Long-Term Binary Options are options that have expiration times of at least one full day and can go up to several weeks or even months.
Usually binary options expire from 30 seconds to a maximum of one or two hours. For the last few years, these were the only expiration times available at pretty much every binary options broker.
There’s two main reasons why brokers started the Long-Term Binary Options in 2014. Mostly, every broker offered the same service more or less, some decided to offer Long-Term Binary Options just to be different from other brokers.
Next, binary options started to manage around 2014 to get the attention of mainstream and the critique and review of real inverters and very old school Forex traders. It was pointed out that the short-term options offered a hard time for beginners to make money as these short-term options are very hard to predict.
That’s when these expert traders claimed that binary options could only become a real form of investing and trading if broker stopped restricting the max expiration times of options.
It was said that real investing is a long-term thing, meaning that traders should be given a chance to trade long-term binary options if binary options are to be regarded a proper form of trading, not just a funny game of luck and chance.
How Do They Work?
There’s a very good reason why these kind of options are so easy to predict. You see, the longer an expiration time is, the less unpredictable the markets are overall, so the better your judgement will be in making a prediction.
Should you choose longer time frames, you can also take into account the events that are expected to happen during that time frame, it might also influence the movement of an asset by going up or down. This can’t be done with short time frames.
Imagine knowing that Apple will launch a brand new iPhone in 2 weeks. Based on this info, how do you think will the stock prices for Apple move after the release? Will they go up, or down? Most likely, they’ll go up in a situation like this. After all, that’s what happens after a product launch.
So using the long-term Binary Options Strategies, you’ve made quite some money in binary options. You made a long-term trade based on the expected major event that resulted in your asset’s price rising.
You can’t use this strategy with short-term options. You can’t predict such movements in just a few seconds or minutes.
Taking into account the big news events that are expected to influence the value of an asset, using long-term options strategies is the best way to go.
Long-term vs short-term
Here you can only use technical analysis to determine the outcome of short-term options. That involves reading and interpreting so many different charts and indicators. This is so difficult to do if you don’t already have a background and fundamentals of financial trading.
With long-term binary options, all you need to know is when a major event is going to take place and make a prediction based on that info.
To-the-point examples of long-term options strategies
Some examples of these strategies applied in the real world, you can also use them to make good money right away in Binary Options Trading.
That’s it! You’ve just won in binary options. This isn’t 100% safe but historically speaking, Apple’s stocks usually increase after a new product launch.
Unfortunately, an Apple event only happens twice per year. You’ll need more than 2 winning opportunities to make real money in binary options. The thing is, you can use this with any company like Microsoft, Google, Samsung, Sony, HP and so on.
You can find out within 10 minutes of research when these companies have their annual events and product launches.
If everyone expects that Microsoft made more money, buy a long-term binary option predicting that Microsoft’s stock prices will be go up on the 11th of August. Should everyone seem to agree that Microsoft made less money or that it stagnated, then you’ll buy a contract predicting Microsoft’s value will decrease by August 11th.
The best part about this strategy? You can do this for almost any occasion. There are hundreds of companies out there, some are not even as famous as Apple and Microsoft and might not offer any products but offer services. You just need to Google their revenue report release dates, then Google what experts predict and then buy the appropriate binary options long-term contract.
These are just two ways of making money in binary options with long-term strategies.
As you can see, this is the easiest way to make money. It’s also the reason why brokers introduced this concept so late. Most traders don’t even know this and stick trading with short-term options. Now that you know, make sure you use it and you’ll make money in binary options.
Brokers That Use Long-term Binary Options
Not all brokers use this option. That’s why we’ve provided a list of some brokers that do and they are legit.
24Option – A fully EU regulated broker that offers long-term options for up to one year. Should you be outside of the USA, this is the top broker to choose.
StockPair – Another legit and fully regulated broker for non-USA traders. Expiration times of up to 6 months.
It’s recommend you use this strategy, it does work and most experience this to be the easiest method of Binary Options Trading. You don’t have to spend time analysing charts and looking at indicators. Just look out for major news events and based on those make the correct predictions. So it turns out, you can make money using Binary Options Trading.