can perform better by not having to stress over day-to-day finances. Those who take a more relaxed approach to their trading activities will find themselves far more likely to boost their income and achieve their financial goals. Why not supplement your income by trading binary options with our recommended broker today?

Rate Hike Uncertainty Impacts On The Markets

The week ahead sees a flurry of economic data from the U.S. with Retail Sales, PPI, CPI, UoM Consumer Sentiment and Philly Fed Manufacturing data due, the latter being very much regarded as a leading indicator of economic health. The Federal Reserve still continues to be the focus of traders who are closely tracking every piece of incoming economic news to gauge the impact on its interest rate decision. However, with increasing evidence that the global economy is slowing down, the Fed continues to have a hard time justifying an interest rate hike. In the light of this scenario, I’d like to take a look at how the U.S. dollar is reacting to this situation together with the repercussions on the European stock markets and precious metals.

Economy

Dollar Close To 3 Week Lows

The U.S. dollar displayed a lukewarm reaction at this week’s trading open as the possibility of an interest rate hike by the Fed this year was left uncertain following the G20 meeting. The Fed’s Vice Chairman, Stanley Fischer commented that the U.S. central bank is adopting a cautious approach in connection with raising interest rates, taking into account both developments overseas as well as the effect of higher interest rates on emerging markets and elsewhere.

Amid doubts that the U.S. Federal Reserve will raise interest rates by the end of the year, the dollar hovered close to a 3 week low versus a basket of major currencies today. The dollar index, measuring the dollar’s value against a basket of six major currencies, was last trading at 94.780. On Friday it reached a low of 94.692 which was its weakest level since 18th September. The euro edged up 0.1% to $1.1372, having set a 3 week high of $1.13875 on Friday. The dollar held steady against the yen at 120.21 yen.

Weak U.S. jobs data released early in October prompted investors to push back expectations for the timing of the Fed’s first rate increase in nearly a decade to next year and traders are now focusing on whether the current rise in commodity-linked and emerging market currencies will turn out to be a short-lived rally or a more prolonged uptrend. Whether the Fed decides to hike interest rates this year or keep them constant, traders can expect volatility in the markets and the central bank’s decision will be one of the main drivers for risk-on or risk-off sentiment in the short term.

European Stocks Set To Continue Winning Streak

European stocks are expected to open steady today after recording their best weekly gain since January last Friday. Britain’s FTSE 100 is expected to open down by 17-18 points which is 0.3% lower while Germany’s DAX is expected to open up by 9 points or 0.1% higher. European stock markets had finished firmly higher on Friday in reaction to the Fed’s September policy meeting minutes. The pan-European benchmark climbed 4.3% for the week, its largest increase since 17th July, when Greece accepted a bailout deal with its international creditors.

The optimism in European stock markets follows last week’s surprisingly weak U.S. labour market data, which fuelled expectations the Fed won’t start to tighten monetary policy this year. The prospect of lower interest rates is seen as positive for riskier assets like stocks as it increases their appeal to traders.

Good News For Precious Metal Investors

Bad news on the global economy is always good news for precious metals including gold, silver, platinum and palladium and this helped fuel rallies for a third straight week, amid signs of the ailing U.S. labour market, a fall in German factory orders and forecasts by the IMF for slower global growth.

Over $8 billion was wiped from the value of ETFs backed by precious metals this year through September and prices as recently as this month were at 6 year lows, in part due to the Fed indicating that higher borrowing costs were imminent. Now, more investors are anticipating that the central bank will push back the increase into next year and the signs are that the markets are moving away from the worst sentiment in gold for years.

Gold futures for December delivery rose 1.7% last week with trading little changed today at $1,155.70 per ounce, and silver having increased 3.6% last week, capping the first consecutive increase since August. Platinum soared 7.9% last week, the most since October 2011, while palladium increased 1.5% in a fifth straight weekly gain, the longest rally since July 2014.

Before last month’s jobs report, investors were in the main, ignoring precious metals. Economists are expecting interest rates to eventually rise, at some point this year or next and this prospect will keep a lid on rallies in gold and other precious metals. However, for investors looking to the longer term, gold is at a fair price.

With the Fed continuing to be very much a focal point in the markets and a busy week ahead for economic releases, traders are advised to keep a close eye on their impact on all the asset classes. The figures released will also impact on whether the Fed will hike interest rates sooner rather than later and present a variety of opportunities for investors. Binary options traders can maximise their profit potential with our recommended broker. Sign up today!

How To Use The Profit Compounding Strategy

Binary options traders will be aware that there are many strategies that they can use in order to exploit their full profit potential when trading. I have recently discussed both the Hedging strategy and the Straddle strategy both of which are very effective and popular with traders. It is always useful to be armed with a collection of useful trading techniques and another one that is common with traders is the Profit Compounding strategy. In this article, I would like to discuss how to use this strategy and illustrate how a trader’s profits can increase exponentially.

What Is The Profit Compounding Strategy?

The Profit Compounding strategy is one of the most important as well as the most powerful strategies for an investor to use when trading binary options. Compounding can be classed as a money management strategy rather than a straight-up profit strategy, but the returns it will yield in the long term, if applied correctly, can well exceed those of profit compoundingtraditional profit strategies. The Profit Compounding strategy for trading binary options, also commonly referred to as the “snowballing” strategy, has been specifically designed to keep risks at a minimum, while increasing the levels of profit with each successive trade. The strategy can be applied to any fund amounts and has no set minimum prerequisite that you need to have in your binary options account.

How It Works

The Profit Compounding strategy involves the use of a specific percentage of the total funds in your account, rather than a predetermined amount of money for each trade. For example, assume that you have $1,000 in your trading account. Instead of deciding to invest a set amount of $150 or $200 on all your trades, you determine a fixed percentage, for example 10%, for all future trades, which in the case of our example will be $100. If you place five successful trades at an 80% return, at the end of your trading session you will earn $400, raising your total account to $1,400. Next time you trade, you will again apply the 10% rule to determine your investment amount, which will now be $140. If you again place five successful trades with 80% returns, your profits this time will amount to $560, a significantly higher amount of profit. Despite higher profits, by using the Profit Compounding strategy risk levels remained stable at 10% for each trade in both trading sessions. The percentage to be used in trades depends on the trading preferences of each individual investor, but traders should bear in mind that higher investment percentages also bring higher risks. For this strategy to be effective, the same percentage should be applied to all trades within the period of at least a month before re-evaluating.

Of course not every binary options trade you place will be successful, but as long as the profit ratio is higher than your loss ratio, or in other words, as long as you place more successful than unsuccessful trades within a trading session, the Profit Compounding strategy will have positive effects as you will see your trading account increase along with each increased investment amount. Applying the Profit Compounding strategy to manage the money in your trading account will bring greater profits in the long term, while also balancing out your risk levels.

All strategies require practice by traders in order to become skilled in using them. Although the Profit Compounding strategy is generally a technique for the more experienced trader, once a comfort level has been reached, you will be able to see your profits snowball. Once you are fully educated on using this strategy, you can start by applying it to your trading activities with our recommended broker.

 

Using An Economic Calendar For Binary Options Trading

Important events occur on a daily basis across the world, many of which have a major impact on the global economy. Traders will undoubtedly be aware that these kind of events impact on the assets on a binary options trading platform. In this article, I shall be taking a look at the need to refer to economic calendars as part of a trading strategy and how a binary options trader can best utilise them to profit from market news and events.

What Is An Economic Calendar?

As a trader, it is important to utilise a variety of tools that can assist with keeping up-to-date on events, allowing for more informed trading decisions. One of the many tools available to traders is an economic calendar which provides a historical overview of an asset’s performance in parallel with any activities that are taking place across the global economy. This is usually presented in a chart format listing the asset, economic indicator and the change in value.

economic calendarEconomic calendars help traders by providing an insight into assets including currency pairs, stocks and indices across a range of markets. By highlighting changes in the value of an asset following an economic announcement, economic calendars reveal how sensitive an asset is to a particular announcement. For example, if data published by the U.S. government revealed a fall in the number unemployed which subsequently had a positive impact on the USD/JPY currency pair, this could provide a valuable insight for future trades. So, if a comparable situation re-occurs sometime in the future, traders may use this information to predict a rise in the value of the USD/JPY.

A different variety of economic indicators are included in economic calendars, including the unemployment rate, consumer price indices (CPI), consumer sentiment, trade balance information and manufacturing data. The objective is to include figures which drive movements in the overall economy. Economic calendars not only tell us when important events are due to take place, but also what market analysts are anticipating. For example, should Disney be set to release an earnings report in the coming week, the calendar will list the date, time, and expected numbers according to market analysts. With all this information included in one chart, traders can have a central point to find this information as they place their trades.

Using An Economic Calendar

Economic calendars, along with other techniques such as fundamental and technical analysis, help traders plan their strategy and gauge the price movement of an asset within a given timeframe. By using an economic calendar, binary options traders can determine the economic performance of given markets on a regular basis, thus helping to improve the accuracy in their trading predictions. Since the markets are constantly changing, economic calendars are very useful as they help strengthen a trader’s expertise and knowledge over time.

While becoming a successful binary options trader involves gathering information from a selection of resources to build a strong picture on a trader’s chosen assets, using an economic calendar is crucial in helping traders maximise their earning potential.

Using an economic calendar is not difficult and simply involves taking note of specific data releases, looking at the expected numbers and then monitoring market reports to see if the data is better, worse or close to what the analysts were expecting. In situations where the data is far from what was expected, traders should be ready to enter into a binary options trade based on the current price action. If the data is favourable, traders should watch for Call opportunities. If it is not favourable, they should watch for Put opportunities.

The ideal situation for a trader is when the data misses the market drastically and a price trend begins. Price trends can be very lucrative for traders as they can present the possibility for a larger number of profitable trades to be completed within just a short period of time. One of the easiest ways to spot a prospective price trend is to view an economic calendar although it is also advisable to consult with technical charts such as the basic price movement charts that are available on a broker’s platform. These indicate how the price has moved over a period of time. Traders should also be aware that the price of assets tends to be on the stable side prior to market reports being released. This is because investors do not usually make any moves while waiting to see what the data actually reveals.

In summary, using an economic calendar as part of a binary options trading strategy is a must and it is advisable to take some time to examine one of the most popular economic calendars in order to familiarise yourself with the way in which they work. After doing so, you can go on to trade binary options with confidence using our recommended broker.

Market Watchers Eye NFP, Earnings Reports

A busy schedule lies on the horizon in the days ahead as the financial markets gear up for a week heavy with economic data and commentary from key Federal Reserve policymakers, including Fed Chair Janet Yellen.

