binary options/bets

This is a discussion on binary options/bets within the Fixed Odds & Binary Betting forums, part of the Markets category; is there a way to strangle binary options/bets like you could regular call and put options? any information would be ...

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Old Mar 30, 2008, 12:55am   #1
 
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Question binary options/bets

is there a way to strangle binary options/bets like you could regular call and put options?
any information would be helpful!
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Old Mar 30, 2008, 11:02am   #2
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Quote:
Originally Posted by kinkeadfx72 View Post
is there a way to strangle binary options/bets like you could regular call and put options?
any information would be helpful!
I think there are some near equivalents at Betonmarkets - Long strangle close to an "Expiry Miss" and short strangle close to an "Expiry range" - not sure what's on offer from other providers.
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Old Jul 5, 2009, 4:25pm   #3
 
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options trade, and trading binary options in particular is becoming extremely popular.

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Old Feb 23, 2010, 1:10pm   #4
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Re: binary options/bets

is binary options trading or betting?
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Old Feb 27, 2010, 4:36am   #5
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Re: binary options/bets

It is betting and the house ALWAYS wins. For example, a coupla days back, the India 50 market budget was scheduled for release. A 120 point move usually has the risk reward ratio of 1:50. However, I saw IG markets move it from 1:12 (already high) to 1:4 in a matter of 4 minutes with no change in the underlying price!
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Old Feb 27, 2010, 9:39am   #6
 
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Re: binary options/bets

Quote:
Originally Posted by j2a_aj View Post
It is betting and the house ALWAYS wins. For example, a coupla days back, the India 50 market budget was scheduled for release. A 120 point move usually has the risk reward ratio of 1:50. However, I saw IG markets move it from 1:12 (already high) to 1:4 in a matter of 4 minutes with no change in the underlying price!
Ig know there is major news due and they will set it higher than the usual 1:50, say 1:12.

Then a rush of IG clients all betting the same way will push the price further to 1:4..

The price/volatility of a binary option seems to be set by a combination of

The option pricing model,
Manual intervention by IG (due to volatile news events etc),
Client order flow.
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Old Feb 28, 2010, 9:21am   #7
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Re: binary options/bets

Quote:
Originally Posted by Upthespurs View Post
is binary options trading or betting?
It depends on u it can be punting and it can be trading
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