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Best binary Pair Options broker

There is a new way of trading named Pair Options, which is a special kind of binary options. At pair options you choose which stock will perform better. The stocks are organized on pairs of stocks in the same industries, such as Microsoft vs Apple.

Best binary Pair Options broker

Website: www.stockpair.com

Minimum investment: 100 USD

Options profitability: from 82% to 480%

Can trade: Pairs of stocks

Traders from USA: Allowed

 

About StockPair Broker:-

Pair Options are a simple and direct way to trade in relative performance of stocks and profit by predicting which stock within a given stock pair will perform better (e.g. the pair Google vs.Yahoo). If you selected the better performer you will receive a payout. The payout is shown when you place a trade, and varies with the pair, option type and market conditions. Stockpair’s payouts can be as high as 450%. Pair Options are binary, so you are paid only if you selected the better performing stock.

One of the unique benefits of Pair Options’ is that you do not need to worry about the general market movements. You can profit even when the market goes down, because only the relative performance between stocks – which one under perform and which one out perform- have an impact on the Pair Option value. Even if the stock you chose went down, the only thing that matters is what the other stock did, and if it went down more, your Pair Option will be in the money.

For example:

For the pair Vodafone / British Telecomyou open a Fixed Pair Option trade of $100. You picked Vodafone to be the better performer by the end of the day. The option is set to return 82% if Vodafone performs better.

  • Relative performance is measured for each stock from the time you placed the trade (option start).

  • If Vodafone is the better performer, your option expired “In the Money” and your payout is

  • $182 ($100 initial trade + $82 return).

  • If British Telecom is the better performer, your option has expired “Out of the Money” and you don’t get a payout.

  • With Pair Options, you don’t have to wait until the expiry since it enables closing a position before expiry.

Stockpair Offers Two Types of Pair Options: Fixed and Floating:
  • Fixed Pair Options are options in which the better performing stock is determined by the stock pair’s relative performance from the time the option was purchased(start time) to the time of expiry.Fixed Pair Options let you determine the option’s expiry time when you open a position (i.e. an hour, a day, a week.) Fixed Pair Options close at a fixed expiry time.

    • Option Start Time: For each stock pair, the relative performance of each stock is measured from the time you purchased the option. This is also called the option start time.

    • Option Expiry Time: Option expiry can be set to anytime between 1 hour and 150 days from purchase.

    • Payouts can be as high as 86% and are indicated at the time of trade. Payouts are determined depending on the relative position of the underlying stocks and other market variables.

  • Fixed Pair Option Example:

For the pair Vodafone / British Telecom you opened a trade of $100, predicting that Vodafone will be the better performer at the end of the day. The option terms set a payout of 82% if Vodafone performs better.

  • Relative performance is measured from the time you placed the trade (option start).

  • At the end of the day (option expiry), relative performance is measured for the two stocks, neutralizing the effect of market movements throughout the day.

  • If Vodafone is the better performer, your payout is $182.

  • If British Telecom is the better performer, your payout is zero.

  • Position Close: Pair Options let you close your position before the option’s expiry time (during trading hours). When your positions are open, you will see the payout offered by the Stockpair platform. If you close the position (“sell” it) it will payout the indicated value.

  • Floating Pair Options are options in which the better performing stock is determined by the stock pair’s relative performance during a predefined period in which the trade took place (a day, a week or a month). Relative performance is measured from the beginning of this period (in contrast with Fixed Pair Options which is from the time of trade). The payout time is always the end of the day, week or month.Floating Pair Options are contracts which the better performing stock is determined by the Stock Pair’s relative value at a predefined date and time (usually beginning of a day, a week or month.). The better performing stock is determined by the difference in value between the opening and the closing of your ownership. Payout is at the set expiry time: end of day, week or month. When market trading is open, the Stockpair site shows a payout value in real time. You can close your position at a profit while trading is open (before the original expiry time).
  • Option Start Time: A Floating Option starts at the beginning of the trading period: day, week or month. Option start time is fixed regardless of your trade start time. Your position value has to “catch up” with the other stock when your side is below the other side. If your side is leading, it has to maintain its position relative to the other stock.

  • Option Expiry Time: Floating Pair Options are available with option expiry at the end of the day, week or month.

  • Payouts can be as high as 450%: When you trade you will see a payout value in percentage at option expiry. Payouts are determined depending on time to expiry, the relative value of the underlying stocks and other market variables.

  • Position Close: Pair Options let you close your position before the option’s expiry time (during trading hours). When your positions are open, you will see the payout offered by the Stockpair platform. If you close the position (“sell” it) it will payout the indicated value.

  • Floating Pair Option Example:

At midday, you opened a $100 trade on the Apple / MicrosoftPair Option. You speculate on Apple outperforming Microsoft at the end of the day. At the time you opened the trade, Apple was BELOW Microsoft and the payout of Apple outperforming Microsoft at the day’s end was 530%.

  • Relative performance is measured from the beginning of the day, which is the option start time. Not your trade opening time.

  • If at the end of the day (option expiry time) Apple outperformed Microsoft, your payout will be $630. Otherwise, it will be zero.

  • You can close your position before the expiry time. If two hours after placing the trade, Apple outperformed Microsoft you can close the position with a payout of $210. At that time, Stockpair’s platform payout was 110%. In this case, the payout was determined according to position close, at 2 PM.

 

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