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Accessing online currency trading has become readily accessible over two decades ago, and while there are hundreds of thousands of FX traders, currency trading still may seem complex and difficult for some. For those looking to simplify their trading experience, there is a more risky yet simpler financial trading product - binary options. In previous years, binary trading has been mostly operated through various fraudulent operators and this is why the industry has gotten quite a poor reputation. However, today we will be reviewing the binary trading offer of Dukascopy, a broker with years of history, great regulation, and a high reputation.
Dukascopy is a highly regarded Forex and CFDs retail broker and a bank, offering access to a diverse number of asset classes and a variety of financial products including banking services. It is regulated by the FINMA and Japanese FSA and all client funds are kept in segregated bank accounts with tier-1 banks. Additionally, the broker offers ultra-low spreads and has average commissions. The minimum deposit is 100 USD for Forex and 200 USD for binary options which are moderate numbers. For banking services, the minimum deposit is 1,000 USD. The broker has its proprietary platform called JForex which can be used to trade all the assets offered by Dukascopy making it very flexible and convenient for all kinds of traders. The fact that traders can switch between binary options and other asset classes from one platform is very advantageous and offers the ability to diversify risk during trading activities.
Binary options are speculative instruments that are also called digital options or fixed-return options (FRO). When using binary options traders have to predict if the price of an asset after a certain time period will be higher or lower than the current price. If a trader is correct he gets his investment plus the payment percentage back. If a trader is incorrect he loses his investment.
If you are searching for a binary options broker that is regulated and treats its clients fair then Dukascopy is the broker to check out. Dukascopy is a broker regulated by the Swiss Financial Market Supervisory Authority (FINMA) which is a highly reputable regulator and ensures the safety of brokers and banks under its supervision. Dukascopy also pays one of the highest percentages for successful trades, up to 90% of the investment.
Another good reason for using this broker, together with high payments, is no fees for opening, closing, or operating a binary options account. The premium for each binary options position starts from 1 USD and there are no other fees after the premium is credited when buying the contract.
Here are some pros and cons of Dukascopy binary options every interested trader should know:
Despite so many advantages, there are still a few cons associated with Dukascopy binary options trading