binary options trader e-book

Binary Options TRADER E-BOOK

Table of contents:

A word from the CEO

E-book content

About Opteck

What are Binary Options?

Registration

Deposit Funds

Withdraw Funds

The Trading Procedure

Trading Instruments

High/Low

One Touch

Range High\Low

Open A Trade

Frequently Asked Questions (FAQ)

Glossary

What Does it takes to Become a Profitable Trader

12 - 19

14 - 15

16 - 17

18 - 19

20 - 21

22 - 27

28 - 31

32 - 33

02

03

04 - 05

06 - 07

08

09

10

11

2 3E-book contentA word from our CEO

As the CEO of Opteck.com, I would like to personally welcome you to the world’s most highly advanced and fastest growing Binary Option Platform. At Opteck, we are proud to offer our traders a secure and technologically advantageous platform in which to trade Binary Options.

As the global market has expanded into an intricate world of independent brokers, we hope that you too, will discover the user-friendly and vastly profitable nature of our platform’s two-way Options. The EBook is designed to assist and further your trading capabilities. With the EBook we offer you an introduction to the Binary Option Market and an overview of our trading platform, in addition to descriptive analysis of how our platform can be utilized to trade Currencies, Commodities, Stocks and Indices. Furthermore, through the expertise of our analysts, the EBook illustrates graphical detailing of the multiple functions displayed on the Opteck Platform, plus a glossary to clarify key terminology. We highly encourage you to use the glossary if you encounter terms with which you are not yet familiar.

This Digital Options Arena offers investors a low risk, yet greatly sophisticated environment to trade for the purpose of gaining lucrative returns in short periods of time. We are confident that our clients will appreciate this highly profitable platform. We look forward to working with you closely. On behalf of the entire Opteck team, I would like to thank you for choosing Opteck.com for your trading needs.

Our EBook will provide you with a basic view of the world of binary option trading and the unique characteristics of Opteck’s user friendly platform.

Opteck advises traders to utilize the EBook when first starting the platform, in order to be aware of all of the information available and to acquaint themselves with how to use different tools for their advantage.

Both new and experienced traders are welcome to use Opteck’s knowledge center for advanced strategies, with the use of technical and fundamental analysis that are specially modified for short term trading which suits binary option trading.

In the past decade we have witnessed acceleration in the accessibility for traders from differing backgrounds all around the world.

The digital era allowed for easy access to the trading field and as time goes by the variety of tradable assets is increasing; supporting different individuals to express their personal knowledge. In today’s market you can find traders that are equipped with different backgrounds and typically express trading skills based on their knowledge. For example; a trader that lives in Canada will often prefer to invest in OIL and the USD/CAD (U.S. dollar vs. Canadian dollar) using the Forex market, whereas, a trader that studied biology will look to trade a biotech company by buying or selling (shorting) its shares based on a personal perspective.

The ability to participate in the market, take part in the global movement, upgrade awareness of the world’s correlation, all while sitting in a chair at home, is the precise reason why many individuals every day, and everywhere want to express their personal view of the market by taking a stand with their own capital.

Best regards,Ben ZennetiCEO

A word from the CEO Dear Trader

International: +44(0)208.166.9886 Skype: ben.binary Email: [email protected]

About Opteck About Opteck 4 5

About Opteck:Over the years, Opteck’s team of professionals has extensively evaluated the needs of today’s traders and has thus dedicated themselves to put forth a technologically savvy, yet user friendly software layout that will suit both, beginners and advanced traders, one in the same. Whilst showcasing up to date market features that allow traders the opportunity to professionally trade in global financial markets without any prior technical knowledge.

With various locations across the globe, Opteck understands the importance of accessibility. And with this understanding, Opteck offers its traders the opportunity to utilize a platform, which is completely web-based. This eliminates the need to download or install software onto your computer, giving you the advantage of trading from any computer in the world, regardless of location. Opteck is truly a global trading company.

Educational InfrastructureThe educational facilities available at Opteck, allow even the most inexperienced of traders the ability to understand the market quickly and successfully. With the experience and expertise of its professionals, Opteck has assembled an array of extensive tools and educational material exclusively available to its traders. Additionally, Opteck’s personal account managers provide one-on-one support and training to further develop and enhance these learning materials.

Success with Binary OptionsIn order to trade Binary Options successfully, it is necessary to have a thorough understanding of the relevant terminology. Despite the conceptual simplicity of trading Binary Options, mistakes may occur and misinterpretation may lead to unprofitable outcomes. Comprehension of complex trading terminology matched with the understanding of how they may be applied, is beneficial to any trader, as a tool to execute successful trades quickly and effectively. As with all success in trading, increasing the depth of knowledge is an important and central aspect to achieving your goals.

