Cash Crew System Free

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Before going to its advantages over other derivatives, it's important to first look at exactly how this trading works. As with all other options, the value of a binary option is based on an underlying asset such as stocks or foreign exchange. These are tied to the performance of the underlying asset, and any gain or loss in this trading will depend on whether the value of the underlying asset goes up or down.

But unlike other financial investment tools, in this type of trading, your gain or loss is predetermined and pegged at two specific amounts. In all-or-nothing binary options, for example, you either get the predetermined gain, or you get nothing. If the underlying asset is stock, even the slightest increase in the stock value at the maturity date would already entitle an investor to the predetermined gain. Cash Crew Review A decrease in the underlying stock's value at the maturity date, on the other hand, would translate into either a total loss or a predetermined loss, depending on the terms of the option. With this investment tool, there's no middle ground, only two possible outcomes, hence the term "binary" option.