The highlight of the week’s events is Friday’s U.S jobs report for September which is expected to show solid gains, with economists predicting the creation of 203,000 jobs, up from 173,000 last month. The unemployment rate is expected to remain at 5.1%. Whatever the outcome of Friday’s report, the September figures are highly likely to steer the debate in the week ahead as to when the Fed will hike rates. Janet Yellen succeeded in improving the message on the U.S. economy last week, so a lot rests on a positive reading this week. A worse than expected jobs report will not be digested well by the markets.

Market watchers will also be closely scrutinising any economic or market news from China, together with any action in the emerging markets, where currencies have continued to weaken against the dollar in the last week.

In the light of these events, I would like to take a brief overview of the latest currency and gold news, as well as a glance at the forthcoming Quarter 3 earnings results where binary options traders may wish to look for profit-making opportunities.

Slow Start To The Week For World’s Currencies

The world’s major currencies got off to a slow start today after a quiet weekend with the U.S. dollar showing potential for gains if the markets see positive jobs data on Friday, strengthening the case for an increase in interest rates this year. After delaying a long-anticipated rise in U.S. rates, the Fed sparked volatility in the global markets but Yellen has since assured the markets that the central bank is still on track to normalise policy this year.

The dollar climbed to its highest level in more than a month last Friday but has since been consolidating. Against the yen it fetched 120.49, having risen as high as 121.24. The euro was back close to $1.1200 recovering from a fall to $1.1116.

Trading in Asia also got off to a quiet start with not much in the way of market-moving economic data expected. Markets, however, could be choppy with China winding down for their week-long National Day holidays from 1 October.

Gold Steadies After Earlier Losses

Gold also got off to a quiet start to the week today, struggling to recover from the previous session’s losses as investors remain concerned over the timing of the U.S. interest rate hike. Spot gold was little changed at $1,146.70 an ounce having dropped 0.7% on Friday after Yellen commented that the U.S. central bank could start to raise rates this year. Gold had benefited from ultra-low rates, but the precious metal may see demand take a hit once rates start going up.

Wall Street Set For Gloomy Q3 Earnings Season

Investors looking for opportunities on stocks and the indices may all be too aware that Wall Street is bracing itself for a gloomy earnings season, with little by way of improvement expected anytime in the near future.

EarningsAnalysts have been slashing projections for the 3rd quarter, which ends this Wednesday. If the declining projections are realised, already pricey stocks could become even more expensive. Around half of the S&P sectors are estimated to post lower profits which is largely due to the slowdown in China and the uncertainty over a rate rise in the U.S. The S&P500 is reported to be down 6.4% this quarter. The weak forecasts have resulted in some economists talking about an earnings recession, indicating two quarterly profit declines in a row, as opposed to an economic recession, whereby gross domestic product declines for two straight quarters.

So, overall, a soft start to the week although we are likely to see some increased activity in the lead up to Friday’s NFP. As we have seen, there are many trading opportunities to take advantage of this week, whatever asset you are looking to trade. If currencies are on your priority list, the yen is worth watching as it is the best performing major currency this year having risen 1.6% against the U.S dollar since 30 June. Commodities too are also worth a look at, especially gold prices, which always react to major economic reports. And finally, if you are looking for profit-making opportunities on stocks and the indices, tracking this week’s earnings reports is a must for every serious trader as Q3 draws to a close. Don’t miss out! Trade the asset of your choice here with our recommended broker.

An Overview Of The Leading European Stock Market Indices

Indices are a popular asset among traders as they offer great opportunities to make a profit. Stock market indices, as illustrated in an earlier blog, are a basket of specifically selected stocks which either represent a particular sector of an economy or simply the market they are in. Every sector of the stock market and economy has an index. The groupings of the indices are varied with the most common being based on national origin and industrial sector or international stocks which are also grouped by industrial sector or capitalisation.

Each index follows the performance of the stocks that comprise that specific index. For example, the FTSE 100 is an index which follows the performance of 100 of the most highly capitalised companies in the UK. Similarly, within the European stock markets there are several major indices comprising Europe’s largest capitalised companies. As we have seen, trading the indices can prove very rewarding because they usually have a greater return than the stocks they represent, partly or as a whole.

Although most traders will be familiar with, or will have perhaps traded the larger indices such as the Dow Jones Industrial Average, S&P 500 and Nasdaq I would like to turn my focus on this occasion to the European Stock Market Indices.

The Most Important European National Indices

The most important national stock market indices in Europe are CAC 40, FTSE 100, DAX 30 and IBEX 35.

The CAC 40 is a French stock market index which tracks 40 of the most highly capitalised stocks on the Paris stock exchange. It is the benchmark for all investments in the French stock market as well as suggesting the movement of the Paris Bourse. As with the Dow Jones, the CAC 40 is the most preferred index for investors to get an indication of the direction of the stock market in France.

FTSE-100The FTSE 100, also known as the “footsie” is a stock index based in the UK and traded on the London Stock Exchange. Its main index is the FTSE 100 which comprises the 100 most capitalised companies in the UK. It is one of the most widely used stock indices and is seen as a gauge of business prosperity for business regulated by U.K. company law.

The next largest is the DAX 30 which is a stock index based in Deutsche Borse, Germany’s Frankfurt-based stock exchange and comprises 30 of the most highly capitalised companies in Germany. Established in 1992, the Deutsche Borse is the twelfth largest stock exchange in the world.

Another leading stock index in Europe is the IBEX 35 which is part of the BME Spanish stock exchanges. The Spanish stock exchanges have a capitalisation of $1.4 trillion and are the ninth largest exchange in the world. The IBEX 35 is the largest index on the Spanish exchanges and comprises the 35 highest capitalised companies in Spain.

The European International Indices

In Europe there are 11 European-wide stock indices which are mostly grouped by company capitalisation such as STOXXAKKVVB 50 which comprises the 50 largest blue chip companies in Europe and EURO STOXX 50 comprising the 50 largest blue chip companies in the Euro Zone. Other important European-wide indices are the FTSEurofirst 300 Index comprising the 300 biggest companies classed by market capitalisation in the FTSE Developed Europe Index and FTSEuroFirst Euro Supersector Index which is composed of 18 indices categorised according to industry segment and are selected from the FTSEuroFirst 300 Index.

Can You Make A Profit Trading The European Stock Market Indices?

There are many opportunities for binary options traders to make money this way. If you wish to trade any of the European Stock Market indices, you should choose a reputable binary options broker and proceed by using the same technical indicators as with other trading instruments to assess the market for the many trading opportunities available. It is important to remember that the value of a particular stock index is a function of the value of the individual stocks that make up that index so it is important to understand that the factors that make investors prefer a stock or dump another in order to help you decide which direction to trade.

As we have seen, traders wishing to invest in European companies have an extensive choice of indices to invest in. Why not take advantage of the week’s economic events and trade with our recommended broker today?

Oil Prices On The Rise As Gold Retreats

After last Friday’s battering following the Federal Reserve’s interest rate hike decision, the markets head into this week seeking clarity. Although Yellen is reported to have said that the Fed could still hike interest rates this year, the markets are concerned about the fact that it downgraded its view of U.S. growth and cut inflation expectations. As the markets continue to look for reassurance on the U.S. economy, I would like to focus my attention on the commodities markets to see how oil and gold are faring this week.

Oil Prices On The Up As U.S. Drilling Declines

Oil prices increased by over 1% today after data revealed U.S. drilling slowed down and that planned production was uneconomic at current prices. Crude oil has halved in value during the last year as increasing global production swamped falling demand and the lower prices have now started to impact on drilling, especially in the U.S. As a result, U.S. drillers have reduced the number of operating rigs for three weeks in a row. According to reports, there was a decline in U.S. oil production between the second and fourth quarters of 2015 of over 250,000 barrels per day.

oilgoldBrent crude oil increased 60 cents to $48.07 a barrel. WTI crude oil futures were were up 58 cents and trading at $45.26 per barrel. Analysts still expect prices to remain at low levels for some time as other producers, especially in Russia and the Middle East, continue to pump near record levels.

Gold Retreats From 3-Week High

Gold retreated from a near 3-week high today as strength in stocks and the U.S. dollar dampened an earlier rally fuelled by the Federal Reserve’s decision to maintain current U.S. interest rates. European stocks increased 0.6% while the dollar increased against a basket of currencies, following speculation that other key central banks could ease policy following the Fed’s delayed interest rate decision.

Spot gold was down 0.21% at $1,136.50 per ounce, whereas U.S. gold futures for December delivery was down $1.50 per ounce at $1,136.30. Gold held in a narrow range earlier in the month on uncertainty over whether the Fed would hike rates, raising the opportunity cost of holding non yielding bullion while potentially supporting the dollar.

The dollar rose abruptly after the Fed avoided the much-discussed hike last Thursday, topping $1,141.50 the next day, but has now retreated below this level. With the Fed still expected to hike rates before the end of the year,gold could come under pressure again. Among other precious metals, silver was up 0.1% at $15.17 per ounce while platinum was down 0.4% at $974.90 per ounce.

Analysts believe a longer-term decline in gold prices lies ahead. Short selling in response to the Fed is likely to have contributed to the jump in gold prices seen on Friday which would otherwise  have remained stuck in a sideways range.

Oil and gold are always attractive investments for binary options traders and it will be worth keeping an eye on developments in the markets in the weeks ahead to see where prices are headed. As we have seen, analysts expect oil prices to stay at low levels for some time while gold is expected to remain under pressure. If you’re looking to trade the commodities markets, why not sign up with our recommended broker today?

A Beginners Guide To The Hedging Strategy

There are a large number of trading strategies used by binary options traders and one that most traders have heard of is the hedging strategy. Hedging is most commonly used for trading currencies but it can be used in any asset class. It is a strategy that has quickly gained in popularity because it is fairly easy to understand and implement. I would like to examine the hedging strategy in a little more depth and illustrate how traders can use it to their advantage in order to achieve their financial objectives.

What Is Hedging?

Hedging is an innovative strategy frequently used by binary options traders which involves using two opposite directions on a trade at the same time. This means that both the Call and Put options are placed simultaneously to reduce the chance of a losing trade while increasing the chances for a profitable one.

hedgingHedging strategies can be very useful when an increased price action on a particular asset is expected but there is uncertainty as to what direction it will take. This usually occurs when very important economic data is due to be released. Quite often the markets have some anticipation of the how close to the forecasted figures the news will be, but they can also be taken by surprise.

Hedging your options can allow you the chance to profit both from your original option and from your hedge option. This generally only happens when there is a large difference between the strike point of your original Call option and the strike point from when you placed your Put option. Of course, there are times when you are certain that your option will end up in the money, in which case, hedging may not be needed. However, it’s a good strategy to use when there is a large difference in your two strike points and sometimes even when the gap is quite small.