Opteck Client SupportAs a member of the global market, Opteck values and understands the great significance

of professional service that should be provided, not as an obligation, rather as a first step in continuing and maintaining a long term relationship with its traders. Opteck offers 24/7 client support accessible via phone, chat or email.

From the first call, through to the education and account management, Opteck client support is compelled to fit the needs of its traders. Valued clients are the foundation of Opteck’s success.

Platform Accessibility:Since traders can access the platform from around the world, all that is needed is a computer and an Internet connection. Opteck is familiar with additional needs of accessibility, and have added an application that may be downloaded onto your smartphone free of charge. The application name is ‘Opteck Binary’ and allows access to all trading services.

Transparency of the Asset Price:The asset value presented on the Opteck Platform is a direct live feed from Reuters, which reflects a true market value. Allowing traders the ability to analyze the Binary Option Market with technical and fundamental tools from other markets for their benefit.

*Fractal deviation may occur in an offered Option rate as an outcome of the average calculation between the bid (buy price) and ask (sell price) of an Option.

Opteck presents a single Option rate for call and put, in order to avoid any additional market fees.

* Binary options are is the new kid in the block of the financial market, particularly online.More and more traders realize that binary options is a lot easier and profitable that forex and other traditional trading methods.

7What are Binary OptionsWhat are Binary Options6

What are Binary Options? A Binary Option is a prediction on how a certain asset value will alter in a given time frame. In order to understand the simplistic beauty of trading Binary Options, let us first take a look at the mechanics of how to investment in other trading markets. In the traditional form of investments, the investor essentially purchases the underlying asset that they have interest in. If the investor sells at a time when the asset has increased in value, they have made a profit, adversely, if they sell when the asset has decreased in value, they have clearly lost money.

This type of investment compels the investor to constantly worry about when to sell. Binary Option trading is much simpler. In Binary Options, you trade on the market, not in the market. Compared to the other trading methods, you are not putting at risk the entirety of your capital, as you are not buying the asset, only predicting its movement. • Trading Binary Options using our platform is easy, quick and reliable.

In its literal translation, the word ‘binary’ is defined as ‘having two parts’. In Binary Option trading there are only two directions for the investment. One possibility is that the price of your asset will increase; if you do predict an increase, this type of investment is termed a call. The other possibility is that the price of your chosen asset will decrease; if you predict a decrease, this type of investment is termed a put. Thus, what you need to decide as an investor is whether to call or put.

The first decision to make, in Binary Option trading, is purely what to invest in. For instance, if you have an interest in Gold prices, you may choose to place a Binary investment in Gold. Obviously, the more familiar you are with the Gold market, the better your chances are of successfully predicting the fluctuations in the price of Gold.

For the purpose of this example, we are going to presume that you are in fact interested in the Gold market. You then predict that the price of Gold will increase between now and the expiry time (trades vary between 1 minute up to 1 week.) Subsequently all you need to predict in Binary Option trading is whether the price will increase or decrease, it is inconsequential by how much. The last decision that you will need to make is simply how much money to invest in this trade. You will receive a predetermined percentage of profit, depending on the cost of the Option. You merely need to elect how much you would like to invest or how much you are looking to profit. According to your prediction, you can make up to a 100% profit. As a side-note, an additional perk of Binary Options is thet the amount of investment is much lower in order for you to gain a noticable profit, compared to what the required investment in other trading forums.

You have currently decided upon the asset in which to invest, the amount and its direction. Lastly you wait for the expiry time, to determine whether the trade was successful.

What are the Risks?Since there are only two possible outcomes for the prediction, basically you could either be right or wrong; it is only natural that the amount of loss or gain should be set from the beginning, which is in fact the case. This is yet another agreeable aspect of Binary Options, what you stand to lose or gain is set forth from the beginning.

Now that you have an understanding of the basic principles of Binary Options, let Opteck help you get started. And as you can see, the process is simple, quick, and also very exciting. Best of luck.

*Yet another agreeable aspect of Binary Options, what you stand to lose or gain is set forth from the beginning

8 9Deposit FundsRegistration

Registration: Deposit Funds:In order for you to start trading Binary Options, you will first need to register onto our website. It is necessary to complete all required fields with agreement to the terms and conditions.

