Are binary options risk-free trades real?

Updated on: 6 January 2020

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Talking about risk-free trades in the trading industry is a bit of a stretch. The whole concept of asset trading is based on the idea of confronting risks to get the rewards. And the higher the risks, the higher the rewards. However, when we are talking about binary options, things tend to change a bit.

Compared to classic forex trading, binary options involve lower risks, because they function based on the yes/no proposition. You either win a certain specified amount of your choice, or lose what you have invested. Because of the way they function, binary options are inherently less risky than the alternatives.

But is there a way to minimize the risks even more? In other words, are there specific strategies that make the difference between beginners and pros, allowing the last ones to substantially increase their wins and decrease their losses?

No risk trades are a myth

In the trading industry the competition is fierce. There are a lot of brokers, offering a wide range of services. And in order for each to step out of the crowd, intense and vicious marketing strategies are required. Including some that are less ethical and distort reality in order to create unrealistic expectations. This is where you need to be careful.

Brokers promoting risk free trades will always raise a red flag, because risk free trades do not exist. There are some who will provide you with 1-2 bonus risk free trades as a newcomer, where losing the transactions will not reflect onto your account. But in no way are we talking about a well implemented system.

On another note, there are several strategies you can adopt to decrease the overall risks and now we are talking about tested information.

Risk free binary options trading strategies

We will call them risk free because, when used as intended, they have extremely low chances of failing. Especially when used together, as part of a system looking to achieve perfection.

All in all, here are the most important binary options strategies you need to minimize the risks and maximize the profits:

1. Finding the right broker

We are not talking about scamming brokers one, although that is also a valid point. Of course you need licensed and regulated brokers, whether you reside in the US or in the EU. They won’t be too difficult to find, because, especially in the EU, there are few that are regulated and the ones that are have strong reputations to back them up.

Aside from that, however, a good broker stands for one that covers all the potential angles. By this I mean excellent services, a well put together trading platform, great support and useful trading tools that can help you gain full control of your transactions.

A good broker can actually make the difference between making it big and failing miserably.

2. Keep the volatility of the market in check

The more unpredictable a market is, the less chances you have of putting your money on the winning option. The only way to have binary options risk free trades is to keep the market in check and break down its pattern. Even unpredictability has its own pattern; its own signs predicting a specific trend.

You can find such subtle and apparently insignificant hints by keeping yourself updated on the latest news and showing some insight on what is actually happening. It will not be easy, especially in the first stages, but practice makes perfection. Major holidays or worldwide important events

3. Know the importance of the timeframe

The trading market functions differently depending on the timeframe you decide to be active in. In this regard, you have long-term trades, spreading over weeks or months, medium-term trades, meant to last for several days or even hours or turbo or short-term trades that only occur in a timespan of several minutes, usually 5.

Each pose different risks, but it is the short-term ones that take the cake. This is because of the way they work. With the other options, using a data chart is more reliable, because the data is collected over longer periods of time, making it overall more relevant. With short-term trades, the chart will only display a limited amount of data that, in most cases, is insufficient in making accurate and educated predictions.

Knowing what to go for, as well as when to do it, can save you a lot of money.

4. Take it one at a time

Going for multiple trades at the same time is the best thing to do if you are looking for quick gains. The downside is that it is quite risky, especially when referring to inexperienced traders, who tend to ignore the risks. Entering multiple trades translates by multiplying your chances of winning and those of losing at the same time.

And there is another aspect that need to be kept in mind. In the trading industry it is extremely difficult to find two markets that are not related to one another. What this means is that, in many cases, the idea that investing in multiple options will give you more sources of income is an illusion.

Putting $50 on the gold price going up within a specified timeframe and failing to predict correctly can have dire consequences in case of multi-betting. This will also affect your bet on the oil prices following the same trend, as well as those targeting a specific UAB hotel, whose shares will go down because of the touristic problems arriving as a result of plane tickets going up due to the higher oil prices.

It is all connected in most cases, which is why it is better to stick to independent transactions, at least for apprenticeship period.

5. Having an optimized trading setup

The setup is, in reality, the system that you have put in place to help you win as many trades as you can. It is important to test it in advance, to make sure it works as intended, before relying on it on a daily basis. Of course you can’t make it work 100%, because you can’t keep risks to a 0 value.

There will always be a risk involved. But what you can do is lower it as much as possible.

Binary options risk free trades can become reality

By “risk free” we actually mean “extremely low risks”. Your goal is to make as much money as you can, while losing as little as possible. This is what risk free means. Anything other than that is a blatant deception, because you cannot avoid losing money from time to time.

All you can is control the trades as much as you can and optimize your binary options trading system as close to perfection as possible. These binary options low risk strategies work great and will work even greater when you will become a pro and make the best out of them.


Until then, performance is a matter of awareness, smart planning and hard work. The binary options market is extremely competitional and making money is every trader’s dream. And risk free binary options trading is something everybody is looking for.

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