What Is the Binary Options Trading Winning Strategy
The basic idea of the Spread in Binary Options is to find two Assets where the Trend line is Up for one and Down for the other. On the Asset that the Trend line is up you place a CALL trade on it while on the Asset where the Trend line is down you place a PUT trade on it at the same time.
The Spread strategy is often called "hedging your bet". If both trades end In-the-Money you could receive an 81% payout on both of them. A $100 Trade Price on each of the trades would result in a $162 profit. However, if one trade ends Out-of-the-Money you have minimized your loss to $19; $100 loss on one trade and $81 profit on the other trade. However, if both trades are Out-of-the-Money you would have a $162 loss.
Risk Management
In trading, Risk Management is a major process that you must adhere to. Fortunately, Binary Options are designed to have a fixed payout and a fixed loss per trade thus limiting your risk on each trade. However, the only limit on poor judgment and gambling fever on your part is your own will power to NOT trade when market conditions are poor or when you are consistently Out-of-the-Money on a majority of your trades. Take a break, step back, and analyze why most of your trades are Out-of-the-Money. Doing your own research in the Trend Line of each Asset is key to minimizing your risk when trading.