The process of adding funds to your account is quick and simple. You may process the deposit via the platform or with the assistance of your account manager per your request. To fund the account you will first need to login to our platform, click the Deposit button located on the right hand side or you may also use the Banking tab, where you choose the Deposit button from the drop down menu.

Opening an AccountFrom any page on our website you will see an Open an Account button at the right top corner of the page. This will direct you to the registration page

Registration pagecomplete all the required fields* and press the Register button.Once the registration process is complete, you will receive the confirmation e-mail.

*Opteck accepts a variety of payment methods: Visa, MasterCard, American Express, CashU, Bank Wire Transfer, Ewallet and Western Union.*Clients must take full responsibility in ensuring that trading on Opteck is in compliance with the

laws and regulations in their country of residence.

Depositing FundsTo fund your account, login to our platform and: click the 1 "Banking tab" -> 2 "Deposit button" you can also use the 3 Deposit button

Deposit PageYou will be directed to the deposit page, where you will be asked to enter in your billing information and chosen method of payment.A client account balance must be sufficient to cover all open trade positions at all times.

10 11Trading ProcedureWithdrawal Process

Withdraw Funds: The Trading Procedure:Opteck.com offers fast and secure methods to execute your withdrawals. We support wide range of currencies and a selection of withdrawal methods such as Bank wires, Credit cards, Webmoney, cashU, Moneybookers, and Western Union. A withdrawal will be processed within 24-48hours of the request.

After opening an account and making a deposit, you will then have the ability to open a trade on our platform.

The Asset:First you decide on the asset, in which you would like to trade. With Opteck you can trade different asset types, such as a stock, an index, a commodity or a currency pair from the forex market (foreign exchange.)

With its accessibility and diversity of assets, the Binary Option Market is now considered to be the largest market in the world.

Each individual trade will display the asset, the current market price, the payout percentage and the expiry time.

The Investment:Next you decide the amount that you would like to invest for the particular trade. As an Opteck trader, we will provide you with an article describing money management, in order for you to be able to establish a considerable investment based on your account’s liquidity.

The Direction:Lastly, you will decide upon the direction of the asset that you want to trade. We advise for you to first read one of our articles “Choosing a trade” before you begin. The tools presented in this article will provide you with aspects needed for consideration when choosing or predicting the direction of an asset.

If you predict the asset price will rise before the trade time has expired, you will chose the call (green) Option or if you predict the asset is going to fall you will chose the put (red) Option.

Once you have finalized these steps, the trading process is now essentially complete. You can relax and await the expiration of the Option trade to conclude if your prediction was correct.

*We support wide range of currencies and a selection of withdrawal methods such as Bank wires, Credit cards, Webmoney, cashU, Moneybookers and Western Union.

To Withdraw Funds:To withdraw funds from your account click the 1 "Banking" and choose 2 "Withdraw" button from the drop down menu.

Withdrawal page:Here you will be asked to enter in the amount you wish to withdraw from your account. As Simple as that

12 13Trading InstrumentsTrading Instruments

Trading Instruments: Opteck offers a variety of instruments for trading Binary Options. Each instrument has its own unique benefits that you can use depending on your preferences, in addition to diverse market formations.

High-Low In High/Low you decide whether the market price will close higher or will close lower than the current price.

One Touch In One Touch you decide whether the market price will reach a certain amount (at least once) before the expiry time.

RangeIn the Range instrument, there is both an upper and a lower target price that form a boundary range.

Expiry of an Option:In the Range instrument, there is both an upper and a lower target price that form a boundary range.

In-The-Money (ITM)• The outcome of the trade was profitable. For example, if the

Option was a Call, then the current price of the underlying asset would be higher than the original price at the time the Option had been purchased.

At-The-Money (ATM)• When the current price of the underlying asset is the same as

when the Option was purchased

Out-Of-The-Money (OTM)• The outcome of the trade is not profitable. For example, if the

Option was a Call, then the current price of the underlying asset would be lower than the original price at the time the Option had been purchased.

*Tradiotionally, high/low type is the well-known binary options type of trading, One Touch & Range are the type of trading that are considered to be riskier however the return on these positions is usually higher and makes the trading process more intuitive and interesting.

14 15Trading Instruments - High/LowTrading Instruments - High/Low

High/Low:In High/Low you decide whether the market price will close higher or will close lower than the current price.

In a call Option (predicting uptrend) the price needs to stay higher than the striking price at the end of the Options time frame. In a put Option (predicting downtrend) the price needs to stay lower than the striking price at the end of the Options time frame.

