Today you can find hundreds of different binary options brokers, and sometimes it’s difficult to choose. One of them offers 85% profit if your trades end ‘in-the-money’, another one offers 75% profit ‘in-the-money’ return and 15% return if your trades end ‘out-of-the-money’.
Scroll down to play around with our binary calculator and calculate how to trade binary options profitably with a broker you like.
The following table is an interactive tool – binary options profit calculator where you can enter your numbers, and see what’s going to happen with your investment in the ‘Outputs’ section. With this tool, you can easily calculate how much return you’re going to generate based on pure numbers. It’s a great way to make a decision when trying to find the best binary options broker and to understand which option is going to give you the best results financially.
Binary Options Trade Calculator
Our conclusion after playing around with numbers
By playing around with different situations and numbers, you can see that 50% of winning trades is not enough to stay in profit. We’ve identified that in most cases where brokers offer 70% return on standard High / Low trades, you’ll need to be correct in almost 60% of your trades to break even. Sometimes it’s much easier to make your decision based on exact numbers where you can see what’s going to happen if you win or lose your trade. Also, how’s your money going to increase or decrease in a particular situation?
Now it’s much easier to understand your profitability and which binary options broker could be the best for you backed by real numbers. If you have some trading experience already you can use to tool to calculate previous trades, if not then it’s a great way to play with numbers and to understand what you need to make money from binary options. I hope that this tool will help you to make the best decision.
If you’d be interested in other tools that help you during the trading process or when choosing between various platforms, let us know in the comments section. We’re here to help!
Benefits of the Binary Options Calculator
Binary options trading is not all about making profits from trading financial assets across multiple markets, but also the shrewd management of capital through proper risk assessment. Today, the use of binary options calculators have taken over the forex industry by presenting a new and innovative way for forex traders to participate in volatile markets with minimal risks and increased chances of profiting from short-term market shifts. Binary options calculators have become a vital widget and trading tool for forex traders in developing trading strategies.
Features of Binary Options Calculator
A typical binary options will have space for traders to maintain their currency and a parallel space where traders can input the currencies they intend to trade. With this pair, the degree of profit or loss from the trade can be determined. The calculator will also have a space for entering the opening price of the trade and another space for entering the direction of the trade; either long or short. The financial trade size can also be entered in another space to specify its worth, and a final space holds the closing price of the trade.
Unlike the elementary tool in most binary options platforms, the binary options calculator not only shows the trader how much a trade cost, but also assesses the possible risk in the trade and recommends exactly how much the trader should be investing into the market that time. This allows traders to determine the vulnerability of their trades and through this risk valuation, they can make better decisions.
Precision in forecasting profits or losses
The forex market is very volatile and constantly prone to up and down shifts. Unlike the old-fashioned financial trading methods, binary options trades are usually not held longer, and they can last for short as 15 minutes. This market volatility and short expiry trading periods can make a big difference when it comes to profits and losses. That said, forex traders use the binary options calculators to determine the trades with the highest return rates by calculating the profits and losses potential in the current trading markets with precision. By filtering our only the trades with the maximum potential and making several successful trades, traders stand to make huge profits from financial markets.
Binary options trading allows traders to make money both when the prices are rising and when they are falling. This means that studying the financial markets upsurges and fluctuations can put you ahead of the game with the option of trading both ways. In this view, the binary options calculator comes in quite handy. Binary options calculators systematically analyze financial assets behaviour based on their expiry periods and produce a forecast on the classic options based on the market’s popular indicators. The binary options calculator studies previous market trends and evaluates the price shifts on various market assets. Using this forecast, traders can develop and execute a feasible trading strategy and make substantial profits.
Many forex traders have turned to binary options because it’s far much easier than Forex trading. Using the binary options calculator, trading can become a hell lot easier, and traders can construct a clearer roadmap on how to achieve their profit targets.