Deposits in Binary Options: correct replenishment and acceleration of the deposit of a BO trader
Deposits in Binary Options: correct replenishment and acceleration of the deposit of a BO trader
Today we will talk about a very important component of profitable trading - your trading deposit. We will also look at several important points, namely how to calculate the amount of the first deposit and how to disperse the deposit.
- Deposit in Binary Options and risks
- Deposit percentage on Binary Options
- Best minimum deposit in Binary Options
- How to calculate the deposit amount or the optimal deposit size on Binary Options
- Optimal deposit with different Binary Options brokers
- Accelerating your deposit in Binary Options
- Amount of Risk in Binary Options
- Recommendations and tips for deposits on Binary options
- Deposit insurance in Binary options
- Limit for withdrawal of funds from Binary Options brokers
Deposit in Binary Options and risksDifferent Binary Options brokers offer their traders different trading conditions, including different minimum deposit amounts. This is fine. There are brokers that allow you to open a trading account with a deposit of $200, and there are those who can do this for only $10. So what is the difference?
- The first experienced trader has a trading balance of $200
- The second experienced trader has only $10 in his account
A trader with a trading deposit of $200 can afford to draw down during losing trades - even experienced traders have losing days. The second trader, with a deposit of $10, is forced not to make mistakes in his forecasts, but there are no 100% trading strategies in trading. All this can lead to the loss of all $10 in one trading session (as often happens).
It turns out that the problem lies in the deposit amount? Partially yes. But as an example, we took two experienced traders - traders who are able to consistently trade in profit. What if we take two novice traders with the same conditions:
- The first novice trader has a trading balance of $200
- The second novice trader has only $10 in his account
As you already understand, the deposit amount is very important, but at the same time, it will only work correctly in the hands of an experienced trader. If you are a beginner and make a deposit of $10,000, then with a high probability you will lose this amount, but a professional would earn consistently for years!
The problem lies in the ability to manage your capital - risk management and money management. Novice traders simply do not have this knowledge, which, in turn, increases the risk of losing money.
Deposit percentage on Binary OptionsWe very smoothly approached the topic of deposits themselves and replenishment amounts from different Binary Options brokers. A deposit is a profitable tool in the hands of an experienced trader, and a tool for increasing losses in the hands of a beginner.
The deposit itself, whatever it may be, is considered to be 100%:
- Your 10$ is 100%
- Your friend’s $100 is also 100%
- $10,000 for an experienced trader is also 100%
Beginning traders very often lose any amount of money because they invest a very large amount in a transaction as a percentage - they violate the rules of risk management. For example, if you replenished your trading balance with a deposit of $10,000 and started trading with an amount of $500, then the risk management rules remain “You should not invest more than 5% of your trading balance into a transaction.” These 500 dollars are exactly 5% of the trade balance.
But what if the deal closes at a loss? Usually, novice traders rush to win back and open the next deal for $1000, which is already 10% of the deposit and, of course, a violation of risk management rules. If this transaction also closes at a loss, then traders very often open transactions for $3,000 in order to return all their losses - 30% of the initial trading deposit.
An experienced trader, having a deposit of $10,000, will act completely differently:
- Each transaction will be $50-100 - this is 0.5%-1% of the trade balance
- After a losing trade, trading will continue with the same amount of $50-100 (without increasing the investment amount)
It all comes down to the percentage of the trading deposit. If you can't afford to lose your entire $500 deposit (100%) at once, then there's no point in risking that amount! Always take a conservative approach to trading:
- Have a balance of $500 (100%)
- Trading an amount of $5 (1% of the trading balance)
Best minimum deposit in Binary OptionsWhen talking about deposits, it always comes down to risk - the amount you are willing to lose on a trade (or trades). All that follows from this is that some are ready to trade large sums, while others can hardly allocate $10 for an initial deposit.
You must remember once and for all that any of your trades can close at a loss, even if you were 99.9999% confident in it - this is necessary so that you clearly understand all your risks and always trade an amount of 1-5% of the trading balance. Believe me, this is very important!
Whatever the size of the initial deposit ($10 or $50,000), in inept hands everything is lost in days or even hours. Your task is to learn how to use your capital as profitably as possible in order to completely eliminate the risk of loss.
Do you think an experienced trader ever takes risks when opening trades? There is risk in a particular transaction - no one ever knows how each transaction will close. But in general, over a long period of time, the risk is zero. For every losing trade, there will be a number of profitable trades, which allow professionals to earn money with enviable stability.
But let’s return to Binary Options - they are good because they allow everyone to trade, because Minimum deposits are only $5-10. But what is the best minimum deposit? The answer is insanely simple - this is the amount you can afford. Unfortunately, we are not talking about these 5-10 $ - the amounts are different here, but we will talk about this a little later.
- By chance - just lucky
- Stable and risk-free
How to calculate the deposit amount or the optimal deposit size on Binary OptionsSo we come to the topic of how to calculate the minimum deposit amount on Binary Options for different brokers.