High/Low- Expiry of an OptionIn-The-Money expiration:

• HIGH (CALL) Options expire ITM when the market price is higher than the target price at expiration.

• LOW (PUT) Options expire ITM when the market price is lower than the target price at expiration.

Out-Of-The-Money expiration:• HIGH (CALL) Options expire OTM when the market price is lower than the

target price at expiration.• LOW (PUT) Options expire OTM when the market price is higher than the

target price at expiration.Options will expire At-The-Money if the Option expires at the same price as the strike price.

Instrument type

Asset type

Asset Name

Asset Name

The white area shows until when the trader can join the Option, invest more or close a current position

The current market price

The expiry time and closing time

The grey area indicates when the position is action blocked

Vertical view of the price range

An additional sector to place a call or put

Call or put buttons

Investment amount bar



Horizontal view of the time scale

Instrument\Asset Navagation

Click within the box to view the asset chart

The percentage of profit (percentage the trader will earn if the prediction is In-The-Money)

The percentage of return (percentage the trader will earn if the prediction is Out-Of-The-Money)

Asset Name

Choose a call Option (uptrend)

Choose a put Option (downtrend)

The strike price (current price by Reuters)

The closing time

Asset Information

Asset chart Information

16 17Trading Instruments - One TouchTrading Instruments - One Touch

In One Touch you decide whether the market price will reach a certain amount (at least once) before the expiry time.

• In a call Option the price needs to climb and reach the green line presented on the chart (approximately 30 pips.)

• In a put Option the price needs to lower and to touch the red line presented on the chart under the striking price (approximately 30 pips.)

Instrument type




Asset Name

Choose a call Option (uptrend)

Choose a put Option (downtrend)

The strike price (current price by Reuters)

The closing time

Asset type

Asset Name

Asset Name





Call or put buttons







One Touch:One Touch- Expiry of an OptionIn-The-Money expiration:

• HIGH (CALL) Options expire ITM when the price climbs and touches the upper green line before expiration.

• LOW (PUT) Options expire ITM when the price crosses and touches the lower red line before the expiration.

Out-Of-The-Money expiration:• HIGH (CALL) Options expire OTM if during the time frame the price

does not touch the green line.• LOW (PUT) Options expire OTM if during the time frame the price

does not touch the red line.Options will expire At-The-Money if the Option expires at the same price as the strike price.

Asset Information

18 19Trading Instruments - RangeTrading Instruments - Range

In the Range instrument, there is both an upper and a lower target price that form a boundary range.

In a call Option (predicting uptrend in a limited range) the price needs to stay higher than the striking price and lower than the upper line.

In a put Option (predicting downtrend in a limited range) the price needs to stay lower than the striking price and higher than the lower line.

Instrument type




Asset Name

Choose a put Option (area range is between the current price down to the lower grey line)

Choose a call Option (area range is between the current price up to the upper grey line)

The strike price (current price as presented on Reuters)

The closing time

Asset type

Asset NameAsset Name






Time remaining to join the position

Call or put buttons






Asset Information


Range High\Low:

An additional sector to place a call or put

Range - Expiry of an OptionIn-The-Money expiration:

• HIGH (CALL) Options expire ITM when the market price stays within the range between the upper green line and the strike price throughout the trade.

• LOW (PUT) Options expire ITM when the market price stays within the range between the lower red line and the strike price throughout the trade.

Out-Of-The-Money expiration:• HIGH (CALL) Options expire OTM when the market price exits the call range

sector during the trade.• LOW (PUT) Options expire OTM when the market price exits the put range sector

during the trade.Options will expire At-The-Money if the Option expires at the same price as the strike price.

20 21How to Open A TradeHow to Open A Trade

The Opteck Platform offers two methods of opening a trade: 1 Through the trading box. 2 Directly from the chart.

Open Trade: Once the trade is open, the sector below the chart will reveal trade summaries, ‘Recent Trade Actions’, for all current open positions.

Completed Trade:By definition, the Binary Option offers a predetermined time frame that will automatically close the Option at the time of expiration.Opteck traders have the choice to close a trade before the closing time (white sector of the graph) whether the Option is In-The-Money or Out-Of-The-Money.To access the possibility of closing a trade early, click the 1 blue arrow at the right hand side of the ‘Recent Trade Actions’, which will then prompt the 2 selling data for this trade.

The manual closing of a trade before expiration follows with a partial return rate %, offered by Opteck’s algorithm calculation. If you agree with the offered closing rate and choose to proceed, simply click on the 3 blue ‘sell’ button and the closure will be complete.

