Forex Binary Options as a secondary income stream?

LTcm9669 on 29/03/2014 - 12:00

Hi,
What do you think about forex binary options as a secondary income stream? I have been looking into this for a while and tried with demos accounts over the past year or so and I have had success (a little bit) with demo account in binary options. It's something I want to do in my spare time after work, as a small secondary income stream. Personally even if I rake in $250 a month or so, I'll be happy!

Anyways coming to my point now. I signed up for a demo account with marketoptions.com and I have made a little bit of money on their demo account (which still has live forex values) using some methods that I have seen online and youtube and I have had about 55% to 70% success rate using 'trends' on live sharts. They called me yesterday and spent over an hour (yes!) explaining to me how it all works, what will I get if I open an actual account (was quite pushy.. but I'm not giving them my money yet!!) and they said they will hook me up with a senior broker with 15 years experience and also I will have access to the account manager whenever I want (which is the person who called me), they will give me education and how to analyse and give me tips and guides for me to profit.

I explained that I don't feel comfortable with paying yet and I need to do more reearch. And also, I made some profits and losses with my demo account (still making profit, but made quite a few losses too) she said that of course it's because I don't understand the market.. bla bla bla and that after I make a deposit and receive their training and all that I will be able to minimize those losses and increase profits.

She also said that since next week is the beginning of the month, there will be big opportunities for me to make money coz the market is volatile (she said this happens on the first week of every month).. not sure how true it is.. or she just wanted me to sign up.

Anyways, point is.. they spent an hour with me and scheduled another call with me for next monday and I also get to talk to a broker IF I deposit at least $250. She assured me that in the first week, with all the training they will give me I can easily double my money… CHA-CHING?

Also, I did some research about the company, they look quite legit as in their payouts and all that.

Now, I did not believe one word of what she said honestly, I told her I want independent research and opinions. So here I am.. what are your opinions on this? Is it douable? anyone has first hand experience with this kind of income stream?

Worth risking $250?

Financial

Comments

  • expertreader on 29/03/2014 - 13:47
    +4

    mate, I also did all the research etc for 6 months and read lots of forums and blogs. problem with binary options is that it is not government controlled(they claim that it is but it is partially usa govt controlled- who will not care about anyone other than their own). the companies that you are creating account with are based in europe tax heaven and have very loose law to prosecute if they run away with their money. What I have heard from lots of people on blog is that they ask for first $500 and then give you $100 back and then suck you in for big amounts. Once you give them $5000, they start saying that it market was bad for the month and they are left with only half of it etc.. if you are asking for my personal opinion, dont do it..it is pure betting anyway… you may as well go to casino and bet… the best players in the market can only do 15% gain per year …according to me its not worth the risk….my 2 cents worth…

  • zultan on 29/03/2014 - 19:10

    http://www.forbes.com/sites/investor/2010/07/27/dont-gamble-… says it all really - don't touch with a barge pole…

  • Adz81 on 29/03/2014 - 21:33
    +1

    I'd suggest going really, really easy… I tried telling a guy I worked with the same thing, and he was convinced that it was a good deal, plugged $10k into it to get them sending through "recommendations" every night for 12 months, got an iPad out of it, and bugger all— not even close to recouping costs… Please take it easy…

  • verio on 29/03/2014 - 21:53
    +2

    I personally think that binary options is a crap. Everything that is actively advertised on the internet, especially promising you high potential income should be avoided.

    I had some experience with real stock options and I can definitely tell that unless you are a genius you can't rely on them as a source of income in the long run. If you are serious about that, it would take you a considerable amount of time to understand the markets and be profitable (on average).

  • [Deactivated] on 31/03/2014 - 00:28
    +2

    Agree with the above replies - be very careful. Any form of speculative investment is risky, but this sounds like gambling.. no stop-loss orders or the like here. And FX is extremely volatile in how it can move, despite whatever research you read or your knowledge of markets and economics.

