Generally speaking, a number of option contracts possible names is restricted. Everything is already thought over, and newly introduced one is either variation of well-known contract or unreasonably heavy computing result. Anyway new products appear at regular intervals at options market. And it’s clear a “hot” new product attracts the new financial product lovers of all shades.
Taking into account the above Anyoption novelty analysis result as binary contract of “0-100” type has revealed a complicated symbiosis for block tools that are known previously. We can say more that it appeared as another generation for brand tool of “Option+” type or artful combination of classic options, one touch and early withdrawal. We note the following still more going into distinctions:
- In classic option a contract value and a profit margin depend on asset value a little. It is interesting just the asset position at expiration moment in comparison with a purchase moment. In contrast to this as a value as a result of dealing in “0-100” are changing constantly. However a total of price and profit margin always stay stable and equals to100;
- Option may be sold before expiration end at any time. In a literal sense upon purchasing in a second and to the end. Two pointers on display remind of this possibility repeatedly.
- This option is similar to the known contract type “one touch” subtly. A point of a deal accomplishment exists, some price level exists too to be followed by a positive zone but no automatic closing with this line achievement;
Option “0-100” analysis problems
Calculation math as to this option is not simple one. As it’s said previously a century is taken as a basis and a contract value is withheld from it. This will be a profit by dealing. Actually so tool’s exotic name appears from it.
For example if purchase price fell short of 10$ so gain may exceed 1000% of option value. As test level and problem simplicity are approached, a profit margin is falling and a value is growing. In other words the more complicated to do forecast the higher risks and higher total gain as a result of extra complexity.
By the way, in spite of algorithm complexity and ever changing figures of value with gain a trade with novelty does not depend on market analysis procedure absolutely. Everything that is required to know for a trader is counted automatically, to push a button is enough.
Another trade “0-100” subtle detail appears with pressing . A deal accomplishment is performed with “one click”. No additional questions and pressed buttons cancellations are not provided.
Option trade procedure
If you decide to use above tool exactly in practice, you should keep an expectation ( Mathematic Expectation) positive value. Alternatively stated an addition result of positive and negative dealing shall be positive one, otherwise you shall not reach a total gain. To get it is fairly simple- a gain through option shall be just more than its total.