The key factor in determining how successful you will become at using hedging strategies is learning exactly when the optimum moment to execute them is. It is important to be aware that the financial markets can undergo high levels of volatility which can create serious price surges with virtually no warning whatsoever. This can transform profitable binary options into losses in an instant.

Hedging has sometimes been criticised due to the fact that it is considered counter-productive to invest money in a losing position. However, by going in early, on both sides, you get a better deal in terms of the strike price, which you won’t be able to take advantage if after the trend has fully emerged. Nonetheless, it is advisable not to approach every trading situation with the intention of hedging. It is a is a useful tool at times when a lot of movement is anticipated where the direction is not clear but it can also be used to minimise the effects of a losing trade. Winning one or two of three trades is better than winning zero of one.

Can You Make Money With The Hedging Strategy?

Yes you can, but to ensure success when trading with the hedging strategy, you must completely understand the techniques and manage these correctly. If understood and used correctly, hedging can be a hugely profitable strategy.
In the same way as with all binary options strategies, traders will benefit from trying out the hedging strategy on a demo account first and only moving on to real live trades once a comfort level with it is reached. Once you are fully confident using this strategy, you can start by applying it to your trading activities with our recommended broker.

U.S. Federal Reserve Takes Centre Stage

This Thursday, the markets will finally learn whether the Federal Reserve will give the go-ahead with its first interest-rate hike since 2006. The Fed  will be therefore be taking centre stage this coming week, eclipsing the latest industry data from the Eurozone and China. As it stands, trying to figure out whether the Fed will increase rates on Thursday or will decide to opt for a later date, is anybody’s guess as even the rate setters continue to waive over the decision. I’d like to take a look at how the markets are reacting to the situation in advance of Thursday’s announcement.janet yellen

Trade in most of the asset classes is expected to be subdued in the run-up to Thursday as investors continue to weigh up the chances of the Fed finally enforcing the long-awaited rate increase. A small majority of forecasters are predicting the Fed will proceed with the hike, but overall, traders are pricing in a smaller chance of a rate rise given the sharp falls in commodities and equity markets in recent weeks, along with signs of slowing global growth.

U.S. Dollar Slips As Fed Countdown Begins

Currency speculators have increased their bullish dollar bets for the first time in weeks, suggesting that some investors are betting on, or hedging against a stronger U.S. dollar ahead of the Fed meeting. The dollar inched lower today with investors sitting on the sidelines as the countdown commences. The euro edged up 0.1% to $1.1350, hanging on to last week’s 1.8% gain. The dollar, meanwhile, eased 0.1% to 120.42 yen.

Asian Shares Also Bear The Brunt

Even the disappointing set of Chinese data released on Sunday failed to rouse the markets and while Asian shares rose today, they came under pressure after Chinese markets were hit by soft economic data. Chinese shares got off to a downbeat start with the CSI300 index and Shanghai Composite Index down 3.5% and 3.2% respectively.

Growth in China’s investment and factory output missed forecasts in August, increasing the chances that China’s third-quarter economic growth may drop below 7% for the first time since the global crisis while adding to expectations that Beijing will adopt more measures to bolster the economy.

Gold Close To One Month Low

Gold Prices are set to be in tight range until the Fed’s statement. The precious metal extended losses today and was trading near its lowest for a month, as investors await clarity on the timing of the interest rate hike. Spot gold fell 0.2% to $1,105.40 an ounce after losing 0.3% on Friday and falling to $1,098.35 in the previous session, its lowest since 11 Aug. U.S. gold edged up 0.4% to $1,107.40. Gold prices have recently been feeling the impact of uncertainty over the timing of the Fed’s first rate hike in almost 10 years.

There still remains some feeling amongst analysts that Fed clarity won’t help to ease market volatility and it is still 50-50 as to whether the Fed will raise rates this week. Should there be a rate increase later this week, the dollar may come under pressure if the Fed’s policymakers downgrade their outlook on the appropriate route for interest rates in 2016. Whatever the outcome on Thursday, the consensus it that there will be a rate hike by December on the grounds that the U.S. economy is fairly strong.

The Fed’s two-day meeting commences on 16 Sept and will be accompanied by the release of Fed policymakers’ latest summary of economic projections and a news conference by Fed Chair Janet Yellen. Binary options traders should therefore be on the lookout for trading opportunities on all the assets in the week ahead. Trade with our recommended broker here.

Inside The Mind Of A Binary Options Trader

If you’re a seasoned binary options trader, you’ll understand the importance of trading psychology but those who are new to the world of trading may not be aware just how important it is to be disciplined and to be able to handle your stress effectively. Often overlooked in the scramble to make money, I will discuss trading psychology and advise on some techniques to help traders achieve their financial goals in a professional way that will ensure success.

trading-psychology

What Is Trading Psychology?

It is important to remember that when trades go against you, you need to be able to control your emotions and maintain a cool head. Whatever trading strategy you have employed, you need to keep your nerve and stick to your game plan.

It is vital that you are fully prepared before you embark on your trading activities and that you approach it in the right frame of mind. This is what will differentiate you from the many traders who lose more often than not, or only manage to earn small profits.

Traders also need to know when to walk away from a trade. Analysing the markets and predicting the direction of a price movement is just one aspect of what makes a successful trader. Discipline and being able to manage the stresses of trading are what separates great traders from the rest.  

Hence, whatever type of trader you are, I would like to stress once again, the importance of keeping your nerve and sticking to a game plan. Here are some key points to help you on your way.

The Importance Of Being Disciplined

The most important aspect of binary options psychology is being highly disciplined. I would advise on finding a trading strategy that works for you and sticking with it. Seasoned traders trade a meticulous, clear-cut plan whereas amateurs trade on intuition, often instinctively and impulsively. If you find yourself making trades based on your hunches alone, you are acting impulsively and should walk away! If this happens, it is best to take time out and do something else for a while and resume your trading activities later.

Make Stress Work For You

Moderate levels of stress can be stimulating, but it is important to make sure that you don’t break your “stress threshold” barrier. Smart people make stress work for them and the same goes for traders too. A small amount of stress can actually make you a better trader as it keeps you functioning at your peak. However, if you overdo it and exceed your stress comfort level, you will start making fatal errors. Too much stress can trigger defensive or aggressive behavior which in turn makes you re-active rather than pro-active. Identifying your stress threshold is useful advice in any walk of life!

Keep Control Of Your Emotions

When trading binary options, some trades will inevitably not go in your favour. If trades don’t go your way, controlling your emotions and keeping your cool can work wonders and give you the unbeatable edge you are after. This is where the psychology of winning and losing comes into play. The natural reaction of traders who lose out on a trade which has not gone according to their predictions is to double down on the next trade to try to make up for their losses straight away. This is a big mistake. It is important to stay calm and stick to your plan. The same advice applies when you win. You should never get over-confident and try to ‘ride your luck’. Luck doesn’t exist but the correct strategy does!

Don’t Get Too Greedy

Everyone gets greedy at some point in their lives. It is human nature. However, this is something you need to be able to control that if you want to be a successful trader. There are many traders who, driven on by their greed, continue to play the same position as long as they can eek every last drop of success out of it. Of course it is in our nature to constantly strive for something more, but in trading it is important not to become too greedy because in the majority of cases it will only bring you down. Be realistic and fair on yourself and remember that keeping a level head is more likely to bring you success.

Although this advice may be perceived as easier said than done, the sooner traders accept that trading psychology is a key part of the equation of making a success of trading, the sooner they will start making money. It is a tried and tested formula as any experienced trader will tell you!

Traders will find that good binary options brokers such as our recommended broker include trading psychology in their educational tools usually on offer free traders. Be sure to check out your broker’s education centre.

Market Watchers Focus On Key Interest Rate Decisions; Fed

Trading activity is expected to be thin on the ground today with U.S. markets closed for Labor Day. However, there are some key economic events coming up later in the week that are expected to move the markets. I’d like to begin this week’s outlook by taking a quick glance at the U.S. markets today following last Friday’s jobs data.

U.S. Dollar Regains Ground Against Yen After U.S Jobs Data

Market watchers will be aware that U.S. Non Farm payrolls increased less than expected last month which revealed figures of 173,000, a slowdown from July’s upward revised gain of 245,000 and the lowest increase in 5 months. The unemployment rate, however, came close to touching a 7 1/2-year low. The data came amid anxiety about China’s slowing economy and falling global equities, leading investors to reduce bets that the Fed would raise interest rates in September.

The U.S. dollar managed to regain some ground it had lost to the yen after reacting to U.S. employment data that failed to provide clarification as to the timing of the Federal Reserve’s long-anticipated interest rate hike. The dollar added about 0.3% against the yen to 119.38, edging away from a low of 118.66. Many investors believe the dollar’s downside remains vulnerable but that the Fed could bring on a dovish hike. Hence, Wednesday’s U.S. JOLTS Job openings figures will be of importance as they provide a wider perspective of the jobs market, even though the figures are delayed. June’s figures were 5.25 million and a rise to 5.33 million is predicted for July.


Rate Decisions In Canada, New Zealand & UK Expected

Economists are expecting New Zealand’s official cash rate to be cut this week with its next OCR announcement on Wednesday. The central bank cut its benchmark interest rate by 25 basis points to 3.0% in July, which was designed New Zealand Dollarto increase inflation and boost economic activity. The central bank’s growth outlook deteriorated since its last policy meeting in June but the NZ dollar has declined somewhat since then, benefitting manufacturers with lower commodity export prices. More cuts are expected in September and October as the slowdown in China begins to impact on New Zealand’s economy. Another rate cut to 2.75% is predicted this month.

Over in Canada, Wednesday also sees the Bank of Canada’s latest interest rate statement. Market watchers will be aware that the central bank lowered its benchmark interest rate to 0.5% in July. This was the second rate cut this year, aimed at boosting the economy. The BOC reduced its growth estimate in 2015 from April projections after exhibiting a slight contraction in the first half of the year. Nevertheless, the central bank forecasts a rebound in the second half of the year with 1.9% growth expected. The BOC is expected to maintain rates this time round.

In the U.K. the Bank of England maintained interest rates at 0.5% in August with a lack of inflationary pressures delaying the central bank’s decision to increase rates. The collapsing stock market in China and Greece’s debt situation contributed to the bank’s decision to postpone the rate increase. Analysts do not see a change in Mark Carney’s monetary policy on this occasion.

Other key data that traders may wish to look out for are Friday’s U.S. PPI figures in which analysts are expecting a slight fall and the University of Michigan Consumer Sentiment data where U.S. consumer sentiment is expected to dip further.

A quick look at the euro today shows gains of about 0.1% to $1.1146 but  worth bearing in mind are the European Central Bank’s warnings last week that growth is likely to suffer from fading momentum in emerging markets, especially China, and that decreasing oil prices could pull the eurozone back into deflation in the coming months.

