In this article, I will try to describe the main mistakes in binary options trading. Each time I analyzed my trades, trying to understand why the trades were in the red, I created a list of mistakes that are repeated all the time. Having corrected the trading errors, I finally started making money on binary options.
1. Money management (Money Management) – the main mistake in trading. By not managing money while trading binaries, you turn trading into a casino. Proper management of investments (trading capital) in binary options is a guarantee that you will earn money, and not just lose as in roulette. The most successful and profitable strategy for trading binary options at one time can not only not make a profit, but also significantly reduce the trader’s currency savings. Money management in the binary options segment is a set of actions aimed at making profits as stable as possible and minimizing losses in the process of trading operations.
2. Trading without a plan – Binary options trading strategy is a comprehensive decision making on a trade. If you choose an option and have not decided what you will do and in what situations, your road to losing the deposit will be fast. You can’t rely on luck alone in the market.
3. Try to earn a million for 1 trade. See 1 point, there is no point in repeating yourself. If you have calculated money management, then you are not playing roulette, but are conducting a full-fledged binary options trade.
4. Trading robots for binary options – I tried several robots, consulted and wrote to binary options forums, but did not find someone who made money on them. (except for people selling them)
5. Raising bets – A lot of traders “sin” by increasing bets after one win. This is guided by the desire to instantly make a profit more. However, when you move at such a pace, then in the end result you will merge the transaction in the same way, and in an amount greater than the one received.
6. Trading without a system. Your actions should be made as a result of your decision, technical or fundamental analysis.
There are many rules for trading binary options. Gather your list and start earning.
