2 weeks ago
Just a quick question on behalf of a friend: How many binary contracts would a new client (or a client) expect to be able to trade? Under 10, more than 10? More than 5?
Do any traders here use binaries - and if so are you profitable - or does everyone now trade Crypto (boring!) ?
Thanks to anyone (or IG) for your experience/help.
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2 weeks ago
I am assuming that no one trades binaries, either successfully or unsuccessfully.
I've been "away for a while" and on return wonder ? what do traders do around here - does anyone trade consistently and profitably?
? Why doesn't anyone go nuts about binaries - I mean it's a big deal if an asset price drops by 50%, yet every 20mins with binaries there are opportunities to make that kind of return. Fair enough, the liquidity is probably not the same, but then the fairness of the analogy depends on the trader and also the opportunity. You might get one move in a crypto that is close to 50% in 4 months say, yet every 20mins on the ASX it is theoretically possible. Easily 5 or 6 per day. And then there's the 3:1 moves, eg. buy for 30 sell for 100. Sometimes buy/sell 20/80 close out at 100/0. They're rare, and almost washed out by IG's spread. But if Bitcoin fell from 8000 to zero everyone would be talking...
Quantum Computers might have a say in that, but that's another topic...
Binaries are under-appreciated in my opinion anyway.
Still wondering what IG's current liquidity offering is for binaries however, if anyone knows...?
2 weeks ago
Hi @Zero, IG don't actually do binaries anymore do they? They have now Digital 100s which I assume are something similar but have not researched so couldn't tell you, you would know better than me, are they the same thing?
2 weeks ago
Hi @Caseynotes - Hmm - good point. They have re-named them Digital 100's as you've said. My platform, the old one - still has them as when they were called Binaries. They have culled the one-touch, but apart from that all the same. Yet on the new platform (maybe UK based) they seem to offer less binaries for the ASX. Not sure about other markets.
The name change is perhaps more fitting with the popularity of crypto (even though they are unrelated) - yet the thing that I would be annoyed at (if I was a hard-core IG Client) is that they've copied CMC (it seems) which is dumb because IG were way way way ahead of any other broker with their "binaries". Yet they've come down a level with their binaries to be more in line with someone like CMC (who when they first brought them out called them digital something - maybe digital 100's also).
But you're correct - I should be calling them Digital 100's. From my platform and for the ASX the underlying thing to trade is still pretty much the same - spreads a bit wider, and IG much more on the ball with their pricing. But the profit potential pretty close to what it was, and the structure of the digital 100 the same as the corresponding binary when it was so called.
Thanks for the comment - cheers.
a week ago
Hey all. So the Digi 100's 'max size' will be variable depending on which markets and what time of day you'll be trading. As an example, you should be able to get £120/pt (which at one contract being A$10 is the equivalent to over 20 contracts) in a single click. This is obviously subject to change if the session has just opened, in a volatile event, or is towards the end of day. Obviously you can trade smaller clips, and multiples of smaller clips (for example if you traded 5 lots, you could trade 5 times to get 25 lots worth).
a week ago
Hi @JamesIG Thanks for the clarification. Quite helpful.
Anyone reading this should be impressed - 20contracts for a binary (per clip as they say - so probably 30sec) is amazing for any trading instrument. This afternoon the ASX went sideways for 3 hours. Try and CFD that - but a "digital 100" 10pt range at 20 contracts or more, probably could have paid 50 for the range you wanted (or less). Or sell the ladder at the top of the range (which was obvious today of all days, for 50, and then by now your 20 contracts would be worth $10,000 (just over 5000 pounds). It will expire at zero too, so you'll make the $ for the sold binary (will close in 4 mins but anyway I'm calling it).
Maybe I should post free ASX trades here somewhere....
Thanks again James.