Overall, an interesting week for binary options traders in terms of data releases and as the markets await further clarity on whether a U.S. interest rate hike could still be on the cards. Don’t miss out on potential trading opportunities – trade with our recommended broker here.

Why Binary Options Traders Should Use A Demo Account

Binary options demo accounts are a great feature that can help traders get off to a flying start trading binary options and are just as beneficial to more seasoned traders looking to improve their trading skills. Essentially, demo accounts help traders understand the entire process of trading in the binary options market in a practical way before having to put all their money at stake.

I am a big advocate of demo accounts and believe every binary options trader should include them in their overall strategy. In this article, I will look at the reasons why using them is very important if you are looking to maximise your chances of success when trading binary options.

What Exactly Is A Demo Account?

A demo account is a way for investors to trade in the live markets using their binary options broker’s account without risking any of their money. Anything they win or lose will be “virtual money” and will not affect their account balance demo accountin any way. Demo accounts look and work in exactly the same way as regular binary options trading accounts and allow traders to familiarise themselves with the broker’s trading platform as well as trying out new strategies with no financial risk as they learn.

In addition, every binary options broker’s trading platform is different so before a trader starts trading real options with a new broker, they should take some time to use their demo account first. Many traders make mistakes which could have been avoided simply because they don’t really understand how their broker’s platform works. By using a demo account, traders learn exactly how the platform of a specific broker works and how to make profitable trades easily and efficiently.

Should Every Trader Use A Demo Account?

Demo accounts are not just for beginners. Binary options traders with many years experience can also take advantage of a demo account to try out different trading strategies and see how they will work over the short term. Although the use of a demo account is usually time-limited and not long enough to find out if your trading strategies will be successful in the long-run, you can still get a fairly good idea of the long-term feasibility of a strategy over the course of a few days.

Demo accounts are a key part of the education process and all traders should take advantage of them. While a few brokers offer the use of a free demo account, most usually require a trader to make a minimum deposit first in order to use one. Nevertheless, traders do not have to risk any real money until they are confident enough to trade for real.

Why Using A Demo Account Is So Important

As we have seen, the use of a demo account is important since they give traders first-hand experience of trading in the binary options market. While traders may think they have acquired all the theoretical knowledge of trading they need, such as what the different terms like call, put and payout mean, it is only through experiencing the trading process via a demo account that provides a true perspective of what it’s like to trade for real. This is because in binary options, time is of the essence and a delay of even just one second can change the outcome of a trader’s entire investment. It would be a pity to miss out on lucrative money making opportunities simply because you did not have a thorough knowledge of all the trading options available on the trading platform.

Using a demo account is, therefore, not only important for novice traders to help with the education process, it is also equally important for experienced traders who can perfect their strategies and ultimately improve their winning percentages.

How To Register For A Demo Account

Binary options demo accounts are offered by most binary options brokers including our recommended broker. You can either sign-up directly on a broker’s platform or contact your account manager/customer support after opening an account, who will provide you with the necessary details to access your demo account. Traders are advised to check that their chosen broker offers this service prior to opening an account.

World Markets Await Friday’s NFP With Bated Breath

As the world’s central banks convey to their U.S. counterparts that they are ready for a U.S. interest rate hike and want to see the Federal Reserve act without any further delay, just how real is the possibility of the much debated September hike?

Fed ReserveThe message from Stanley Fischer, at the U.S. central bank’s annual gathering in Jackson Hole last week, was that there was a fairly strong argument in favour of a September interest rate increase. This went against market sentiment that worldwide market volatility and China’s economic slowdown could make the Fed hold back for longer. Fischer did not give any indication as to what action the Fed might take at its September meeting but analysts interpreted his comments as meaning he saw the economy being close to satisfying the Fed’s conditions for a hike. Should the Fed proceed, it would be the first reverse from its policy since the 2008 crisis of ultra-low rates which pushed up stock prices.

In this article, I will examine the current state of affairs in the markets as we await Friday’s all-important U.S. payroll figures, an important precursor to a September interest rate rise.

Could Friday’s Jobs Report Confirm Or Prevent A Rate Increase?

Friday’s jobs report comes less than a month before the Fed’s interest-rate decision but has left market-watchers wondering if the August payrolls can only move sentiment by central bankers one way. This is because the Fed has clearly laid out two main conditions for raising rates. The first is that inflation will return to its target and the second is for “some further improvement” in the jobs market.

With regards to data that is released on Friday, all remains to be seen. Jobs growth has already been fairly good, averaging 212,000 new jobs every month this year and the unemployment rate has fallen to 5.3% from a peak of 10% in 2009. Inflation, however, is a way off the Fed’s target of 2% a year growth for the PCE price index. July’s inflation figures were just 0.3% and have been below target for the last 3 years.

Inside the Fed, there appears to be some conflict relating to the direction of prices. The Fed’s Stanley Fischer is said to be confident that inflation would return to target whereas Minneapolis Fed President Kocherlakota said the inflation outlook was so weak that an easing of policy should be considered.

This leads us to believe that the jobs report isn’t likely to upgrade the Fed’s perspective of the labour market and a negative number could, by contrast, make the Fed wait a bit longer before increasing interest rates.

Dollar On Track For Monthly Loss Versus Yen & Euro

As the markets await Friday’s jobs report, the U.S. dollar started the week under pressure early today, on track for monthly losses but away from recent lows, as investors still remain hopeful for a September interest rate increase.

The dollar index was at 95.704, down 0.4% on the day and around 1.7% lower for the month, but well above the 7 month low of 92.621 reached last week as fears of a sharp economic slowdown in China sent the global equities markets plummeting. The dollar fell 0.6% to 121.01 yen, down 2.3% for August, but comfortably above a 7 month low of 116.15 touched a week ago. The euro rose 0.6% to $1.1249, below last week’s high of $1.1715 but still up 2.4% for the month.

Asian Stocks Decline In Anticipation Of September Rate Hike

Asian stocks have also reacted to the possibility of a September U.S. rate increase, declining in early trade today. The Shanghai Composite Index fell 2.6% to 3,148.08 while Tokyo’s Nikkei 225 declined 1.7% to 18,815.24. Sydney’s S&P/ASX 200 fell 1.6% to 5,179.50 and Hong Kong’s Hang Seng declined 0.8% to 21,446.44.

Investors can therefore look forward to a busy week ahead of Friday’s NFP data which will provide strong clues as to whether the Fed will take its long-awaited step and raise interest rates in September. The U.S. economics calendar is full even without the jobs data with business surveys, factory orders and trade data expected which will also be key in analysing whether the September rate hike will go ahead. If you’re a binary options trader, watch this space and trade with our recommended broker recommended broker here!

My Top 10 Binary Options Trading Tips

Binary options offer traders a simplified way to trade which is not only ideal for beginners but give experienced traders the tools to capitalise on their expertise and maximise their profits. Binary can be defined as one or the other, and the fact that it is so simple has made it very popular with traders, even those with no trading experience whatsoever.

happy young business man work in modern office on computerAs a binary options trader, you are simply attempting to accurately forecast the future direction of currencies, stocks, indices and commodities. As the name implies, binary options have just two possible outcomes: whether the price of an asset will rise or fall over a specified period of time. Traders must therefore decide whether to place a Call or Put option on a trade and the big question is, of course, how to decide.

To follow are 10 practical binary options tips which I have compiled to help traders help make that all important decision. While these tips will not guarantee instant success, they will help traders fine tune their trading skills and pinpoint some of the more common pitfalls.

  1. Understand The Market

It is important not to just jump in to a trade and place a Call or Put option randomly. This, at best, would be pure gambling and best ways, a trader will win some trades by chance alone. Instead, it is better to learn all there is to know about how the market works and the products and services that are available from the multitude of binary options brokers around.

  1. Choose A Reputable Binary Options Broker

Seek out a broker that offers a wide range of assets and a high payout rate. Traders who have a preference for a particular market should check that their broker of choice offers trades on this. It is also important to choose a broker offering a demo account so that a trader can fully check out their platform and carry out some practice trades before trading for real. It is always advisable to choose an established broker who has had time to prove themselves in the industry.

  1. Get Educated

Although this may seem obvious, many new traders get so caught up with the exciting prospect of earning big profits that they skip this step and jump in without completely understanding how to trade and end up losing their funds. Most brokers offer a comprehensive education centre which provides traders with a variety of resources including e-books, tutorials and videos to help them learn about, or improve their binary options techniques. Once again, is important to take advantage of the broker’s demo account and practice trading in order for traders to learn new strategies that may be considered when live trading. It will come as no surprise that many experienced traders use demo accounts to learn new strategies and techniques.

  1. Research The Markets And Implement A Strategy

Successful traders always research their assets thoroughly, keeping up to date with news and events that are likely to affect the price of their asset. They also monitor an economic calendar, tracking all forthcoming events that may cause the asset price to rise or fall. In addition, they use proven strategies that work for them. Trading without conducting research or using a proven trading strategy is a sure fire way for a trader to lose more trades than they win and should never be overlooked.

  1. Choose Your Assets Carefully

It is recommended that traders choose one of the more common assets that are available to trade. This is because there will be a lot more analysis and news available for common assets and there tends to be a lot more in-depth discussion in forums and on other online sources. Tempting as it might be, it is best for traders to avoid the less common assets unless it is one that they are already familiar with, and feel comfortable making predictions on its movements.

  1. Practice With A Demo Account

As already stated, traders should request access to a brokers demo account. Although some brokers offer a free demo account, most insist upon making a deposit before allowing traders access. For those who are serious about trading and will be making a deposit anyway to get started, this should not be an issue. Traders should give themselves time to get to know the broker’s platform and to practice trading while applying strategies which will help them gain confidence when carrying out real live trades.

  1. Manage Your Money and Your Risks

It is important never to put all your eggs in one basket and the same goes for traders too. Binary options traders should never be tempted to risk too much of their capital on one single trade. Smart traders never risk more than 5% of their capital on one trade so that if it goes wrong they will still have a sizeable portion of their capital left to continue and can then recover quickly.

  1. Consider Trading One Hour Binary Options

It is best for traders to avoid very long-term binary options until they have gained some experience. For example, it is not easy to predict precisely the price of a particular asset price in a month’s time. It is preferable to trade one hour options so that a trader can more accurately predict the closing price of an asset from research, analysis, forthcoming economic events and news. This is also a faster way of making a profit. If the market is trending in a particular direction traders may also consider using 60 second options to take advantage of the trend and maximise their profits.

  1. Sign Up For Binary Options Signals

Traders can sign up to a signals service who will provide them with their predictions on a regular basis. If the signals provider has a high winning ratio this is an attractive option which makes sense as their professional traders will have carried out in-depth research and analysis prior to releasing the signal. It is important to know that they do not always predict with high accuracy levels but good ones secure more wins than losses.

