- Binary options
- Trading terminal
- Help information
Binary options are claiming more and more appeal among the traders all over the world. Company World Forex offers a new type of binary options that differ in the specifications, which this section deals with.
In this section, we shall consider the detailed description of how to perform the trading operation on purchasing option contracts and the principals of their work.
It is required to download and install the World Forex Trade Station trading terminal and open a trading account of the W-PROFI type.
Trading schedule for the Forex option 0-100 contracts corresponds to the time of opening the trading session of the respective forex assets and is available in the “Contract specifications” table.
Important(!) Base assets of these option contracts contain letters “-bt” at the end of the symbols. For example: "EURUSD-bt", "GBPUSD-bt".
In order to purchase an option contract, select the base asset in the “Market watch” window of the trading platform, then double click on the selected asset to open the window with the order parameters, as shown in the picture:
Please, take into consideration that the parameter “amount” specifies the sum of money you are going to invest in the option:
W-PROFI-USD/EUR – 0.01 lot = 1 $ or 1 €
W-PROFI-RUB/UAH – 0.01 lot = 1 ₱ or 1 ₴
Important(!) The maximum total investments into a Forex option 0-100 are:
W-PROFI-USD – 1500 $
W-PROFI-EUR – 1200 €
W-PROFI-RUB – 70 000 ₱
W-PROFI-UAH – 30 000 ₴
- the contract validity will be equal to 3 hours.
- the contract validity will be equal to 1 day.
The contract validity will be equal to 1 hour by default, if you need to set the other value, state it in the “Comment” field or leave the field empty. No other data (minutes, additional text comments) must be stated in the “Comment” field, otherwise the order will not be accepted by the trading server.
Attention: the minimum expiration period is 1 hour, maximum – 5 days.
Opening an order is performed by pressing an appropriate button of the operation type choice:
Buy - option for a rate rise, is effected at the Ask price and closes at the Bid price.
Sell - option for a rate lowering, is effected at the Bid price and closes at the Ask price.
After opening an order, the amount of betting (pledge) will be blocked and transferred to the pledge.
Upon the expiration period termination, the trader server determines the expiration price, following which the order is automatically closed and the profit is calculated.
Expiration price – is the first tick (price change), received after approach of the option expiration time.
In case if the option expiration time falls on a day-off, the first tick (a price change), received after opening the trading session of the next week, is considered to be the closing price.
The option profit or loss accounting is carried out in the form of the operation market swap, as shown in the picture:
The option for a rise is considered to be profitable if the closing price Bid is higher than the price of its opening.
The option for a lowering is considered to be profitable if the closing price Ask is lower than the price of its opening.
The option profit equals to the amount of the investment x 2 (i.e. 100% from the amount invested), at the same time the pledged is returned and the profit value is written to the trading order Swap value. In case when the option is unprofitable, the pledge amount is lost and written as the trading order negative Swap value.
Forex option 0-100 cannot be closed ahead of time. Closing the order is performed only be the trading server upon the termination of the specified expiration period.
The trading server does not accept the trader’s instructions for modification, closing.