The answer is the same with any trading at all, not just binary options -TAKE LITTLE PROFITS OVER TIME AND LET IT ACCUMULATE.
If you have been following this blog for a while now, you know that I speak against trying to make too much cash in a short period of time. While I know that that is what drives traffic, and makes people's ears stand on end, it isn't in your interest to 'get-rich-quick' too quick.
But getting rich 'quick' is a relative term. There are people who if given N1 million (about $5,400) for free today, their lives will take a downward spiral because they have not built their minds to handle that amount. Whereas, there are others who won't have a problem if their account gets credited with N1 billion ($5.4 million) today.Each person has to decide for him/herself how much exactly is too much at once.
And that is what can happen to anyone if they enter into the online trading world particularly sports betting or binary options (and even Forex) without first deciding how much is the little that will be perfectly okay for them to make everyday.
Developing a good strategy
Developing a successful strategy in online trading requires 'good' money management -what the banks call risk management. One of the first questions I ask my clients (that I trade for) is "How much do you want to make everyday?" Why? Because that is what will determine whether you will put pressure on our trading due to a get-rich-quick mentality, and whether you are truly patient and ready to build wealth over time.
I have made a lot of cash and lost a lot trying to get rich too quick. So when I tell you it is better to take little over time, I mean it is really better to take little over time. That is what it means TO BE PROFESSIONAL about making money online. For example, you have no business risking more than 10% of your balance per trade at any point in time, no matter what. But no one really can force you to trade properly on your money -it is your money. But that is no reason for you to lose it in a whim.
If you were buying and selling physically in a market, you are forced to make little over time from your customers, so why will you want to do the opposite simply because you are trading online?
A good strategy takes into account the starting balance/capital, the trading plan (-will you be using a robot, trading yourself, or mixing the two), and then your exit plan or compounding plan if you want to do it long term. There is no hard and fast rule about it. Just understand your personality and have a goal for your trading (short term and long term). Then define your trading strategy around all that. Keep reading and networking.following experts and improving on your strategy until it becomes fool-proof.
You also have the choice of Binary Options CopyTrader; whereby you can give your broker an order to copy the trades of an expert trader directly on your account. You will have selected the expert based on his track record.
Beware of Scam robots/signals and Brokers
There are more than 100 fake/scam binary options robots and signals out there, and fraudulent brokers who want to run away with your money. Always check up a review before you transfer your money to anyone online. Don't forget to check up scamwatchdog.com, Binary options helper, Binary options signal review and others.
All the best.
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