If you are in the business of binary trading then it is must for you to have knowledge to analyze the market. Binary signals are used just for the same purpose. You can say that they are alerts provided by third-party companies to the traders who don’t have the knowledge or experience to analyze the market by themselves. If you are not trading on the managed account services you do not have the privilege of a provider doing everything for you. In that case you need to understand how to interpret and trade binary options signals.
Financial markets are filled with so much intricacy and anyone who has been in this trade for sometime can stand witness to this fact. Financial market requires engagement at full level consuming time, effort and the whole of your personality. One just cannot carry on with their full day jobs and still trade with full courtesy required by the business. Without a full understanding of all the technicalities it is very difficult for anyone to trade at the potential of profit they deserve. You will need to develop, with yourself, full trading strategy and for that you need to be able to interpret charts and the language of trade.
With all that being said you can position yourself on two sides of a single line. If you stand as a beginner in the world of trading you need someone to do all the hard work for you in giving you the trading tips, so as to final deliverance of the profit. That is where all the demand of binary signals arises.
Selecting a good binary options signal service would be the next logical step for you. Don’t get influenced by what each service provider tells you about them. A lot of them will claim to give you instant results on their websites. There is only one way to the verification of the same and that is to go for a free trial. Make a demo account if your provider gives you an option to do so. Going immediately to a provider that does not provides you with a trail period is not a good option.
One should also be on a look out for providers that give money back guarantee. This will give you the chance to evaluate return on investment. If unsatisfied, one can ask for their money under the money back guarantee scheme.
Majority of the signals and auto trading sites are scams. Only the reputable ones offer 60%-70% average win rate. Any rate above than this will be fraudulent. To make you more aware, a win rate of 55% is required to make it to the break-even point.
Remember that using Martingale strategy, where you double your bet after each loss until a final win, is not a good strategy to go with when it comes to binary options trading. The math says that the bets where you have a 55% win rate, more or less, you will always lose using the above strategy. However Martingale strategy may work if you have a 60% win-rate or higher. So you can use it once or more than once on a losing trade having win-rate 60% or higher.
We will end the discussion by answering the question on the opening price of the trade. The opening price shows its importance when you have to place the trade before the price moves out of your limits. Make sure to hire a broker that gives you flexibility with the opening price. Also make sure that your broker’s price and the signal provider’s price are close enough because that will finish your money before your signals provider finishes it.