Open A Trade:

1 Trading box:The trading box is located at the bottom of the trading page, under the asset chart. In order to buy an Option, you simply select the direction (call or put) and the amount you want to invest and then click the ‘Invest Now’ button.

2 Trading directly from the chart:While in the chart, click the green or red arrows to open the trade, a trading box will then appear on the chart, where you will complete the trading process.

*Opening a trade is as simple as 1-2-3: Choose your asset, make your choice (high/low) and set the amount for that trade and click "Invest now". * Trading binary options is the ultimate way to make hundreds of percentage in profits in just a

matter of minutes from your home, office or no even on the go with our mobile trading platform.

2

1

3

22 23FAQ - TradingFAQ - Trading

Trading

What are Binary Options?A Binary Option differs from a regular Option in the fact that it can be described as all-or-nothing and is only required to expire above or below the strike price rather than being sold at the given price. The payouts for Binary Options are expressed as a percentage of the original investment and are pre-determined prior to entering the trade. This fixed value is paid if the Binary Option expires ‘in-the-money’ or the initial investment, less the protection rate, will be lost should the Option expire ‘out-of-the-money’. The degree to which the traded Option ends up in or out-of-the-money is irrelevant to the value of the payout, which is pre-determined at a set value. Most ‘in-the-money’ Options payout a value of 65-100% of the initial investment.

What are underlying assets? This is the value of the stock, commodity or currency from which the value of the Option is derived. Due to the fact that there is no ownership of any asset when a Binary Option is purchased, the cash value reflects the live market price of the asset on which it is based.

What are call Options? A call Option is simply a Binary Option, which generates a profit if it expires above the strike price at the time of purchase. This is similar to ‘going long’ or ‘buy’ on a trade, although the Option can expire at any point above the strike price and this will result in the payment of the pre-determined value of the Option. If the Option expires at precisely the level of the strike price, then the initial investment is returned in full.

What are put Options?Conversely, put Options become profitable if the Binary Option expires below the strike price. The pre-determined payout is triggered if the Option expires at any point below this strike price. If the Option expires at precisely the level of the strike price then the initial investment is returned in full. These Options are similar to ‘going short’ or ‘sell’ in trading where the optimal outcome for the investor is for the price to fall.

Frequently Asked Questions (FAQ):

What is an investment amount?The amount of money placed against the Binary Option trade. This amount is not fixed and can vary between traders; the investment amount determines the level of pre-determined payout expressed as a percentage of the given amount. It also determines the rate of return on an investment expiring ‘out-of-the-money’. What is the time zone presented on the platform?Opteck’s platform presents the time zone according to your location (computer IP address) and no additional changes need to take place.

When can I invest?The market must be open, in order for Opteck to allow the assets to be available for trading.Depending on your time zone, assets are unavailable for trading during Saturdays and Sundays, until the market will renew its weekly exchange. Assets that are attached to a specific market, such as indices and stocks, will have to have a working related stock exchange, in order for them to be tradable.

How to Invest?Follow these 4 simple steps:1. Choose an asset- this depends upon your personal perspective or the use of

different methods described in the EBook (correlation, fundamental analysis, technical analysis)

2. Choose a direction – call Option for an uptrend and put Option for a downtrend3. 3. Decide the amount you would like to invest – Opteck suggests for you to read

the money management explanation and to best follow the methods4. Invest in an Option according to your presumption.5. By clicking on the ‘put’ or ‘call’ button, the investment sheet will allow you to

enter this information and approve the execution of the trade. The data on the information sheet will update constantly to reflect the changing price of underlying assets. The selection can be cancelled at anytime by pressing the ‘X’ button before the transaction has been approved.

24 25FAQ - TradingFAQ - Trading

How do you set the market price of an asset?Opteck receives the asset value from Reuters. When compared to the NetDania prices (that are considered to be the standard pricing tool by traders all around the globe) it is then noticeable that the Opteck price has more precision, as it provides an extra digit, which presents the price more accurately.

What return will I get if my Option ends In-The-Money?A successful investment will refund the traders account with its original investment and a profit depending on the Options scale. The profit percentage is presented on the Option and varies between 65%-100% depending on the instrument being used and the cost of the Option.

I attempted to invest a certain amount for a single Option, but got an error message saying I exceeded the maximum investment amount. What do I do?

The maximum level of investment varies and is determined on a number of factors, although there is no restriction on buying multiple Options. If the maximum level of investment is reached on a single Option, this can be spread across several Options purchased cumulatively one after the other. This way the maximum investment can be made on multiple Options until the level of desired investment is reached.