  1. Don’t Expect To Become An Overnight Success

Many traders trade binary options to earn extra income to supplement what they already earn in their ‘day job’ by putting in a few extra hours work a week while others earn a great living by devoting lots of time and hard work to it. Traders should be realistic and understand that they get out what they put in and while binary options trading offers huge money-making opportunities, it is unreasonable to expect to become an overnight success.

Armed with these tried and tested tips, binary options traders can look forward to an enjoyable and potentially lucrative trading experience. Why not jump on board today and start trading with our recommended broker?

China-Led Global Slowdown Sways Markets

A lot can happen In the financial markets in a week. The on-going Chinese economic slowdown continues to create strong currents in the world’s financial markets and the much anticipated, all-important September U.S. Fed rate hike now looks very unlikely. I’d like to take a look at this week’s latest events and what binary options traders need to be looking out for in order to capitalise on the best trading opportunities.

Asia Stocks Plummet As China Falls Accelerate

Asian stocks fell to 3 year lows today as fears of a Chinese-led global economic slowdown filtered through the markets. A 2.9% decline in S&P 500 mini futures to a 10-month low during Asian trading hinted that falls may continue later in the global session. As a result, safe-haven government bonds together with the Japanese yen rallied on widespread unrest in the financial markets as China devalued the yuan and increased fears about the state of its economy.

china stocksStock exchanges across Asia bore the brunt as Chinese shares fell with no major policy move from Beijing over the weekend to support equities that had been expected after last week’s 11% drop. Shanghai shares tumbled 9% to a six-month low eradicating this year’s gains. MSCI’s index of Asian-Pacific shares outside Japan also declined 5.1% to a 3 year low while Tokyo’s Nikkei fell 4.1%

With the market in a downtrend and no RRR (reserve requirement) cut over the weekend, the market looks as though it could be heading south. Nevertheless, despite the bearishness hounding the market, analysts expect China to step up monetary action further by means of fresh monetary stimulus which could have a positive knock-on effect on the stock markets.

European markets also opened sharply lower today as the selloff of stock markets around the world continued. The pan-European Stoxx600 index was down over 3.3% after the open. London’s FTSE100 index was down over 2.3% while the German DAX was over 3% lower.

Gold Close To Its Highest Level In Nearly 7 Weeks

Gold has stayed close to its highest level in almost seven weeks amid concerns over the slowing Chinese economy pulling investors away from riskier assets. The precious metal is finding itself a safe-haven bid amid all the volatility in the markets and should things get worse, it is expected to go even higher.

Gold rose to as much as $1,168.40 on Friday, its highest level since 7th July after gaining 4% last week, its highest since mid January. With concerns that there’s little to fall back on, gold could be on track to rally to $1,200, a level not seen since June. Gold has now rebounded 7% from a 5 1/2-year low of $1,077 reached in late July and significantly increasing market volatility in the global markets is positive news for gold.

6 1/2-year Lows For Oil On China & Oversupply

Brent and U.S. crude futures have hit fresh 6 1/2-year lows dropping below the latest supports of $45 and $40 a barrel as concerns that the slowdown in China’s economy will create weakened demand amid a surplus in global supplies.

Other commodities also saw new lows in trading as concerns spread that a further slowdown in China’s economy would drag down other economies in the region, denting energy and raw material consumption.

Brent oil was trading down $1.39 a barrel or 3.06% at $44.07 after hitting an intraday low of $44.00, its lowest since March 2009. On Friday it ended $1.16, that’s 2.5% lower at $45.46 per barrel. U.S. October crude meanwhile, fell $1.32, or 3.26%, to $39.13 after hitting a low of $39.00, its lowest since February 2009.

What About The September U.S. Fed Rate Rise?

The euro and yen are rallying as though currency traders do not expect the Fed Reserve to increase interest rates next month as anticipated. The euro climbed to its strongest since February versus the dollar while the yen rose to a six-week high amid slumping commodity and share prices. The euro and yen are benefiting from both emerging-market risk aversion fueled by China’s surprise move this month on the yuan and from falling expectations that the Fed will hike interest rates. The euro climbed 0.5% to $1.1445 today, a level not seen since 5th Feb. The yen soared 0.9% to 120.99 per dollar, its strongest since 9th July.

Overall for the month of August, we have seen more market volatility than any month in the last 25 years and as news continues to rock the markets, there are now also serious doubts about the likelihood of a U.S. interest rate rise occurring this year. As I mentioned earlier, a lot can happen in a week so I advise binary options traders to carefully monitor the week’s big market-moving events for trading opportunities. Don’t miss out! Trade with our recommended broker recommended broker.

Straddle Strategy For Binary Options Traders

There are several different types of strategies used to trade binary options and one of the most commonly used ones is the straddle strategy. Straddling is a useful tool for capitalising on highly volatile markets and also for protecting against potential losses on trades that looks like they might expire out-of-the-money. I would like to examine the straddle strategy in a little more depth and illustrate how traders can use it to earn the highest possible profits while reducing their losses.

What Is The Straddle Strategy?

Using the straddle strategy can be a challenge but simply explained, it is based on opening a Call and Put option on the same asset. Its setup works in a way whereby a trader places a Put on the peak of the trend of their chosen asset
and once the asset corrects itself a Call is placed just as the asset begins to rise back up. This action will give traders the possibility that one or both of their trades will expire in-the-money and in doing so, they will leave the trade with either a large profit, or a small loss. The straddle is a good trading strategy to adopt if you think the price of an underlying asset is likely to fluctuate significantly but are not sure in which direction it will fluctuate.

Long & Short Binary Options Straddle Strategies

Straddling essentially means being on both sides. Hence, the fundamental plan is to be on both ends of a trade so that a trader can get profits from either way. There are two types of straddles; long and short.

The long straddle results in profit when the strike price and market price of the asset have a great deal of difference. This strategy requires the trader to purchase an asset in both the Put and Call forms. In doing so, the binary options trader is able to straddle each side of the trade. When the price of the asset moves in a specific direction, the trader can choose to use a Put or Call depending on which provides more benefits.

straddleTypically when there is a increase noted, the Put option is used on the asset. Alternately, should a decline be observed, the Call option would be used. This positions the binary options trader on each side. The advantage of the long straddle strategy is that the risk factor is low since the return value is reaped by the trader regardless of how the market price of the asset moves, The downside would be that this strategy usually only works well under volatile market conditions. In more stable market conditions it is not as beneficial.

The short straddle binary options strategy is used to sell an asset. The asset will be sold using both the Call and Put options at a selected strike price. Profits can be made when the marketplace value of the asset does not vary much from the strike price. The short straddle strategy is of the non-directional variety since the value should remain the same or differ only slightly in order for the strategy to be effective, unlike long straddle where movement is needed. Profits will be based on the premium asset amount, with the loss amount being dependent on how much the asset value has varied.

The advantage of the short-term straddle is when the market is not moving much, the prices of the assets don’t vary much and this span should be utilised by playing the short straddle card. Profits may also be earned using this strategy in a parallel conditions. Parallel, or side-to-side movement, is often seen in cases where investors are waiting for news or analysis information to be released before making investment decisions. When the market is slow, the value of assets will not change drastically. This period should be made use of by using the short straddle strategy. The disadvantage of this strategy is that in case the market begins moving or experiences volatility, the investor has to endure big losses that cannot be measured in advance of the investment.

How Easily Can Traders Make A Profit?

Straddle strategies require practice by traders in order to become skilled in using them. As with all binary options strategies, traders are advised to utilise a demo account first, only moving on to real live trades after a comfort level with the strategy has been reached. Once you feel confident in using this strategy, you can start by applying the technique to your trading activities with our recommended broker. Although it is generally a technique for the more experienced trader, if used wisely, the straddle strategy is a means to making a very good profit.

Asian Markets In the Limelight As FOMC Meeting Minutes Eyed

In our last blog, we focused on Asian/Pacific currency pairs which have attracted the interest of many traders with China having been the focus of attention in the financial markets in recent weeks. The week ahead sees the Asian markets in the limelight once again, as the U.S. continues to be eyed for signs of an interest rate increase. I will provide an update for binary options traders looking to make a profit from trading on these important market events.

China Stocks Experience 6% Fall

Chinese shares traded lower today, depressing the Asian stock markets further as the result of a falling yuan and news of a deadly bomb explosion in Thailand. The Shanghai Composite index increased losses to around 6% at the end of the session, reversing a positive open as worries about the yuan shadowed data revealing monthly home prices increased for the third month in a row in July. Hence, the internal dynamics of China’s economy continues to exhibit warnings to market watchers.


Thai Baht Takes A Hit Following Bangkok Blast


Thai stocks and its local currency also slumped today following increased uncertainty following deadly bomb blasts in Bangkok on Monday night. The SET index opened today down 2.7% at 1,408 and the Thai baht dropped to its thai bahtlowest level in over 6 years, losing almost 0.5% and falling to 35.55 versus the U.S. dollar. Thai’s currency concerns were further compounded after the bomb blasts and the yuan’s devaluation last week. Should the bomb turn out to
be related to terrorism, it could impact on investor confidence and is a further blow to its economy which is already slowing down amid weaker investment growth and private consumption.

Both these events, amid concerns over an imminent interest rate hike by the U.S. Federal Reserve have caused investors to bail out of many emerging markets in recent weeks. Higher interest rates in the U.S. are likely to lower the appeal of more risky emerging market assets such as the Thai baht and stocks.

Europe Trades Flat As Asia Falters

The pan-European Stoxx 600 index traded flat today as investors continued to monitor negative sentiment in Asia and news on the Thai bombings. Investors in Europe are also looking ahead to Wednesday’s vote on Greece’s third bailout. The leaders of Chancellor Angela Merkel’s conservatives are mainly in support of Greece’s new bailout plan, although top party officials are looking for International Monetary Fund involvement.

U.S. Fed Reserve Still Eyed

Over in the U.S., yesterday’s data did little to help sentiment, with positive homebuilder data offsetting weak manufacturing data. Wednesday’s CPI and Core CPI are expected to gain 0.2% this time round. All eyes, of course, will be on the FOMC meeting minutes. In July’s FOMC meeting the Fed left its options open and there still remains a clear divide by ongoing improvements in the job market versus sluggish inflation. The minutes may reveal how wide the gaps are between the doves and hawks are and whether an interest rate hike is imminent.

The U.S. dollar, meanwhile, has been hovering around its short and medium-term averages against the euro, close to $1.10 per euro since late June. The economic slowdown in China has helped push the dollar higher this quarter against most of its major peers. It has, however, registered its smallest move during this time period against the euro amid signs of European growth and expectations that the Federal Reserve seems to be in no rush to increase U.S. interest rates.

