Once you have gained a little experience of the markets, you will begin to understand how trends work, and which trades are the most profitable for you. In this instance, you may feel as though certain trading platforms are rather too restrictive for you, and that your knowledge of the markets could be better served through more specific trading. For just this situation, many platforms have introduced the “Option Builder” trade option which allows you to customize your own contracts and thereby maximize your potential profits. Although this may sound like a confusing prospect for newcomers to binary options, for those with more experience, this is the next step in making more money from your trading.
What can you customize?
There are three main aspects to the Option Builder trade option which you can customize and control. The first, as is the case with all binary options, is whether you wish to Call or Put. This is the most basic decision of any trade, as it establishes which direction you believe the market will move.
After this, the next customizable factor is the length of the contract or the expiry time of the trade. This is something experienced traders greatly appreciate, because this is often the most important aspect off the contract. People like to develop their own trading methods and techniques, and each person prefers to trade over a different period of time. Some prefer quick, exciting, 60-second contracts, whereas others feel more comfortable speculating about the fate of a market over the course of a few hours, days or even weeks. The Option Builder trade option allows each person to create contracts which suit their preferred method.
Finally, this trade option allows you choose your own risk settings. Risk setting management involves altering how much insurance versus payout you want. If you are sure of a market and the direction that the price of the asset you have selected will move by the expiry time you have selected, then you may wish to sacrifice insurance returns in exchange for a higher profit, whereas others may feel more comfortable increasing their insurance on a contract and settling for a lower potential profit. This is something advisable only to veteran traders who feel comfortable with manipulating their trade insurances, as this is a complex system which could lose amateurs a lot of money, or at least reduce their potential profits. These three factors make up the Option Builder trade option which is available on nearly all trading platforms.
When should you use them?
As has been previously stated, this Option Builder trade option provides the opportunity for extremely customized trading. Those who are unfamiliar with the finer details of risk settings and timeframes should refrain from using these resources until they have a bit more knowledge of the markets. More experienced traders, however, especially those familiar with the patterns or trends of a particular asset, would benefit greatly from this service. It would allow them to customize a contract specifically designed for their trading needs, and would therefore enable them to profit the most from their binary options trading.