Digital Options on IQoptions
IQ OPTION just introduced a Digital Options. We now know a little bit more about them:
We try to explain:
- what are digital-options on iqoption?
- how to trade digital-options
- maybe we share some tips about trading on digital-options
- difference between binary and digital options
So here are some main features of Digital Options on IQ Option:
- Higher profitability* — Up to 900%** of profit in case of sharp price movements in your favor*
- More flexibility — Sell the option at any point to secure profit
- Lower risk* — Varied strike price options allow for lower risk
*Compared to IQ OPTION regular Binary Options offering.
**Amount credited only in case of a successful prediction.
Here is a quick promo video of Digital Options.
How to start a digital option trade in only 5 steps:
- Select digital options in the main table.
- Choose an asset you would liketo trade
- Choose your prefered strike price
- Now open a Call or a Put option
- Confirm the trade you are about to make
The main difference between Digital Options and Binary Options is the presence of strikes. Strike can be understood as the market entry point. For example, in binary options, a strike is always the price or position of the chart for the current moment, whereas in Digital Options you can choose the most profitable strike level yourself.
At any given time, you have 22 different strikes to choose from. Note that the number of strikes displayed on the platform may vary depending on the scale of the chart and the situation on the market. The yield in Digital Options is directly dependent on risks, so the maximum profit on this instrument is increased to 900%.
The ability to purchase multiple options for one expiration time, along with a lot of strikes, opens up a huge number of opportunities for the trader. As for example, with the help of digital options it is possible to open positions in advance. This allows you to enter the market with a clearly successful position, but with a smaller percentage of profit due to understated risks compared to conventional options.
In the digital options, the trader , as always, has the opportunity to sell his position before expiration (but not later than 20 seconds before the end of the transaction), and, depending on the current price, either receive profit or claim back some of the invested funds.