It is hard to tell how much the binary options industry makes. According to estimates of sources of The Times of Israel, only the 100+ binary options brokers that are either based in Israel or are somehow connected to those, make somewhere between $1 billion and $10 billion per annum. According to the same sources, around 96% of the clients of the binary options brokers lose all their money and barely 2% win, but only for a while. It is no secret that for the large part the binary options are more or less a scam, akin to gambling and no investment whatsoever is involved, no matter what they tell you. If all was fair and the “trading platforms” were not rigged, as many claim, probably the percentage of winners would have been much higher. After all, Fortuna may be fickle, but no one is chronically unlucky. Action Fraud, the cyber crime unit of the UK police, revealed that between June 2015 and May 2016 it has received 305 reports about binary options, with an average of 27 reports made per month. Those who have filed most reports were men who have being paying via debit or credit card. So how do the binary options brokers reel in and fleece their victims? The methods are several and in essence, rather simple.
Simple, they lie on their demo platforms I had a friend who got suckered in by this. he was like "I've made all this money on the demo platform!!" I'm like yea, good luck with that. Then he said I understand it all, you buy in at the troughs. Simple!! Then I thought, it sounds like he's trying to fade the market, which is considered a high risk trade.
1 I demo tried, you staked 50 say that's gone, you if you won, won 30 and it read as profit 80 trying to get you to ignore the 50 cost. My wins where 55/45 no where near enough for 60% pay out. The odds reduce as you get better aswell.
90% of the retail traders lose 90% of their capital within 90 days. Binary options is just a simplified casino that requires no casino-like state taxes and makes retail traders think they are wall streeters instead of punters.
you can make money with binary but most people do like 10 trades a day and for 5-15 minutes periods . If you only put on trade your 80% sure on resistant level and only if you get a good entry and do a 1 hr trade i find the odds are fairly good . i trade longer term forex cash but find binary is good as extra income .
The fancy, misleading advertising and the aggressive cold-calling also have an effect, unfortunately. There's a reason lately countries, especially Israel, have been taking a harder stance against binary options, either banning them altogether or banning their advertising.
They should also shut down casino and lotteries in vegas . 90% of people lose in gambling in las vegas .