Binary option trading legal in india

Some well-known brokers give free demo accounts for absolutely free. So if you want to trade in binary options in India, then the only way to do it is by using a demo trading account. If you want to be a trader, you can open a demo account to experience Binary options trading. It gives you real market-like conditions so that you can trade without risking real money. After you have gathered enough experience using the demo account, you can think about opening a real account.

You can find several Binary Options Trading brokers in the market. As the popularity of brokers is rising, so are the scams in the market. Binary Trading Option is a good source of income for many traders, but the only two reasons why traders are hesitant to invest money is the high-risk factor and its legal status in India. Therefore, it is advisable to begin trading with demo accounts. Your email address will not be published. Save my name, email, and website in this browser for the next time I comment. Is It Legal? The list of some of the Best Binary Trading Brokers are: 1. Conclusion Binary Trading Option is a good source of income for many traders, but the only two reasons why traders are hesitant to invest money is the high-risk factor and its legal status in India.

Related Posts. March 19, These are the basic concepts that every Indian user should know before starting to trade on binary options. The current price is the value of the selected option at a certain point in time; Strike price — a fixed price specified in the option contract at which the option buyer has the right to buy sell the underlying asset at the time of expiration. Each participant chooses a strike for himself.

What tools do you use while working with binary options? The basic principle of successful trading on binary options is a correct forecast of price changes for selected assets. For this, it is necessary to conduct a comprehensive analysis and pay attention to a large number of parameters. Technical analysis is a basic and very important stage of analysis since it allows you to determine the type of current trend — ascending or descending.

To identify the type of trend and its long-term, financial analysts use many tools, such as basic figures of technical analysis or various indicators. Another basic concept of technical analysis is volatility, which shows the degree of price volatility, that is, how much the value of an asset rushes from one side to the other. The greater the volatility, the more unstable the price movements will be, the more zigzags will appear on the chart.

Conversely, the lower the volatility of the asset, the more stable the price of the asset. Interactive price charts provide the ability to visualize indicators — just click on the Indicators button and select the desired indicator from the list that appears. The basis of any indicator is a trend and some other more subtle algorithms which allows you to fairly accurately predict the future price trend in the short term. Breakthrough trading is one of the most exciting trading strategies for both novice traders and professionals.

There are two types of reliable breakouts that are most effective for trading binary options: Breakthroughs of graphic models. The most common models include triangles, channels, wedges, pennants, flags, and the less common — head and shoulders. Impulse breakouts of higher highs or lower lows. Impulsive breakouts occur when the price breaks above the high or below the low of the recent short-term price range. Also, a trader trading in breakouts should keep in mind the period during which he trades, since a smaller time scale will show a larger number of potential breakouts and a greater number of false breaks.

Also, the trader should keep in mind that the profit potential will be different for different currency pairs and different periods — a larger period implies a higher profit potential, but on the other hand, a higher possible loss if the breakthrough turns out to be false.

How many trades do I place in time? Each Indian trader can place the number of transactions that the trader considers necessary. The platform does not limit your actions. But it is important to understand that you will not be able to qualitatively control all areas, so the risks in this case increase. However, the user can download, connect and configure a robot that will make trading automated and around the clock.

The program can analyze available assets, offer the most profitable and close deals with millisecond accuracy.

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What are the time frames that I can choose to trade my option before it expires? Company offers Indian users various options with different expiration dates. For example: Turbo options. This method is suitable for risk lovers and quick money; Digital options. Here, the expiration time is from a week to a month. This allows you to conduct a comprehensive analysis and make the most accurate forecast. This option is well suited for assets with low volatility for example, commodities.

Can I sell it before the time expires? Early expiration occurs when the holder of the Call or Put option decides to exercise his rights defined in the contract before the expiration of his appeal. As a result, the option seller will be required to enforce the rights of an option holder, and the shares will change the owner. This option is optimal if you decide that the asset has already brought you maximum profit.

Types and advantages of binary options trading. Company's platform offers customers a large number of ways to capitalize on binary options. In this case, the Indian trader must predict the direction of the movement of the asset value up or down.

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In this case, there are two indicators of the asset price upper and lower that form the border. The task of the Indian trader is to determine whether the value will be inside this corridor or will leave it after the expiration date; Spread. The most difficult option, suitable for professional traders. The journey started with binary options in and over the years, IQ Option grew rapidly. Today, this well-established broker processes more than two million trades per day.

You can start trading on IQ Option with a free demo account. Like many countries in the world, IQ Option now plays an important role in options trading in India as well. Trading binary options in India is not new. In fact, the popularity in binary trading has grown massively over the past decade. It is considered an easier way of income since the financial crisis of because of its straightforward and interesting way to trade.

However, binary trading is not yet regulated in many countries, which often confuses traders and they wonder if such trading is legal in India. So Binary Trading is not regulated in India too. Keep in mind that you need a safe place to invest your money.

Thus, research well so you can choose a broker that can provide you with the best of the trading services. India is a growing economy where manufacturing and service industries are witnessing an unprecedented growth in the country. Online trading is now a preferred option for many people who consider it a viable way to make a profit. Binary options trading is more accessible now due to wide availability of Indian assets on broker platforms and the increased use of iOS and Android devices.

Unfortunately, binary options trading lacks recognition and regulation by the government which makes it difficult to enter the market place for Indian companies. So, traders go for European based top brokers like IQ Option. A government crackdown on black money was introduced by India in , and the targets of this action were the offshore bank accounts.

There is a ninety-day compliance withdrawal, so people can declare their earnings and pay the relevant tax that was due. Like other income, you need to pay tax for binary options trading.

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Keep in mind that it is not the duty of brokers, so, you have to declare your earnings and report it, to ensure legal compliance. Apart from paying tax on profits, you need to consider the fees for making deposits and withdrawals. The usual currency conversion fees apply when you deposit and withdraw foreign currencies.

There will also be fees per transaction when you use a web wallet or a credit card.