Many Binary Options brokers lure clients with advertisements about a very low minimum deposit amount. Typically it's $10 or even $5. Really not much. But is this good for a trader?
Deposits of $10 are poured out in batches, and traders who dream of millions and deposit these very $10 can lose 15-40 such deposits per day, and this is already $150-400 - a significant amount! A minimum deposit is not always a plus for a Binary Options broker.
On the other hand, Binary Options brokers that allow you to open a trading account for $10, as a rule, have one important advantage - the minimum investment amount per transaction is equal to $1. According to brokers’ logic, the client must have time to make at least 10 transactions on their trading platform and “get the hang of it.”
This is the minimum amount of investment per transaction that every trader who is trying to calculate the deposit amount for trading needs to follow. It's worth starting with an understanding of the risks:
- In each transaction you cannot use an amount greater than 5% of the trading balance (preferably 1% or even less)
D is the optimal deposit amount for trading Binary Options
S is the minimum investment amount per transaction with your broker
K is the minimum number of transactions, but not less than 20 (for each transaction 5% of the trading balance is obtained)
As a result, if your broker has a minimum investment amount of $1 per trade, and you want to risk 1% of your deposit on each trade, then the calculation formula will be as follows:
D=1$ (minimum investment amount per trade) * 100 (minimum number of trades with 1% risk) = 100$ (deposit required for such trading)The same formula can be used not only to calculate the minimum deposit, but also to calculate deposits for any amount. For example, you want to invest $15 in each trade (so that the profit from trading is more tangible), in this case, you replace the “S” in the formula with this same $15 and get:
D=15$ (your investment amount for each trade) * 50 (minimum number of trades with a risk of 2%, for example) and you receive a deposit of $750In this formula, “K” (the minimum number of trades) should always be at least 20. It is much better if this value is 50 or more (the more, the better). In this way you reduce your risks in each specific transaction.
Agree, when you have $10,000 in your account, losing $100 is not a reason to be sad, because as a percentage it is only 1%.
Optimal deposit with different Binary Options brokersTo clearly demonstrate how the formula for calculating the minimum deposit works, I compiled a table of Binary Options brokers, in which I indicated the minimum investment amount in a transaction, the minimum recommended deposit and the optimal deposit. The entire table is based on trading the minimum investment amount per trade.
Binary Options Broker
Minimum investment amount per transaction
Minimum recommended deposit
Optimal deposit for trading
Binary options broker website
Accelerating your deposit in Binary OptionsWhat is deposit acceleration? In short, the acceleration of the deposit on Binary Options is a sharp increase in the amount in the trading account. All deposit expansion strategies are associated with inflated risks. As a rule, they are advertised and distributed by the Binary Options brokers themselves and the traders working for these brokers, because it is in their interest that you lose your money very quickly. Also, strategies for accelerating deposits are spread by “traders” who do not know how to trade profitably. Choose for yourself which category is worse for you - both will not teach you anything good.
But if you are unlucky, you will immediately lose all your money in your trading account. Any attempt to disperse the deposit (dramatically increase the amount in the trading account), violating the rules of risk management, leads to a complete loss of funds on the trading balance.
No matter how strange it may seem, strategies for “overclocking” deposits are very popular among novice traders. Everyone wants to make a couple of million out of $10 - greed always drives novice traders. But the reality is that for 1000 deposits for overclocking, only 1-2 traders make a profit, and even then, this profit lasts only a couple of days - until the trader again tries to “overclock” his deposit and loses everything, without a trace.
Before you try to “overclock” your deposit, think 200 times, do you need it?! The statistics are that you have less than 1% to make money this way. If you still believe that you will succeed, then maybe it’s better to buy a lottery ticket - you’ll spend less, and the chances are almost equal.
Earning 1-5% per week is not a bad income in trading. In addition, it will allow you to earn money without the risk of losing everything at once, in contrast to the quick “overclocking” of your deposit. Of course, everyone wants everything at once, but it is precisely on such desires of their clients that Binary Options brokers make fortunes.
But whoever pays calls the tune. The money is yours and you are free to decide how to manage it. My task is to tell you that in the lottery called “acceleration of deposits”, always, without exception, only the Binary Options broker makes money. You can take their word for it, or you can go and see for yourself.
Amount of risk in Binary optionsIf an experienced trader is always confident that he will not lose his money, but, on the contrary, will increase it, then a beginner does not have such confidence even more so. So how much should a novice trader risk in Binary Options trading?
Many traders are ordinary people who do not earn millions in a week, but work in typical jobs with an average salary of 15-40 thousand dollars. From this money you need to not only set aside to pay for housing, buy food or things, but also somehow find money for trading. The task is not easy - I tried it on my own skin, so I know what I’m talking about.
It is very important to suppress any excitement at the very beginning of its manifestation. If you think that half of your salary (or even your entire monthly salary) is suitable as a deposit for trading, and you will quickly increase it several times, then no! It doesn't work like that! You should only risk money that you don't mind losing.