What are the levels displayed in the trading boxes?The prices of underlying assets change often and this is reflected in the quoted price, the level. The levels are determined by the Opteck proprietary algorithms, therefore the price of the Options displayed in the trading boxes reflect the average price Opteck calculates between the bid price and the ask price of the market. For this reason, they are very similar and practically reflect the real-time market price.

What are expiry levels?This level is the price at which the Option officially expires according to Reuters. It is the price that will establish whether the Binary Option has expired ‘In-The-Money’ or ‘Out-Of-The-Money’. Across the different underlying assets there will be different expiry levels.

What are expiry times?This is the precise time and date when the Binary Option expires. This expiry time is predetermined at the time of execution.

Can we change the expiry times or time frame?No, the time frames are set before you enter the trade. Our trading increments vary between 1 minute up to 1 week. And you can have as many as 20 trades open at one time. This gives you a lot of flexibility within the market.

What is the difference between the closing time and the expiry time?The expiry time is when the Binary Option expires, and has ended its pre-determined life cycle, whereas, the closing time is when you are no longer able to take action on the trade, whether that be to enter the trade, or to sell out the trade.

How are purchasing Options in Opteck vs. buying put or call Options in the stock market different?

The difference between these two situations is that Opteck provides Binary Options, whereas traditional stock Options are those purchased by stock exchanges. Binary Options are popular with investors because they can offer shorter Option contracts vs. traditional ‘vanilla’ Options. Binary Options offer increased flexibility and can range from one hour to one month for each Option. The traditional exchange-traded Options are characterized as having longer expiry dates and determined by the degree of price fluctuation at the time of sale, they then do not have a predetermined payout rate. They do benefit from the ability to be sold at anytime, whereas Binary Options can only be sold at the time of expiry.

What do the colors mean for the levels on the trading floor?The colors reflect the relative position of the price against last trading price. The Opteck expiry level is either higher (green) than the last price or lower (red) than the last price.

If an expiry level of an underlying asset is the same as the level at which a transaction was made, what happens?

If the price expires at precisely the level at which the Binary Option was executed (At-The-Money,) then the investment will be returned in full to the investor. Are these profits taxable?Taxation will generally depend on the tax law governing the country of residence. Opteck customers are therefore responsible for their own tax liabilities and Opteck has no liability over payment of tax.Why am I unable to invest?If an account contains insufficient funds to invest in a Binary Option, it will be unable to execute an investment. Opteck trading room operates within the market hours, thus outside of these hours (although you may be able to view the value of the asset) the platform will not be able to execute investments. If these are not the reasons for your issue, please contact support at [email protected]

What is the minimum investment on an Option?The minimum investment is 25$

26 27FAQ - My Account - Technical FAQ - Trading

What is the maximum investment on an Option?The maximum investment is 5000$ Banking (deposit or withdrawal)

What are my deposit Options?Deposits can be made in multiple ways; all major credit cards, bank transfer, western union or ewallet may be used to fund the account. Details of deposit Options are available on the Funding Process page.

What currencies are available for use in My Account?All major currencies are supported. The selection of currency cannot be changed after the account has been registered.

Is there a minimum withdrawal?There is not a minimum withdrawal amount but in order to withdraw cash you will need to have sent us your identification papers.

How may I withdraw profits?Login to your account and go to the ‘My Account’ tab, then click on the ‘Withdraw’ button and follow the instructions for withdrawal.

Must I deposit money to register?Deposits nor financial data are not necessary for registration.

What is the meaning of Reverse Withdrawal?Reverse Withdrawal allows a withdrawal request to be reversed even if it has already been entered into the system. This prevents situations where a withdrawal may prevent investing activity due to insufficient funds. The reversal Option will allow funds to be reaccredited to your Opteck account and these funds can then be utilized.

What is a Swift code?A Swift code is an interbank transfer code which allows money to be exchanged. Each Swift code is a unique eight-digit code ending in XXX. Your bank will be able to inform you of this number.

My Account

I forgot/lost my password. What do I do?If you forget your password, the procedure to receive this is available on the homepage. Click on the ‘forgot password’ button, enter your personal details and click send. You will be emailed your password details to the email account used during registration. If you forgot your username, we encourage you to contact Client Services.

Where may I see my transaction history?All account activity may be accessed under the ‘My Account’ tab.

Why can't I see a particular asset?The assets that are displayed on the trading page by default are the assets that have proven to be most in demand and active. Further assets can be found in the Options menu, or in the ‘Asset Index’.

