As the coronavirus pandemic hit the world, quarantine measures to prevent the spread of the virus began to cause financial hardship.The ban on social distancing in Brazil has been in place for months, with several people losing their jobs and others having their budgets cut being sought.
As a result, binary options investment apps and companies began to lose popularity, due to their accessible and easy-to-invest options.
Several applications offer simple interfaces, such as the investment platform IQ Option, which reaches users' cell phones, a way of investing with fixed profits for those who have no experience or knowledge of the financial market.
What are binary options and how do they work? Binary options are internationally regulated investment options since 2013, as opposed to traditional investments on the Stock Exchange. In this format you are not investing to buy shares, you are investing in assets.
The investment essentially works on the projection of an increase or decrease in the value of the asset throughout the operation. The investor “bets” on the appreciation of the asset and, at the end of the period, if it presents value, the profit can be up to 90% of the amount invested.
Negotiations take place through online investment platforms, on websites or applications such as IQ Option, which are enabled by automated systems, and the interface is accessible to those who have no prior knowledge of financial markets.
However, the practice is not regularized in Brazil. To invest, the user needs to open an international account that will enable the operation and should make a profit.
Binary options investment formats Investment formats are presented in five options: Money or nothing, assets or nothing, one touch, no touch and 60 seconds. The “money or nothing” format is a bet that maximizes or decreases the value, regardless of the final value. The “asset or nothing” format is the opposite of the cash or nothing option, regardless of the value of the asset achieved.
In “one touch” and “no touch” formats, the period of operation determines the revenue. In the “one touch” format the asset must reach a specific value within time, while in the “no touch” format the asset cannot reach the threshold value.
The 60-second format is a quick operation, which requires a greater level of experience and knowledge from the investor. In this format, the operation can be closed immediately after the asset reaches the desired value.
Tips for Investing in Binary Options 1. Use a Reliable Platform Investment platforms, or brokers, are how you invest. Look for a reliable company like the IQ Option app to carry out your investment operations. Make sure the company is registered and seek recommendations from users.
2. Strategic consideration It should be borne in mind that there is no exact formula for failure or success in performance in this type of investment. There are some strategies that work depending on the time or resources of the day.
Research this type of business before investing, starting slowly until you understand the logic of the operations.
3. Use existing information To invest in options, in addition to using indicators, you need to know how to analyze available information, such as graphs. Thus, the investor seeks the best investments by observing fluctuations in the financial markets and avoids bad investments.
It is also important to pay attention to global financial news, especially events that can cause volatility in the markets. This way you will have more security when investing online.
4. Only invest what you can In this type of investment, it is important that you manage the resources available. Don't risk most of your budget or you will lose it all at the end of the day.
Divide the money into different operations to have a better chance of getting it right and suffer less impact if you lose.
5. Have control and know when to stop There are times when the market does not have a defined upward or downward trend and assets change value quickly. On days like this, experienced investors recommend: if you lose 3 trades in a row, stop investing for the day. This is a method that many people follow and swear it works.