- No need to borrow money (!!!), with the expectation that you will return everything in a few days (and if you lose this money, what will you do?!)
- You shouldn’t skimp on anything either!
- You can start serious trading with as little as $100
- Beginner traders should not invest more than $300-400 in a deposit
In practice, everything is completely different - greed and greed completely control novice traders who invest $500-1000 in trading and trade using “deposit acceleration” strategies, dreaming of quick earnings, but in the end they lose everything very quickly. That's how we live.
Recommendations and tips for deposits on Binary OptionsWhat deposit should you use to trade Binary Options:
- If you only learned about Binary Options last week: your ceiling is $50
- Beginner trader with basic knowledge of technical analysis: up to $100
- 2-3 months of Binary Options trading experience: up to $300
- Six months of trading on Binary options: up to $500
- Year of trading on Binary options: up to $5000
There are no fears on a demo account, which means there is no psychological limit either - earn at least 100 million dollars. But on a real account, it is very difficult for a trader to trade large amounts - the trade amount increases gradually, after which the trader “marks time” for some time. The trader is “acclimated” to new trading conditions.
Deposit insurance in Binary optionsWe have already talked about deposit insurance in the article about “ Bonuses in Binary Options, so I’ll be brief. As a rule, Binary Options brokers offer their clients risk-free transactions - transactions in which you do not risk anything, and you take the profit from these transactions for yourself.
Typically, risk-free transactions have the following characteristics:
- You are given several trades (the number depends on the amount of the deposit - the larger the deposit, the more risk-free trades)
- The amount of each transaction is also set by the Binary Options broker and is known in advance
- If a risk-free trade closes at a loss, then you risk nothing
- Profit from a risk-free transaction goes to your trading balance
Limit for withdrawal of funds from Binary Options brokersWe all make deposits for only one purpose - to withdraw a larger amount over time! But not everyone knows that Binary Options brokers have entire departments that carefully monitor which traders earn and how much. This is not surprising, experienced traders take part of the earnings from the Binary Options broker - it is very unprofitable for him!
- How the trader traded
- Did he use third-party software or loopholes in the broker's trading platform
- You will be asked to confirm your identity (account verification) and residential address
- They will check how many times the trader’s accounts have been registered (many brokers prohibit having more than one account)
- They will request a photo of a bank card (if the withdrawal is ordered to a card)
- What amount does the trader withdraw (the entire amount of the trading balance or only part of it)
- Reasons for withdrawing funds (did not like trading conditions or fixes profit)
- Verified user
- A client worth taking a closer look at
There are also cases when a Binary Options broker is simply not profitable for any trader, in which case the money is withdrawn, but the client’s account is blocked. And, again, all these traders were under the supervision of the broker. It turns out that it is very important for a profitable trader to remain in the group of clients who are not interesting to the broker. How to do it?
Each Binary Options broker has a withdrawal limit - no one talks about it, and we will never know the size of this limit (the information is very secret). But you can find out about this limit by indirect evidence - by the broker’s trading volume and the number of clients. The more clients trade daily and register with a Binary Options broker, the greater the trading turnover is on the broker’s accounts - accordingly, the greater the amount he is willing to pay without blinking an eye. For example, broker Binomo has more than 26 million clients - the broker will calmly pay amounts of 10-20 thousand dollars at a time .
But in order to remain in the shadows of many Binary Options brokers, you should not withdraw amounts greater than $3,000 at a time. Regular withdrawal of large amounts will also attract unnecessary attention from the broker. I do the following:
- We order up to $2000 for withdrawal
- Next week we will withdraw up to $1,500
- In another week we order a payment of $500-800
Your primary task is to withdraw the amount of your deposit, but this should also be done in several approaches (over several applications over several weeks). I withdrew my trading deposit from broker Pocket Option of $5,000 in a month and a half - this is normal. The main thing is not to rush anywhere and not to mess things up.
On the other hand, now many Binary Options brokers are willing to pay larger and larger amounts because:
- The regulator will not approve of poor treatment of customers
- They are afraid for their reputation (the better the reputation, the more clients and money they will bring)
- Finances allow (the broker has huge cash turnover)
What to do if the amount of $5,000 is not enough for you? Now it’s more than $300,000 – not such a small amount, by the way! But let’s say this is really not enough for you, what then? And in this case, everything is also very simple - open accounts with several Binary Options brokers and milk them like a cash cow.
By opening trading accounts with 4-5 Binary Options brokers (how I do it) , you can withdraw amounts of 15-20 thousand dollars a month to your wallets, accounts and cards, of course, if the brokers are large. Few? There are Forex brokers with whom you can do the same thing. I think everyone understands this.
Let's summarize. To avoid falling under the close surveillance of a Binary Options broker, you need to:
- Withdraw an amount of no more than $2000-3000 at a time
- Create requests for different withdrawal amounts
- Do not withdraw all the money in your trading account at once
- Withdraw your trading deposit in several stages
- Withdraw money from different brokers (withdrawal from one broker today, from another in a week)