This is a new type of trading that has been introduced to binary option traders just recently. Originally it was developed by AnyOption, and it can be traded in their online trading platform. This concept is very simple and it’s meant for those traders who want to trade on a fast-lane. Probably you’ve already tried other binary option trading types and you’ve seen that when you’re making a trade you have to confirm your decision in an additional pop-up window. Usually it shows up when you’ve already entered all necessary data to buy or sell the particular option. You won’t see these windows in this type of trading and actually there are not many options to choose from. There are 3 main options that you will have:
- Choose an event – platform will offer their Clients a lot of “events” per day. With an “event” you can understand a situation where platform offers to buy or sell the asset and this asset should reach predetermined price in a particular time to provide trader with a profit. I.e. will EUR/USD be higher than 1.30142 at 12:15 today? If you believe that it will be, you buy an option, if not – sell.
- The amount of options to buy/sell – the maximum profit per trade is 100 USD but there is a possibility to trade up to 10 options at once giving trader a possibility to earn up to 1000 USD per trade. Before buying or selling a particular option, trader will have to decide how many options he wants to buy/sell at once.
- Buy or Sell option – when first two steps are completed, trader buys or sells an option. As it was mentioned above, this time it will be fast and without any additional confirmation. Usually trades are accepted until expiration time had not reached 5 minute margin.
Why is it called 0-100 Trading?
When you decide to buy an option you risk the purchase price that can be from 0 to 100. So let’s say that you buy an option for 40 USD and after the expiration you were right. In this case you would get in return 100 USD from which 40 USD are what you invested + 60 USD profit. And if you chose to buy i.e. 5 options at once, you would get 500 USD from which 200 USD are what you invested, and + 300 USD profit. The biggest difference between high/low binary trading is that in 0 – 100 trading you don’t have a possibility to set an amount that you’re willing to trade – it is changing according to market and it is generated automatically. So you’ll just need to decide when to jump in and that’s it.
0 – 100 trading is a fast way of trading and when you click on buy/sell option, you won’t see confirmation window, trade will be live in one click. So be careful when making a decision. Also, you’ll see the amount and percentage on each option (buy or sell). The amount is a price for that option and percentage is the profit that you could get if you are right and trade ends as predicted.