    If it's an option OP (no pun intended..) can you put your time and energy working towards higher salary from your primary employment? Alternatively - can you do something you enjoy for a side job rather than something you have a decent chance of losing sleep over? I know guys who teach ppl to drive or photography or running ebay stores as side jobs because they love it. Good luck and be careful!

  • donotuse on 31/03/2014 - 00:48
    +1

    binary trading is similar to online poker. it's gambling with a funky name,

  • Tcm9669 on 31/03/2014 - 11:20
    +1

    Thanks for your all replies. Honestly that's why I didn't want to jump right into it. I thought it was just like gambling.. you never know what is going to happen and you can lose money quickly! SO, I think I'll let this one at rest…

    @Tempo: I am putting energy towards a higher salary (work in IT) I even applied around and got offered other jobs, but so far I am earning my maximum potential. I will probably need another 2 years experience (at least) to improve my salary (I am studying and getting more certs).. so in the meantime, I thought I'd get some extra money.

    As for Teaching how to drive, I'm already trying to teach my gf how to drive manual, and I must say, it's not my cup of tea! and as for eBay store, I did this a few months back, but thanks to feeBay and expensive AustPost I was barely making enough money. On some instances I made as little as $0.50! Not worth the time of taking pictures etc, but actually I thought of maybe trying it again with more expensive items (more profit potential), but then I received eBay email saying fees will now apply to postage too and, I put that to pause too! I need to do some proper math I guess.

    I also don't have much free time, considering I travel roughly 4 hours every day to and from work (Thanks Vline!!) so, I need to find something that I can do in my little spare time before bed or whenever I feel like it (hence FX and eBay), stuff like teaching people how to drive etc. will require appointments and commitments. not something I can do ATM. Willing to hear more ideas though.

    Thanks all for your help.

  • vernaf09 on 16/04/2015 - 20:55

    @Tcm, I am in the same situation as you into IT and wanted make big and choose forex.

    I did demo for couple of months and started real with fxcm with 2k. I doubled account in 2 weeks time by taking high risk calls. Then my greed started and i lost all of it and additional 4k during last 4 months. I was making money on some calls but when one call is in loss i am losing all my profits and original investment.

    I really enjoyed this whole process except for losing money. It gives me adrenaline rush while making profits. But its long way for me to be consistent able to see some big money in it.

    I am looking for any good training which can add value to my skills. Please let me know if you came across any.I know its risky and dangerous but i am not going to leave it just for fear of losing it. rather will try to master the skill and be in market, Will hope that old proverb will come true one day fortune favors the brave…

  • Tcm9669 on 17/04/2015 - 09:51

    There are lots of courses or 'methods' out there that I found, however I haven't tried. In my opinion they look dodge. I personally don't believe there is a fool proof method, however probably finding a reputable company with a decent account manager would be a good start, however a few weeks back I been emailed by eToro that they have some new social platform where you can follow the success of other reputable traders. I think it's called etoro openbook. I personally didn't look into it - but might be of interest to you?

    It's like forex + twitter!

  • [Deactivated] on 19/04/2015 - 15:15
    +3

    I traded shares, fx, cfds etc for 17 years, and many people in time realise the fact that demo trading is fair, ie the companies are not playing against you. BUT in the real world (in my observation) any companies who played straight were eventually bought out by the bucket shops of todays trading environment.

    It is true that anyone using common sense would win this game if there were not tricks involved.
    Also true according to very rare facts that have leaked out over recent years, that "MOST OF OUR CUSTOMERS LOSE MONEY OVERALL" was publicly stated to the UK tax office by a major UK international trading firm trading in Oz too(I can but wont name), as an example.

    The odds are against the trader, I strongly suggest everyone forget online gambling/trading with shady firms and put your cash into 'real' well selected shares, real estate, start a business etc.
    I survived many years trading most stuff, even binaries, options, oil, hedging indices etc etc, & despite pulling my hair out and losing a lot of sleep, I ended up barely making a living, instead of being wealthy which I genuinely deserved.
    It's your choice of course to waste time or do something that will benefit you.

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