Binary options: Truths, Half Truths and whole lies

Ive been looking at trading binaries within the last few weeks and have settled for IQ OPTION. However the company is located in the Seychelles and this is their review on a certain binary trading forum
Intro & Platform Review

IQ Option is a binary trading platform that is owned and managed by a holding company known as Alta Vista Trading Limited. Based in the Seychelles, IQ Option is licensed and regulated by CySEC.

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Established in mid 2013, IQ Option is well known among the binary trading community as one of the most reliable and innovative binary brokers in the industry. Its reputation is also enhanced by various awards that the broker has won from various industry reviewers.

To provide their clients with access to the financial markets, IQ Option uses a platform that it has developed proprietarily. As such, the interface and functionalities of the trading platform may not be what most binary traders are used too as it is modelled after the more advanced trading platforms used by the spot forex trading industry.

Nevertheless, it cannot be denied that IQ Option’s trading platform is probably one of the most sophisticated trading platforms around in the binary industry.

Uniqueness

Apart for having a refreshing user interface, IQ Option’s trading platform allows traders to change the view of their chart from a line chart to a candlestick chart. In addition, there are also various other tools such as a line drawing tool which traders can use to plot trends on their live charts.

Perhaps one of the most useful features about IQ Option’s platform is the ability for traders to make multiple trades on the same chart. This is especially useful when you want to employ more sophisticated trading such as the “Fence” trading strategy.

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Assets & Payouts

Surprisingly, as a dedicated binary broker, IQ Option has a rather limited portfolio of underlying assets. Although, traders are still able to trade in the 4 major asset classes such as forex, commodities, equities and indices, they are somewhat limited, e.g. gold is the only commodity available.

As for the returns on investments, IQ Option offers one of the highest payout ratios in the entire binary option industry. Under the right circumstances, traders can earn as high as 93% returns on their investments.

License & Regulation

As a corporate entity established in the Seychelles, IQ Option’s scope of operation comes under the jurisdiction of the newly formed Seychelles Financial Services Authority (FSA). However, it should be noted that the IQ Option brand is operated by two different corporate entities from Alta Vista Trading Limited. As indicated on their website, IQ Option is operated by Infofield Premier Ltd (Registration No: HE324593) and Investlab Holdings Ltd (Registration No: HE327751). Since Investlab Holdings Ltd is regulated by CYSEC (License Number: 247/14), this means traders trading on IQ Option are also protected under the provisions of the MiFID.

Pros

• High Returns of up to 93%
• Lowest Minimum Initial Deposit Requirement
• Regulated Broker
• Sophisticated Trading Platform

Cons

• Limited Range of Underlying Assets
• Options Contracts Limited to Standard Options and Short Term Options

Conclusion

Although IQ Option has been around for only 2 years, its track record and the numerous recognition awards that it has won are testimonial to the fact that this broker is committed to providing its clients with the highest level of quality services. Any notion of IQ Option being a scamming operation is quickly dispelled when you consider the fact that one of the awards which they won recognizes them as being one of the “most trusted binary options broker” in the industry. Apart from being a trusted broker, IQ Option also made it easy to access the financial markets by requiring new accounts to only make a minimum initial deposit of $10. This is probably the lowest ever initial deposit requirement that you find in the industry. Even their minimum trade size requirement is newbie friendly as traders can trade with as low as $1/-!

Ratings Overview

Customer Service Rating – 10
• 24/7 Live Chat
• Phone Support For 3 Countries
• Trading platform translated into 8 languages

Asset Choice Rating – 8
• 35 Stocks
• 22 Currency Pairs
• 1 Commodity
• 6 Indices

Deposit Method Rating – 10
• Credit Cards
• Wire Transfer
• Web Wallet

Minimum Deposit Rating – 10
• $10

Minimum Trade Rating – 10
• $1 Minimum

Trading Features Rating – 7
• Standard Call/Put Binary Options
• Short Term Binary Options

Payout% Rating – 10
• Up to 93%

Bonus Offers Ratings – 9
• Up to 150% matching bonus on initial deposit.

Site Intangibles Rating – 9
• Regulated
• Free Demo account
• Real Time Price Feed From Thomson Reuters
• Training videos

IQ Option, 4.1 out of 5 based on 30 ratings

Nadex is another well lined up binary trading platform but only available for those based in the us.

Any binary trader in here who has an experience with these derivatives and knows The Dos and Donts in terms of what broker to deal with?
cc
@Okiya
@Alchemist
@denis young

over 90% of them are scams, binary options (my view) is like buying options that speculate on exactly how many hours and minutes it will rain tomorrow

I have heard some bad things about IQ options. Sometimes refusing to pay. I use a different one which gives even up to 100% payout. They never fail to pay. They have been in the market since 2004. Old and tested.
http://record.binary.com/_s09phGbD-2K6tyDIijdDK2Nd7ZgqdRLk/1/
PS: Avoid bonuses. There are always strings attached. Your deposit can be locked in until you complete the terms of the bonus.

Sasa mimi ambaye nilisomea nje ya dirisha nifafanuliwe tafasari; in simplest terms… What da hell is this 'option?
cc: @jimmy_m @denis young

simply put, its basically just another fancy name for gambling, you just pick a stock as long its publicly traded, lets say gold and predict that by x date and time, its value will have gone up by x percent or tanked by y percent. e.g. you can place 50 dollars at 8am and predict that in 20 minutes time, the price of gold will have tanked by 10%, now if at exactly 820am the price has actually tanked by 10% you get a payout of say 30 dollars, if it has not tanked you loose a certain amount, say 30 dollars

Bruh…first of all go to Wikipedia and search for binary options. Its well explained there ni ndefu sana but you will get it bila stress.

Hehehe…
No way man. I’ve gotten all the info i need from @jimmy_m and thats all i needed to steer clear of it…

This,let me not be able. wacha nitege nyoka mahali nimezoea

Kindly make investopedia one of your web pages to visit! Thank me later!

@Rum as pointed out by a few, binary options can be the shortest shortcut to bleeding your account dry.
Most brokers offering them are not regulated and they scam clients a lot. As @denis young put it a lot goes into choosing the right broker.
The allure is certain and this guys make it seem like you will not need to carry out technical and fundamental analysis. Some even promise to do it for you. And there lies the folly mate! When in money you won’t know how you made it, then comes the fallout(between you and good old broker). They then start loss hunting to wipe out the gain. The client having no knowledge base is left at the broker’s mercy.
I like the work I put into Forex and the resulting payout, as for diversification am adding Futures: Energy and Metals to the portfolio.

Also let me drop a gem here:

:D:D:D:D