3 Ingredients for delicious trades
By Warren Tancredi
A successful trade relies on many factors, among which are the proper choice of assets but most importantly the correct choice of a broker. Like a Chef, choosing your ingredients will determine how tasty your dish will be. But, how to cook the best dishes when your ingredients are not working right and you are not getting the response you want to? Get your forks and spoons ready as we take you in the culinary world of trading.
Ingredient Number 1: The toolsYes, trading is similar to cooking the best dish for your family. One essential asset will be to choose the correct ingredients that you will be using. These will determine the success of your trading. Trading Binary Options requires the best ingredients for you to, for instance, make the best trading decisions to earn more money. What are these essential ingredients which make up the tastiest dishes? Remember the last time you went to the market? The wide variety of vegetables that are exposed makes the choice tricky. But, according to your budget and what you want to make with these vegetables, you will be choosing what suits you the best. Same applies to Binary Options.
There are a lot of trading tools. BigOption has a total of 8 tools that you can use to trade binary options. The choice is wide and each one of these tools will add a little flavour to your trade. But, remember, each one of these tools also requires that you know how to use them and that you allocate sufficient cooking time to put them into practice. Talking about time, note that each one of them has their own cooking time without forgetting that depending on your level of expertise in Binary Options Trading, you will have to grasp the essential ways to use these tools. So, don’t skimp of the ways to learn about them.The more you know about them, the better your trades will be.
Ingredient Number 2: Binary Options KitchenWhile your dishes are still fuming on the oven, you will need some salt to add taste to it. BigOption kitchen is full of the latest knowledge materials required to give you the expertise for your trading and hence make you earn more money. The best Binary Options Chefs never became successful on day one itself, but they took time to learn and understand the basic of the tools and how to use them. So roll up your sleeves and deep dive in the large repository of binary options available in BigOption Academy.
Now, you may ask why is this important. Allow us to answer this fundamental question - Imagine that you have 30 invitees coming home for dinner. Among them are the President of the US and the German Chancellor. Would you play the “guess and choose” game to cook something which has only an approximate taste or would you rather learn to cook the best dishes you ever thought of? It makes sense that the second option is more suitable in this context. Binary Options also requires that you learn the basics. Far from being a mere gambling or a “guess and choose” game, binary options require that you grasp the knowledge of the tools and market for instance as these will determine the success of your trade.
|The Melting Pot|
Ingredient Number 3: The Melting PotNow, that you know how to use the tools, it's also important to understand your audience. As such, you will need to make some research. Yes, even the novice chef makes research on his invitees. Why is it important when you can simply just cook? The answer is simple - How would you know if your invitees are vegetarians or non-vegetarians? You will need to actually enquire about these important details. These will supplement your menu with information about what your invitees would want to see in the plates.
While trading binary options there are two main research that should be done in order to make appetising trades. The tools that we are going to talk about eventually gives traders a foretaste about the assets they are going to trade on. These are Technical and Fundamental researches. Now, let’s define what these are :-
Technical Research - Similar to the Chef who is researching how the price of tomatoes has evolved according to the quality, you will have to make some research to identify the trend of the assets you chose. As such, you will be able to spot trends and effectively suggest potential future evolutions.
Fundamental Research - Most chefs frequently go through the reviews from their customers or even from their competitors. In Binary Options, Fundamental Research consists in identifying the different events that could hinder the assets value.
Both type of research should be used in your melting pot to make sure that you have the best outcome.
Invitees are not liking itSometimes, even the grand chefs can’t make their invitees happy. These often happen because the wrong ingredients were used or no substantial information were gathered about them hence resulting in a mismatch between their expectations and what was cooked. Successful traders too have moments when their trades are not going on well. The expected outcome didn’t happen and this leaves frustration upon the trader.
But, it is no time to be discouraged and make trading decisions as per your momentaneous emotions. It is important to take time to analyse what went wrong and take necessary actions. Would it be have been your invitees, you would compensate by offering something of their liking just to fill up their belly. In binary options trading, one back-up plan for losing trades might be selling the open trades before they touch the expiry times. You could then save part of your initial investment instead of losing everything.
Whether it is a lack of research or the wrong choice of tools, BigOption is here to assist you with your trade. We have a dedicated team of sous-chefs ready to help you make the tastiest trades and make you have more onto your plate.