Binary options traders are therefore advised to monitor ongoing events in the Asian markets and Wednesday’s FOMC meeting minutes which should shed further light on the current U.S. economic and financial situation. Both these are market moving events and should present a variety of profitable trading opportunities for stocks and currencies in the weeks ahead. Trade with our recommended broker here.

 

An Introduction To Asian/Pacific Currency Pairs

Currencies are without a doubt, the most popular tradable asset and a firm favourite of many binary options traders. Perhaps not surprisingly, traders tend to focus on trading the main pairs such as EUR/USD but there are many opportunities for investing in more thinly traded currencies too. This is what I will look at in this article in order to provide an insight for traders looking to step into the world of exotic currencies.

Trading Asian/Pacific Currency Pairs

These days, Asian/Pacific currency pairs are traded at an increasing rate with trading volumes in the Asian/Pacific session making up around 21% of total daily global volume. The chief financial trading centres are Sydney, Australia, Wellington, New Zealand, Tokyo, Japan, Singapore and Hong Kong.

All currencies in the Asia/Pacific region are considered to be exotic currencies, excluding the Japanese yen. Exotic currencies are those which are not widely used in international trade and financial transactions and are thinly traded in the forex markets. Their general lack of liquidity can result in increased price volatility, but can also open up some good trading opportunities.

There are an increasing number of currencies now being traded in currency crosses on a daily basis in the Asian/Pacific session or the Tokyo session of the forex market. The main ones are USD/JPY, EUR/JPY and AUD/JPY but some of the more recent currency pairs which have appeared in the Asia/Pacific forex market are CHF/CAD, GBP/AUD, AUD/SGD, XAG/JPY, GBP/NZD, and ZAR/JPY TRY/JPY. The liquidity of the global retail forex market is definitely an advantage for traders and especially for Japanese currency crosses.

The Importance Of JPY Pairs

The release of any news and data reports from Japan, Australia and New Zealand onto the during the Asia/Pacific forex session will impact on the price movement of the most heavily traded currency pairs. The size and importance of the Japanese market makes Japanese data of the utmost importance to the trading currency market. Therefore, most of the action taking place in the Asia/Pacific session is centred on the yen currency pairs, for example, USD/JPY or JPY crosses including AUD/JPY and EUR/JPY,

As the Japanese financial institutions are also the most vigorous during this Asia/Pacific session in currency trading, traders can regularly get a feel for how the Japanese market is performing based on price movements. For individual traders overall, the liquidity in the major currency pairs with precise price movements is more than sufficient to make profits or gains. With some non-regional currencies, like GBP/USD or USD/CAD which are less liquid, the price movements may be more unpredictable or non-existent, depending on the environment.

Of all the Asian/Pacific currency pairs, the yen crosses with the South African rand and the Turkish lira are known to have high interest rates and are thus particularly attractive to traders. Traders can also trade the major Asian/Pacific currency pairs with the Hong Kong dollar, Indian rupee and the Thai bhat as well as the already existing pairs. One of the latest trends in Asian/Pacific trading was the introduction in 2007 of Chinese yuan currency pairs such as USD/CNY. Needless to say, the yuan’s recent devaluation has jolted the financial markets, presenting many potential opportunities for binary options traders.

Trading the Asian/Pacific currency pairs is an exciting proposition for many traders and as can be seen from recent market events, it is always important to keep up-to-date with current economic and geo-political events in relation the different currency pairs. Traders who do decide to proceed with trading Asian/Pacific currency pairs can look forward to maximising their profits with our recommended broker.

 

ZAIS Financial Corp Rating Lowered to Hold at Zacks (ZFC)

Tweet ZAIS Financial Corp logo ZAIS Financial Corp (NYSE:ZFC) was downgraded by Zacks from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Monday, Market Beat Ratings reports. According to Zacks, “ZAIS Financial Corp. is a real estate investment trust. It […]

Zacks Upgrades Oritani Financial Corp. to “Strong-Buy” (ORIT)

Oritani Financial Corp. logo Oritani Financial Corp. (NASDAQ:ORIT) was upgraded by Zacks from a “hold” rating to a “strong-buy” rating in a research report issued on Monday, Market Beat Ratings reports. The brokerage presently has a $18.00 price objective on the stock. Zacks ‘s price target indicates a potential […]

Stifel Financial Corp (SF) Announces Quarterly Earnings Results

Stifel Financial Corp logo Stifel Financial Corp (NYSE:SF) released its quarterly earnings data on Monday. The financial services provider reported $0.71 earnings per share for the quarter, missing the Thomson Reuters consensus estimate of $0.73 by $0.02, ARN reports. The business earned $597.80 million during the quarter, compared to […]

Lakeland Financial Stock Rating Upgraded by Zacks (LKFN)

Lakeland Financial (NASDAQ:LKFN) was upgraded by Zacks from a “sell” rating to a “hold” rating in a research note issued on Monday, Analyst Ratings Network.com reports. According to Zacks, “LAKELAND FINANCIAL CORP. is a bank holding company engaged in general banking business. “ Lakeland Financial ( NASDAQ:LKFN ) traded […]

Opinion/Letter: Closing the care gap has financial perks

Many states with new coverage have seen large economic benefits from closing their coverage gaps. An independent analysis in Kentucky estimated the program would have “a significant positive cumulative impact of $30.1 billion on Kentucky’s economy through SFY 2021” ( http://governor.ky.gov/healthierky/Documents/medicaid/Kentucky_Medicaid_Expansion_One-Year_Study_FINAL.pdf ). This comes from many factors, including less […]

Godaddy Sees Large Increase in Short Interest (GDDY)

Godaddy logo Shares of Godaddy (NYSE:GDDY) saw a large increase in short interest in the month of July. As of July 15th, there was short interest totalling 2,993,449 shares, an increase of 77.6% from the June 30th total of 1,685,646 shares, Market Beat reports. Currently, 14.6% of the company’s […]

Hawthorn Bancshares, Inc. (HWBK) Announces Quarterly Dividend of $0.05

Hawthorn Bancshares Hawthorn Bancshares (NASDAQ:HWBK) announced a quarterly dividend on Monday, August 10th, Analyst Ratings Net reports. Investors of record on Tuesday, September 15th will be given a dividend of 0.05 per share by the financial services provider on Thursday, October 1st. This represents a $0.20 dividend on an […]

Citizens Financial Group Lifted to Hold at Zacks (CFG)

Tweet Citizens Financial Group (NYSE:CFG) was upgraded by Zacks from a “sell” rating to a “hold” rating in a report released on Monday, Analyst Ratings.Net reports. According to Zacks, “Citizens Financial Group, Inc. is a retail bank holding company. It offers a broad range of retail and commercial banking […]

McGraw Hill Financial Shares Gap Up After Dividend Announcement (MHFI)

Tweet McGraw Hill Financial logo McGraw Hill Financial (NASDAQ:MHFI) gapped up prior to trading on Monday following a dividend announcement from the company, Market Beat.com reports. The stock had previously closed at $100.23, but opened at $100.72. McGraw Hill Financial shares last traded at $103.55, with a volume of […]

Power Financial Corp Given New C$40.50 Price Target at Scotiabank (PWF)

Power Financial Corp logo Analysts at Scotiabank decreased their price target on shares of Power Financial Corp (TSE:PWF) from C$41.50 to C$40.50 in a research note issued to investors on Monday, StockTargetPrices.com reports. Scotiabank’s price target points to a potential upside of 23.03% from the stock’s current price. Separately, […]

Annaly Capital Management Earns “Hold” Rating from Deutsche Bank (NLY)

Annaly Capital Management (NYSE:NLY)‘s stock had its “hold” rating restated by analysts at Deutsche Bank in a report issued on Monday, Marketbeat.com reports. They presently have a $11.00 price objective on the stock, down from their prior price objective of $11.50. Deutsche Bank’s price target suggests a potential upside […]

Capitala Finance Corp Shares Down 3.1% on Disappointing Earnings (CPTA)

Capitala Finance Corp logo Capitala Finance Corp (NASDAQ:CPTA) dropped 3.1% on Monday following a weaker than expected earnings announcement, AnalystRatings.Net reports. The company traded as low as $14.31 and last traded at $14.70, with a volume of 129,422 shares traded. The stock had previously closed at $15.17. The investment […]

Tigress Financial Downgrades Papa John’s Int’l to Buy (PZZA)

Papa John’s Int’l logo Papa John’s Int’l (NASDAQ:PZZA) was downgraded by analysts at Tigress Financial from a “strong-buy” rating to a “buy” rating in a report issued on Monday, TheFlyOnTheWall.com reports. Papa John’s Int’l ( NASDAQ:PZZA ) traded down 0.61% on Monday, reaching $71.51. The company’s stock had a […]

Deutsche Bank Cuts Ellington Financial Price Target to $22.75 (EFC)

Tweet Equities researchers at Deutsche Bank lowered their price target on shares of Ellington Financial (NYSE:EFC) from $24.25 to $22.75 in a research report issued on Monday, Analyst Ratings Network.com reports. The brokerage currently has a “buy” rating on the stock. Deutsche Bank’s price target suggests a potential upside […]

Genworth Financial Trading 13.1% Higher After Insider Buying Activity (GNW)

Genworth Financial logo Genworth Financial (NYSE:GNW) shares traded up 13.1% during trading on Monday following insider buying activity, MarketBeat Ratings reports. The stock traded as high as $5.47 and last traded at $5.45, with a volume of 14,885,103 shares traded. The stock had previously closed at $4.82. Specifically, CEO […]

Broadridge Financial Solutions, Inc. (BR) Announces Quarterly Dividend of $0.30

Broadridge Financial Solutions (NYSE:BR) announced a quarterly dividend on Monday, August 10th, MarketBeat reports. Stockholders of record on Tuesday, September 15th will be given a dividend of 0.30 per share on Thursday, October 1st. This represents a $1.20 dividend on an annualized basis and a dividend yield of 2.10%. […]

Positive U.S. Data Moves Markets Towards September Rate Increase

The Fed remains the main focus of many traders who are poised to react to every piece of incoming economic news for what it could mean to the Fed’s upcoming interest rate decision. July’s non-farm payroll figures revealed solid jobs growth in July with the economy having created 215,000 jobs and the unemployment rate holding steady at 5.3%. Following this data, markets shifted more heavily to price in a September Fed rate hike.

I would like to take a look at the current reaction in the market to the data which should provide an indication of where binary options traders can look for trading opportunities.

