Plain and simple rule of trading: Binary Options are excellent hedging tools in conjunction with conventional Forex positions.
First, let’s look at why Binary Options act as a hedge against traditional Forex:
1) Fixed Risk/Reward: Unlike Traditional Forex, Binary Options have two predetermined and fixed outcomes. Either you are in the money at 85% return, or you are out of the money (out either your invested amount or less depending on the instrument).
2) Capped Risk: Unlike Traditional Forex, with Binary Options you can never lose more than your invested amount. There is no need to place Stop-Losses in Binary Options.
3) No Leverage: Unlike Traditional Forex, Binary Options
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