Binary options and Gambling

Binary options and Gambling – Is it binary betting?

Using the Binary options is the latest method of trading in the financial markets. Binary options trading is simple, transparent and give you instant benefits, thus making it quite well accepted, with a wide clientele. The way in which the binary trade operates, is that trader estimates the direction of the market, and its price trend, earns if it matches and loses if it does not. Thus it gets associated with binary betting, because the trader needs to anticipate price movement, and thus gradually increases its finances by earning, and thus termed as financial spread betting.

There has been a lot of publicity in the context of binary trading and its ways and the way it has led people to make a lot of money. This is one of the reasons which have attracted investors who have otherwise, lost a lot of money in trading in shares.  The binary options trading need a lot of research, analysis and experience to be able to make profits out of the business.

Due to that fact that binary options give us fast money or with binary betting, the questions does arise as to whether it is a gambling instrument or just a trading one. This feeling of it being a gamble is just due to the attitude that one has. Since one loses money and makes money – both at the similar fast speed, it is referred to it as gambling or financial spread betting, but in its true terms it is not.

Since betting is quick money thus binary options trading is also termed as binary betting. This is due to the fact that in the mindset of making a lot of money, the traders keep their strategies, knowledge, skill, management theory aside thus making an easy prey for people to call it a binary betting.

Only when a trader trades irrationally, is when he makes this binary options trading into a gamble sort of a thing, or a financial spread betting as it can be betted upon across  categories.

Finally one can safely conclude that it’s the attitude towards the binary trading that creates this difference as to – whether its purely trading or gambling.


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