How may I change my personal details?Personal details and information can be changed and updated under the ‘My Account’ tab, titled ‘Personal Details’. Alternatively, details can be changed by email or by phone.

Technical

Do I need to download any software to use Opteck's trading platform? No. All that is required to invest with Opteck is registration and an initial deposit.

How do I change the display language?Languages can be changed by using the drop down menu at the top of Opteck’s platform. The default language after login will be the one selected at registration. In order to change this, please get in touch with Client Services.

*If you have any further questions you are always welcome to contact our financial experts team Or your peronal account manager.

28 29GlossaryGlossary

Glossary60-Second Option

An Option for a period of 60 seconds.

American Option or “Option” An Option that can be exercised at any time during its lifespan. These Options, unlike European Options (i.e. binary or digital) do not need to wait until maturity to be exercised.

AskThe price at which an investor can buy an asset in the financial markets. The asking price is a part of the formula that is used to calculate the expiry level of an asset.

Asset/Underlying AssetUnderlying assets are used in derivative trading to describe an asset whose price can be derived from a different asset. Derivatives are exchanged for cash and therefore do not require an exchange of the physical asset. Underlying assets refer to a contract based on the price of these assets but without requiring its exchange or even ownership.

At-The-Money (ATM)When the current price of the underlying asset is the same as when the Option was purchased. (See “In-The-Money”, ”Out-Of-The-Money”)

Binary/Digital OptionsOptions that will payout a fixed amount, if the asset on which the Option is based reaches the trader’s selected ‘direction’ at the expiry time.

CallWhen a trader predicts that the price of an asset on expiry will be above the strike price of the Option.

PutWhen a trader predicts that a price of an asset on expiry will be below the strike price of the Option.

Trading HoursEach asset has its own trading hours and/or trading days; in addition to holidays.

Current PriceThe current market price for an underlying asset. Once the Binary Option has been purchased the price at which it was executed becomes the ‘strike price’. Current prices are determined objectively by real-time data providers such as Reuters.

Entry Rate/Strike PriceThe current market price for an underlying asset when an Option is executed

European OptionAn Option that can only be exercised when it reaches the end of its life. Most Binary Options are European.

Expiry RateThe price of the underlying asset when the Option expires. This price determines whether the Option finishes At-The-Money, In-The-Money or Out-Of-The-Money.

Expiry TimeThe time when the position will be closed and it becomes known whether the Binary Option trade is successful or not. The expiry time is an important and decisive factor in the outcome of the Binary Option. The choice of expiry time for a trader may vary. It is important for a trader to understand the timeframe with which they are planning to trade. In Binary Options, the expiry time is a critical factor in the success of a trade.

Fundamental AnalysisA method of evaluating a security by utilizing economic, financial and additional factors. The goal is to analyze all the factors that can affect a security, such as overall economic conditions, industrial environment and company-specific factors.

Index/IndicesAn index represents a basket of stocks. For more information about the indices traded on the Opteck platform see “Asset Index.”

30 31GlossaryGlossary

High/Low:In High/Low you decide whether the market price will close higher or will close lower than the current price.-In a call Option (predicting uptrend) the price needs to stay higher than the striking price at the end of the Options time frame. -In a put Option (predicting downtrend) the price needs to stay lower than the striking price at the end of the Options time frame.

In-The-Money (ITM)The outcome of the trade was profitable. For example, if the Option was a Call, then the current price of the underlying asset would be higher than the original price at the time the Option had been purchased. (See “At-The-Money”, “Out-Of-The-Money”)

One Touch:In One Touch you decide whether the market price will reach a certain amount before the expiry time.• -In a call Option the price needs to climb and reach the green line presented on

the graph (approximately 30 pips.)• -In a put Option the price needs to lower and to touch the red line presented on

the graph under the striking price (approximately 30 pips.)

Opteck RatesOpteck enables the client to buy or sell an asset with no market spread. The open rate of a put Option is same as the open rate of a call Option.

Option A financial derivative that represents a contract sold by one party to another. The Contract offers the buyer the right to buy (Call) or sell (Put) a security, or other financial assets, at an agreed upon price (strike price) during a certain period of time or on a specific date.

Return rateThe return rate is a value of the contract for the successful expiry of a Binary Option. The return rate is predetermined. Therefore it does not alter depending on the relative success of the speculation, if the contract expires one point or fifty points above the price in a call Option it would still result in the same payout. The return rate is expressed as a percentage of the initial trade investment.

