One of the most popular investment structures available online today is binary options trading, and oil and gold are probably the most popular traded commodities.

Many people are not familiar with binary options, because the term is relatively new, and only those who are involved in online micro-investing would probably know about it. Understanding this trading method starts with first understanding gold and oil as assets, which will allow you to determine both if binary options are right for you, and if gold and oil are trade commodities that you want to pursue.

Gold is a precious metal that everyone has heard of, and many people actually own. Wedding bands or engagement rings are made of gold and there is supposedly a huge cache of U.

Gold is an interesting item to trade, because according to National Geographic, over half of the gold on planet earth has been mined just in the past 50 years alone.

Trading Gold Using Binary Options

As for oil, this is another well-known commodity that everyone is familiar with. Petroleum is mined from the ground, the leftovers of fossils from millions of years ago, and is instrumental in the production and operation of everything from cars to plastic bowls and cups. If you are familiar with other types of trading, you know that commodity trading can be an unpredictable and volatile market.

It is also helpful in commodity trading to be able to understand fundamental and technical analysis, with an emphasis on technical analysis since binary options are short-term. There are a few things that you should know about commodities trading as they relate to binary options.

One thing to keep in mind is that on some commodities such as oil or natural gas, the prices come from the United States Department of Energy and they are only get released at certain times of the week. Until you get enough experience, what you want to do is trade commodities after the report has been released because even a novice binary trader can make money during the period after which a report comes out. But in order to decide whether or not you are going to trade commodities like natural gas, oil and gold, you first need to understand what binary options trading is and how the whole process works.

Binary trading is pretty simple at its core. You have a very basic option contract that has a fixed amount of risk as well as a fixed amount of reward and the reason that they are called binary options is that much like the computer code of ones and zeros, binary is one or the other when it comes to the type of movement you want to predict and it is one of two possible payout scenarios after the expiration of the option.

The Geeky Gold Strategy - Trading Binary Options on Gold

What happens is that you choose what might happen to assets like commodities, currencies even Bitcoins! You are predicting a rise or fall in price over a very specific period of time. When that period of time is over, the option is said to have expired.

The Gold Strategy for Binary Options! – The Official Michael Freeman Website

Basically, you are predicting movement and then predicting where you think that movement is going to go. That is when you predict whether or not the price is going to rise or the price is going to drop on a particular commodity — in this case gold trading and oil trading are the two that we are discussing.

But something else that you might want to understand before we get to the examples, is that there are three parts of the trade that you need to not only identify but know the names of and the values for each trade that you are making:. When it expires, you either win or you lose. The next thing is the payout. Again, the payout will depend on the situation and on which binary options trading platform you are working with.

Trading Gold Using Binary Options

Finally, your strike price is simply the price that you bought in at. When you predicted whether or not the commodity would rise or fall — it is the price that you started from. The same goes for oil trading. As you can see, this is a very easy system that makes it simple to make money, and that is why so many people are using it to make extra cash or to make their dreams come true. For inquires write to: BACK main menu Home page Open account Trading room Help FAQ Company About us Legal Payment Methods.

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Open Account Trade now Education Binary V. D Economics Platform Tutorial In-Depth Course Binary Strategies Advanced Course Binary E-Book Library Trading Tools Economic Calendar Pivot Calculator Fibonacci Calculator Help FAQ Company About us Contact Us. Library back to all articles. Oil Trading and Gold Trading with Binary Options One of the most popular investment structures available online today is binary options trading, and oil and gold are probably the most popular traded commodities.

The Value of Gold Gold is a precious metal that everyone has heard of, and many people actually own. Why Oil is Traded?

Understanding Commodities If you are familiar with other types of trading, you know that commodity trading can be an unpredictable and volatile market. How Binary Options Trading Works?

But something else that you might want to understand before we get to the examples, is that there are three parts of the trade that you need to not only identify but know the names of and the values for each trade that you are making: Open Account Trade Now Education Help About Us Contact Us. About Us FAQ Facebook Contact Us. Upload File Which documents do I need to upload?