Strong U.S. Dollar After Employment Data Supports Rate Increase

With U.S. data backing expectations that an interest rate hike could occur as early as September, the U.S. dollar today remained close to a four-month high against a basket of currencies in Asian trade. The dollar index was up about 0.1% at 97.618 after increasing as high as 98.334 on Friday, the highest since 23 April. The dollar rose to a two-month high of 125.07 yen on Friday and was last up about 0.1% at 124.37. Amid the spate of solid U.S. economic data and heightened expectations that the U.S. central bank is poised for a hike, speculators have increased bullish bets on the dollar to their highest since early June.

Important U.S. Retail Sales & Consumer Sentiment Data Ahead

Consumer-related data will be important in the coming week and the Fed will be monitoring all the data. Much of the focus will be on retail sales with signs that retail spending may finally be on an upward slope. Consumers have conducted their spending in fits and starts so far this year, alternating between weak and strong months. This pattern will likely be continued in July, with a strong report after a gloomy June reading according to forecasts. The signs are that looking ahead for the rest of the year, spending should stay strong. Data is expected to show retail sales rising a healthy 0.7% in July after a 0.3% drop in June. Consumer spending is expected to continue growing at a 3% rate for the remaining two quarters of 2015 thanks to a stronger economy, increasing incomes and a strengthening housing market which are impacting on consumer confidence. The report is to due to be released on Thursday.

UoM Consumer Sentiment is also due Friday and is a leading indicator of consumer spending which accounts for a majority of overall economic activity. Data is predicted to show a rebound in the final July reading having fallen to 93.1 in the preliminary reading which was its lowest level since May.

Gold Steady As Markets Eye September Fed Hike

Gold, meanwhile, remained steady, just above a 5-1/2-year low today, with the strong dollar suggesting a possible increase in interest rates as early as next month. The metal fell for a seventh week in a row last week, its longest retreat since 1999, having struggled to pull away from a 5-1/2-year trough of $1,077 reached during a late rout in July.

However, while a delay in rate hike expectations may allay some of the short-term pressure on gold, there is a large camp that believes that this does not necessarily mean that prices will rally from current levels.

The Impact On Stocks With More Data Expected

Stocks ended the past week with losses and we look set for another bumpy ride this week as oil moves closer to its 2015 lows and the commodities crush shows little sign of relenting. Analysts believe that stocks will listen to the Fed after the payrolls data. The stock market seems to be in a “testing area,” and it could be choppy as it battles through the steep drop in oil prices. The S&P energy sector was down 3.5% for the week. WTI futures ended the week at $43.87 per barrel, a fall of 6.9% and close to its March low of $42.03. The S&P 500 ended last week lower at 2077, off 1.2% and just above its 200-day moving average. The Dow was at 17,373, off 1.9% and the Nasdaq was down 1.7% at 5,043.

With the earnings season coming to an end and most companies having now reported, the market is less likely to respond to earnings in the coming week. The market tends to become less sensitive to the remaining 20% since it’s likely to be a similar story to companies who have already reported. Hence, the markets start turning to the economic data. Consumer-related data will thus be important in the coming week and the Fed will be monitoring it closely.

There is, of course, a lot that could still happen on the geopolitical front. Greece still has to come to an agreement with their reconstituted debt deal and there’s still risk from other sources such as China and the Middle East, all of which contribute to uncertainty.

Taking these factors into consideration while keeping possible moves from the Fed in mind, I advise binary options traders to closely scrutinise the markets and the possible impact on each of the asset classes over this and the coming weeks. Why not trade with our recommended broker today?

Short Interest in Banco Santander, Rises By 78.5% (SAN)

Tweet Banco Santander, logo Shares of Banco Santander, (NYSE:SAN) saw a significant growth in short interest in the month of July. As of July 15th, there was short interest totalling 8,325,227 shares, a growth of 78.5% from the June 30th total of 4,663,649 shares, MarketBeat reports. Based on an […]

Unilever plc Rating Reiterated by JPMorgan Chase & Co. (ULVR)

Unilever plc logo Unilever plc (LON:ULVR)‘s stock had its “underweight” rating reaffirmed by analysts at JPMorgan Chase & Co. in a research report issued to clients and investors on Monday, Market Beat Ratings reports. Shares of Unilever plc ( LON:ULVR ) opened at 2950.00 on Monday. Unilever plc has […]

Lipocine (LPCN) Set to Announce Quarterly Earnings on Tuesday

Tweet Lipocine (NASDAQ:LPCN) will announce its earnings results on Tuesday, August 11th. Analysts expect the company to announce earnings of ($0.20) per share for the quarter. Lipocine (NASDAQ:LPCN) last posted its quarterly earnings results on Thursday, May 7th. The specialty pharmaceutical company reported ($0.23) earnings per share for the […]

Raymond James Reiterates “Hold” Rating for Arista Networks (ANET)

Arista Networks logo Arista Networks (NASDAQ:ANET)‘s stock had its “hold” rating reissued by Raymond James in a report released on Sunday, MarketBeat reports. Arista Networks ( NASDAQ:ANET ) traded up 3.06% on Friday, reaching $84.08. The company’s stock had a trading volume of 2,246,262 shares. Arista Networks has a […]

Arista Networks’s Buy Rating Reaffirmed at RBC Capital (ANET)

Arista Networks logo Arista Networks (NASDAQ:ANET)‘s stock had its “buy” rating restated by analysts at RBC Capital in a research report issued to clients and investors on Sunday, Market Beat reports. In other Arista Networks news, CEO Jayshree Ullal sold 11,900 shares of the business’s stock in a transaction […]

Cross Country Healthcare’s “Buy” Rating Reiterated at Cantor Fitzgerald (CCRN)

Tweet Cross Country Healthcare logo Cross Country Healthcare (NASDAQ:CCRN)‘s stock had its “buy” rating reaffirmed by equities researchers at Cantor Fitzgerald in a report released on Sunday, MarketBeat.Com reports. In other news, insider Vickie Anenberg sold 10,756 shares of the business’s stock in a transaction that occurred on Monday, […]

AGT Food and Ingredients (AGT) to Release Quarterly Earnings on Tuesday

Tweet AGT Food and Ingredients (TSE:AGT) is scheduled to announce its earnings results after the market closes on Tuesday, August 11th. Analysts expect the company to announce earnings of $0.35 per share for the quarter. AGT Food and Ingredients ( TSE:AGT ) traded down 2.58% during trading on Friday, […]

NewStar Financial Price Target Raised to $13.50 (NEWS)

NewStar Financial (NASDAQ:NEWS) had its price target lifted by Keefe, Bruyette & Woods from $12.00 to $13.50 in a research note released on Thursday, StockTargetPrices.com reports. They currently have a market perform rating on the stock. Separately, Zacks lowered shares of NewStar Financial from a strong-buy rating to a […]

Netlist (NLST) Set to Announce Earnings on Tuesday

Netlist logo Netlist (NASDAQ:NLST) is scheduled to be posting its Q215 quarterly earnings results on Tuesday, August 11th. Analysts expect Netlist to post earnings of ($0.07) per share and revenue of $2.10 million for the quarter. Netlist (NASDAQ:NLST) last issued its earnings results on Tuesday, May 12th. The company […]

Cancer Genetics (CGIX) to Release Earnings on Tuesday

Tweet Cancer Genetics (NASDAQ:CGIX) will be releasing its Q215 earnings data on Tuesday, August 11th. Analysts expect Cancer Genetics to post earnings of ($0.51) per share and revenue of $4.67 million for the quarter. Cancer Genetics (NASDAQ:CGIX) last posted its earnings results on Tuesday, May 12th. The company reported […]

Ashford Hospitality Trust’s “Buy” Rating Reiterated at Cantor Fitzgerald (AHT)

Tweet Ashford Hospitality Trust (NYSE:AHT)‘s stock had its “buy” rating reissued by investment analysts at Cantor Fitzgerald in a report released on Sunday, ARN reports. They currently have a $12.00 price target on the real estate investment trust’s stock. Cantor Fitzgerald’s target price suggests a potential upside of 48.51% […]

U.S. Auto Parts Network (PRTS) Set to Announce Earnings on Tuesday

U.S. Auto Parts Network logo U.S. Auto Parts Network (NASDAQ:PRTS) is scheduled to post its Q215 quarterly earnings results on Tuesday, August 11th. Analysts expect U.S. Auto Parts Network to post earnings of ($0.04) per share and revenue of $79.17 million for the quarter. U.S. Auto Parts Network ( […]

Prudential study shows blacks faring better financially

Delvyn joyce While many African American men and women have demonstrated a special talent for managing households and family budgets with skill and prudence, only recently has that competence for money management been recognized in formal studies. Prudential unveiled the results of its 2015-2016 study, “The African American Financial […]

Keith Jackson: Mark Warburton offers bright future for Rangers but financial past still haunts Ibrox club

STEADY HAND Warburton waves to the fans at a packed Ibrox after the win over St Mirren THEY may be wearing wizards hats in his honour already but the truth is there is no sorcery to Mark Warburton’s reconstruction of Rangers. Or for that matter to the more general […]

Wall Street This Week: Disney Presents, Androids Arrive

The Walt Disney Company’s Coverage Of The D23 Expo 2013 From the leading theme park operator hosting a festival for fans to reveal upcoming projects to the top dog in Android smartphones unveiling its latest mobile gadgetry, here are some of the things that will help shape the week […]

Redbox Isn’t the Bargain It Used to Be

Company Signs There’s something rotten at Redbox. Sure, those shiny kiosks outside of convenience stores, supermarkets and drugstores seem busy. They spat out 146 million DVDs, Blu-rays and video game discs during the quarter consisting of April, May and June. That’s a lot of media being rented out, but […]

Jernigan Capital (JCAP) Set to Announce Earnings on Tuesday

Jernigan Capital logo Jernigan Capital (NASDAQ:JCAP) will be posting its Q215 quarterly earnings results on Tuesday, August 11th. Analysts expect Jernigan Capital to post earnings of ($0.04) per share for the quarter. Jernigan Capital ( NASDAQ:JCAP ) traded up 0.97% during trading on Friday, reaching $18.81. 50,781 shares of […]

Partnership Assurance Group PLC (PA) Scheduled to Post Quarterly Earnings on Tuesday

Partnership Assurance Group PLC (LON:PA) will be issuing its quarterly earnings data before the market opens on Tuesday, August 11th. Partnership Assurance Group PLC ( LON:PA ) traded up 0.49% on Friday, hitting GBX 155.00. The stock had a trading volume of 14,824 shares. The firm’s 50-day moving average […]

Sienna Senior Living (SIA) to Release Earnings on Tuesday

Tweet Sienna Senior Living logo Sienna Senior Living (TSE:SIA) will release its earnings data after the market closes on Tuesday, August 11th. Shares of Sienna Senior Living ( TSE:SIA ) traded down 0.33% during mid-day trading on Friday, hitting $15.20. The stock had a trading volume of 61,802 shares. […]