Protection rate The protection rate refers to the guaranteed return of a marginal amount of the trader’s original stake. Therefore, if the Binary Option fails and expires unfavorably

for the trader, a small percentage of the original stake will be returned. The protection rate is predetermined prior to executing the trade, in the same way that the payout is also fixed from the start. The protection rate acts as a small consolation in the event that the price moves against a trader.

Out-Of-The-MoneyThe outcome of the trade is not profitable. For example, if the Option was a Call, then the current price of the underlying asset would be lower than the original price at the time the Option had been purchased. (See “At-The-Money”, “In-The-Money”)

Range: In the Range instrument, there is both an upper and a lower Option target price that form a boundary range. -In a call Option (predicting uptrend in a limited range) the price needs to stay higher than the striking price and lower than the upper line. -In a put Option (predicting downtrend in a limited range) the price needs to stay lower than the striking price and higher than the lower line.

ReutersThe Reuters System is one of the world’s leading financial data providers. It is the system in which Opteck refers to for the platform’s expiry rates.

Stock indexStock values for a particular group of stocks (often popular stocks) are summed up to create an Index, such as The Dow Jones Industrial Average.

Technical analysisA method of elevating a security by evaluating statistics related to its historical performance, such as past prices and volume. Charts and graphs, in addition to other research tools, are utilized to identify any possible patterns that may be indicators of future activity.

TrendRrefers to the movement of a price over a period of time, the longer the period of time where price moves sustainably in the same direction the larger the trend. Recognition of a trend can allow speculators to make informed decisions based on the probability of the future direction of price.

Turnover/VolumeA measure of activity showing the number of shares or contracts that are traded during a given period of time.

32 33Become a Profitable TraderBecome a Profitable Trader

What Does it takes to Become a Profitable TraderTurtle Trading; A Market Legend:Back in the 80’s, legendary commodity traders Richard Dennis and William Eckhardt used to have frequent discussions about their success. Dennis believed anyone could be taught to trade successfully, while Eckhardt countered that Dennis had a special gift that allowed him to profit from trading.

An experiment was set up by Dennis to finally settle this debate. Dennis would find a group of people to train, using his rules, and then have them trade with real money. He called his students "turtles" after recalling turtle farms he had visited in Singapore and professed that he could grow traders as quickly and efficiently as farm-grown turtles.

The turtles were taught very specifically how to implement a trend-following strategy. The idea was that the "trend is your friend," meaning you should trade call on the breaking out of the upside of a trading range and trade put on the downside.

Dennis had two turtle classes that he personally trained, lasting two weeks. They then went on to trade professionally, under supervision, and earned more than $175 million in an astonishing five years.

What can we learn from this historical tale?zatSecondly, it is worthwhile to take note that once the turtles quit their jobs as

traders and went home to try to duplicate this same line of work, using their own funds – they lost it all. The moment they tried to trade as home-traders, they failed to follow the strict rules of trading. The absence of a supervising manager, overseeing their trading list, opened the door for their individual perspective driven by psychology and emotions. Once you have the help of Opteck’s account manager, they will provide you with a professional analysis of your behavior as a trader, in addition to critique and elevate your knowledge and trading skills.

Binary Options is the only trading method that allows you to eliminate the noise of the live market by applying a specific pattern to trade on that will actually lower the emotional element and elevate the professionalism of an individual trader. And then position themselves in front of the sea of professional traders around the world.

As Opteck’s traders you will be granted education that specifies the methods used to master our ability to become a professional trader through logical, sophisticated, yet simple explanations for the different tools and observations of the market. It is essential to follow these methods to gain confidence and to raise the percentage of your profitable trades, however, more so to understand accurately why it’s essential to do so.

The Rules:1. Look at prices rather than relying on the information from the media and newspaper

commentators to make your trading decisions.2. Have some flexibility in setting the parameters for your buy and sell signals. Test

different parameters for different markets to find out what works best, from your personal perspective.

3. Plan your exit as you plan your entry. Decide when you will take profits and when you will cut losses.

4. Use the average true range to calculate volatility and use this to vary your position size. Take larger positions in less volatile markets and lessen your exposure to the more volatile markets.

5. Don't ever risk more than 2% of your account on a single trade.6. If you want to make big returns, you need to get comfortable with large drawdowns.

Please note: This method was established and performed with the stock market. trading in binary options, Essentially, we can discard the rules 2,3, and 5, which will actually make your trading experience far simpler.

binary options trader e-book

Documents