Trending and Binary Options

The thing with trading in the stock market is that it’s really gambling. Trading and investing is gambling in long term and basically probably one of the most dangerous ways to risk your money. But of course comparing the dangers of losing your cash in the stock market compared to losing your money to gambling in a casino or betting is a whole world of difference. Because in the stock market, research is important and research can keep you from investing in the wrong company, unlike in gambling where the threat of crashing and burning is very real and instant. Investing in the stock market is basically safe, considering that you want to hold on to your investments for the next 20 years. Now trading on the other hand is a very real form of gambling.

So in the area of stock market investments there are two ways to function, one is a long term investment and the other is trading. A long term investment is basically you are picking a single company and investing in it long term, selling your stock in roughly 10 to 20 years or maybe less depending on how you wish to manage your stock. The other is trading, now trading functions as a very lucrative money making ordeal. In fact it is a career for many financial oriented individuals out there. Trading means investing when the market is open and immediately selling when the stock’s price increases. Traders tend to sell whenever the increase can be as low as thirty to 50 cents. It isn’t a problem for Traders since they invest by the millions and they buy and sell more than once every day.

But for some of the more cautious people, long term investing is the way to go because of its generally slow increase in funds and its likeness to a retirement. But the thing with investing is that sometimes Trends become rather dangerous to follow. So can you trust the trend when trading in Binary Options? But first what is a Binary Option; basically, according to experts, a binary option is going all in. Putting all your available funds into your investment, a binary option is almost always a fixed amount when investing or a completely empty realm. The advantage of a Binary Option or going all in is that the IF your investment is successful, the returns will be guaranteed to be incredibly high. Then again, if your investment fails you will lose an incredibly high amount of money.

Now the question regarding trends that are of the primarily concerned areas, such as the inevitable fact that that all values that are green eventually go red, meaning that “what goes up must come down.” So can you trust the trend? Well, if you want to go Binary, you cannot trust the trend. The trend will eventually crash since those who were already invested in the trend will eventually pull out their investments the moment the value of the stock goes green. So in short, don’t trust the trend.