Movers & Shakers for Aug. 9, 2015

Mark Leone Mary Mullin of Sudbury , a financial adviser for Merrill Lynch in Boston, has been named to Barron’s list of "America’s Top 100 Women Financial Advisors" for 2015. Barron’s bases its national ranking on a financial adviser’s success in helping clients achieve their financial goals through prudent […]

Manulife Financial Rating Reiterated by Canaccord Genuity (MFC)

Manulife Financial (NYSE:MFC)‘s stock had its “buy” rating restated by analysts at Canaccord Genuity in a research note issued on Thursday, Marketbeat reports. MFC has been the topic of a number of other reports. Scotiabank raised their price target on shares of Manulife Financial from $25.00 to $26.00 in […]

Raymond James Downgrades Genworth Financial to Outperform (GNW)

Genworth Financial logo Genworth Financial (NYSE:GNW) was downgraded by equities research analysts at Raymond James from a “strong-buy” rating to an “outperform” rating in a report issued on Thursday, TheFlyOnTheWall.com reports. They currently have a $12.00 price target on the stock. Raymond James’ target price indicates a potential upside […]

First Business Financial Services Inc Declares Dividend of $0.22 (FBIZ)

First Business Financial Services logo First Business Financial Services (NASDAQ:FBIZ) announced a dividend on Friday, August 7th, MarketBeat Ratings reports. Stockholders of record on Tuesday, August 18th will be paid a dividend of 0.22 per share by the financial services provider on Friday, August 28th. The ex-dividend date is […]

Vivint Solar (VSLR) to Release Earnings on Monday

Tweet Vivint Solar (NASDAQ:VSLR) is scheduled to release its earnings data after the market closes on Monday, August 10th. Analysts expect Vivint Solar to post earnings of ($0.61) per share for the quarter. Vivint Solar (NASDAQ:VSLR) last released its quarterly earnings results on Tuesday, May 12th. The company reported […]

Seven Generations Energy (VII) to Release Quarterly Earnings on Monday

Tweet Seven Generations Energy logo Seven Generations Energy (TSE:VII) is set to issue its quarterly earnings data before the market opens on Monday, August 10th. Analysts expect the company to announce earnings of $0.11 per share for the quarter. Shares of Seven Generations Energy ( TSE:VII ) traded down […]

OCI Partners (OCIP) Set to Announce Quarterly Earnings on Monday

Tweet OCI Partners logo OCI Partners (NASDAQ:OCIP) is scheduled to announce its earnings results before the market opens on Monday, August 10th. Analysts expect the company to announce earnings of $0.28 per share for the quarter. OCI Partners (NASDAQ:OCIP) last released its quarterly earnings data on Monday, May 11th. […]

New Relic Given New $46.00 Price Target at Susquehanna (NEWR)

New Relic Inc logo New Relic (NASDAQ:NEWR) had its price target raised by Susquehanna from $44.00 to $46.00 in a research note issued to investors on Friday, AnalystRatings.Net reports. The firm currently has a positive rating on the stock. Shares of New Relic ( NASDAQ:NEWR ) traded up 6.83% […]

Receptos (RCPT) to Release Quarterly Earnings on Monday

Tweet Receptos (NASDAQ:RCPT) is scheduled to be announcing its earnings results after the market closes on Monday, August 10th. Shares of Receptos ( NASDAQ:RCPT ) traded up 0.24% on Friday, reaching $228.55. The company had a trading volume of 515,013 shares. The company’s 50-day moving average price is $210.37 […]

Oxford Immunotec Global PLC Rating Increased to Buy at Zacks (OXFD)

Oxford Immunotec Global PLC logo Oxford Immunotec Global PLC (NASDAQ:OXFD) was upgraded by Zacks from a “hold” rating to a “buy” rating in a research report issued on Thursday, Marketbeat reports. The brokerage currently has a $14.00 price target on the stock. Zacks ‘s price target would suggest a […]

Zargon Oil and Gas (ZAR) Scheduled to Post Earnings on Monday

Tweet Zargon Oil and Gas (TSE:ZAR) will release its earnings data on Monday, August 10th. Analysts expect Zargon Oil and Gas to post earnings of $0.05 per share for the quarter. Zargon Oil and Gas ( TSE:ZAR ) traded up 1.88% during midday trading on Friday, hitting $2.17. 70,418 […]

Jack Henry & Associates (JKHY) Scheduled to Post Earnings on Monday

Tweet Jack Henry & Associates (NASDAQ:JKHY) is scheduled to release its earnings data after the market closes on Monday, August 10th. Analysts expect Jack Henry & Associates to post earnings of $0.67 per share for the quarter. Jack Henry & Associates (NASDAQ:JKHY) last released its quarterly earnings data on […]

Gresham Computing plc (GHT) to Release Quarterly Earnings on Monday

Tweet Gresham Computing plc (LON:GHT) is scheduled to be announcing its earnings results before the market opens on Monday, August 10th. Gresham Computing plc ( LON:GHT ) traded up 0.52% on Friday, reaching GBX 97.00. The company’s stock had a trading volume of 16,088 shares. The company has a […]

Escalade Upgraded to Buy at Zacks (ESCA)

Zacks upgraded shares of Escalade (NASDAQ:ESCA) from a hold rating to a buy rating in a report released on Friday, MarketBeat.Com reports. The firm currently has $20.00 price objective on the stock. According to Zacks, “Escalade, Incorporated is a diversified company engaged in the manufacture and sale of sporting […]

B. Riley Reaffirms “Hold” Rating for Universal Electronics (UEIC)

Universal Electronics logo Universal Electronics (NASDAQ:UEIC)‘s stock had its “hold” rating restated by analysts at B. Riley in a research note issued to investors on Saturday, Analyst Ratings Network.com reports. In other Universal Electronics news, CEO Mark S. Kopaskie sold 2,461 shares of Universal Electronics stock in a transaction […]

Akebia Therapeutics (AKBA) to Release Quarterly Earnings on Monday

Akebia Therapeutics (NASDAQ:AKBA) is scheduled to issue its quarterly earnings data before the market opens on Monday, August 10th. Analysts expect the company to announce earnings of ($0.51) per share for the quarter. Akebia Therapeutics (NASDAQ:AKBA) last announced its earnings results on Monday, May 11th. The biopharmaceutical company reported […]

PICO Holdings (PICO) to Release Earnings on Monday

PICO Holdings logo PICO Holdings (NASDAQ:PICO) will be posting its quarterly earnings results on Monday, August 10th. PICO Holdings (NASDAQ:PICO) last issued its quarterly earnings data on Monday, May 11th. The company reported ($0.73) earnings per share for the quarter. The company earned $84.65 million during the quarter, compared […]

Copper Mountain Mining Co.. (CUM) Set to Announce Quarterly Earnings on Monday

Copper Mountain Mining Co.. logo Copper Mountain Mining Co.. (TSE:CUM) will be issuing its quarterly earnings data before the market opens on Monday, August 10th. Copper Mountain Mining Co.. ( TSE:CUM ) traded down 5.13% during midday trading on Friday, reaching $0.74. The company’s stock had a trading volume […]

Cheyney University faces enrollment, financial problems

After an old knee injury sidelined a cheerleading scholarship offered at Kutztown University, he took a year off before enrolling at Cheyney in Delaware County, one of the nation’s more than 100 historically black colleges and universities. "I know it’s crazy, but I cried when I first got to […]

Fifth Street Finance Corp. (FSC) to Release Quarterly Earnings on Monday

Tweet Fifth Street Finance Corp. logo Fifth Street Finance Corp. (NYSE:FSC) will issue its quarterly earnings data on Monday, August 10th. Parties interested in listening to the company’s conference call can do so using this link . Fifth Street Finance Corp. (NYSE:FSC) last announced its quarterly earnings results on […]

E*TRADE Financial Corp Bond Prices Rise 1.8% (ETFC)

E*TRADE Financial Corp logo An issue of E*TRADE Financial Corp (NASDAQ:ETFC) debt rose 1.8% as a percentage of its face value during trading on Friday, MarketBeat.com reports. The high-yield issue of debt has a 4.625% coupon and is set to mature on September 15, 2023. The debt is now […]

UMB Financial Upgraded to “Hold” by Zacks (UMBF)

UMB Financial logo UMB Financial (NASDAQ:UMBF) was upgraded by Zacks from a “sell” rating to a “hold” rating in a research report issued to clients and investors on Friday, ARN reports. According to Zacks, “UMB Financial Corporation is a financial services holding company engaged in providing complete banking, asset […]

Korea’s financial Big Bang

Korea Investment Holdings Corp. and Daum KaKao Corp., the country’s largest mobile messenger service provider, reached an agreement to launch the country’s first online-only bank. It is the first case of a financial institution joining up with an IT company to enter the banking business. Mirae Asset and Kyobo […]

Broadridge Financial Solutions Stock Rating Upgraded by Zacks (BR)

Broadridge Financial Solutions (NYSE:BR) was upgraded by Zacks from a “sell” rating to a “hold” rating in a report released on Friday, AnalystRatingsNetwork.com reports. According to Zacks, “Broadridge is a leading global provider of technology-based outsourcing solutions to the financial services industry. Their integrated systems and services include investor […]

Genworth Financial Downgraded by Raymond James to Outperform (GNW)

Genworth Financial Inc logo Raymond James lowered shares of Genworth Financial (NYSE:GNW) from a strong-buy rating to an outperform rating in a research note issued to investors on Thursday morning, TheFlyOnTheWall.com reports. The firm currently has $12.00 price target on the stock. Shares of Genworth Financial ( NYSE:GNW ) […]

Institutional Financial Markets Inc Announces Dividend of $0.02 (IFMI)

Institutional Financial Markets Institutional Financial Markets (NYSEMKT:IFMI) announced a dividend on Thursday, July 30th, ARN reports. Shareholders of record on Friday, August 14th will be given a dividend of 0.02 per share on Friday, August 28th. The ex-dividend date of this dividend is Wednesday, August 12th. Shares of Institutional […]

Aston Hill Financial Inc. Plans C$0.01 Quarterly Dividend (AHF)

Aston Hill Financial Aston Hill Financial (TSE:AHF) declared a quarterly dividend on Wednesday, August 12th, MarketBeat Ratings reports. Investors of record on Wednesday, August 26th will be paid a dividend of 0.005 per share on Wednesday, August 26th. This represents a $0.02 annualized dividend and a yield of 4.82%. […]

Barclays Raises Sun Life Financial Price Target to C$49.00 (SLF)

Sun Life Financial logo Analysts at Barclays lifted their price target on shares of Sun Life Financial (TSE:SLF) from C$45.00 to C$49.00 in a research report issued to clients and investors on Friday, AnalystRatings.NET reports. The firm presently has an “overweight” rating on the stock. Barclays’ price objective indicates […]