Broker Alpari relatively recently offered its clients binary options trading (Fix Contracts). Digital contracts allow you to make money on the Forex market even for those who have not previously engaged in trading. To make a profit from trading binary options, it is enough to determine the direction of price movement and click on the appropriate button (if up, then “Call”, and if down, “Put”). Digital contracts are increasingly gaining popularity, largely due to their simplicity. Alpari has created a special Fix-Contracts platform for trading binary options:
Alpari binary options: what is it?
Alpari is one of the most popular brokers on the Russian market, which has many years of experience on foreign exchange and other exchanges. Over the years, the company has been able to win the trust of thousands of clients, offering traders a variety of trading tools and conditions for reliable cooperation.
The main feature of Alpari binary options is that traders know before opening a transaction how much they can earn or lose on a transaction. Digital contracts, as noted earlier, are simple. To make money on binary options, it is enough to determine in which direction the price will move during a certain period of time ( expiration time ). In this case, it does not matter what the changes in price will be, and the trader makes a profit even if the price rises or falls by 1 point.
But Alpari offers different ways to make money on binary options, and, in particular, the broker supports fix-contracts, in order to make a profit from which you need to set the exact price of the asset, upon reaching which the transaction is considered profitable. This feature is characteristic of the “One touch” binary option. The trader receives income when trading such a digital contract, provided that the price reaches a predetermined limit. Moreover, the transaction is automatically completed before the expiration date. Despite such a long experience, Alpari relatively recently introduced binary options to the market. However, digital contracts (fix-contracts) quickly gained popularity among the company’s clients. Alpari today offers not only standard binary options, but also some new Fix Contracts of its own design:
Trading platform Fix-Contracts Alpari
The Fix-Contracts platform is an online terminal designed for trading binary options. To work with this program, you do not need to download additional applications to your computer or mobile devices. The terminal is available in the browser.
To trade through Fix-Contracts, a trader needs to register/log in to the site, top up a deposit and open a deal, determining the direction of price movement and investing the appropriate amount.
Then you need to wait until the expiration date expires. If the correct forecast is made, after closing the transaction, the money is transferred to the client’s account with the broker.
How to start trading Alpari binary options?
Trading binary options comes down to one rule: if the forecast shows that the price will rise, you need to buy Call options, and if it falls, Put options.
The minimum deposit amount is $1. The maximum trader can transfer to the account is no more than five thousand dollars. The profit can reach 100% or more of the amount of funds invested in the transaction.
To start trading Alpari binary options, you need to open a binary options trading account, then go to the Alpari trading platform, and then follow a few simple steps:
- Choose the type of binary options that suits you;
- Determine the type of asset that will be traded (Alpari offers currency pairs , metals, commodities, stocks, indices, cryptocurrencies );
- Select expiration period;
- Specify the transaction amount;
- Determine the direction of the asset price movement and buy a Call (Buy) or Put (Sell) option.
Binary options trading conditions
Alpari offers simple and clear binary options trading conditions. Thanks to this, fix-contracts have become one of the most popular tools that traders use to make profits. You can trade Alpari binary options if you top up your balance with at least five dollars. The profit from one transaction reaches up to 100% of the investment amount.
When concluding a contract, the trader determines the direction of price movement for precious metals, currency pairs and other assets. This parameter is fixed and cannot be changed until the transaction is completed. If the correct forecast is made, profit is credited to the account at the end of the expiration period. The amount of income is determined as a percentage of the amount of funds invested in the transaction. Moreover, if the forecast turns out to be incorrect, then all the money invested in the operation “burns out”. That is, the trader loses this amount.
You can learn more about the trading conditions and rules of the Alpari broker in the “Help” section:
One of the main advantages of Alpari binary options is the simplicity of transactions. To make a profit, a trader just needs to determine the direction of price movement. Thanks to this feature, anyone with Internet access can trade binary options.
The advantages of binary options also include the fact that the size of profits and losses is known in advance, before the trader opens a deal. Moreover, even if the forecast turns out to be wrong, Alpari can return up to 20% of the amount invested in the operation.
Binary options on Alpari demo account
Every trader can test their skills and practice binary options trading on an Alpari demo account. In this case, users can trade binary options using virtual money rather than real money. Moreover, the tool is available to all traders, including those who have not registered.
Trading on an Alpari binary options demo account follows the same principles as for real money. Traders need to determine the price movement by purchasing Call or Put options (click on the “Higher” or “Lower” buttons, respectively).
After this, a deal will be opened on a demo account with an expiration period of one minute.
Types of Alpari trading assets
You can enter into Alpari binary options transactions using the following trading assets:
- Currency pairs;
- Metals;
- Commodities;
- Stock;
- Indexes;
- Cryptocurrencies.
Alpari binary options are traded 24 hours a day. When working with currency pairs, the trader does not incur additional costs associated with commissions or other mandatory payments.
Anyone can trade Alpari binary options. But it is recommended to start working with digital contracts with caution, and before doing so, it is better to undergo training in binary options trading .
Types of binary options and fix-contracts in Alpari
Alpari offers clients 6 types of binary options:
- Higher lower;
- Touch;
- Range;
- Spread;
- Turbo options;
- Express options.
When trading High/Low options, the trader must determine the direction of price movement over a certain period of time (expiration period). If the quotes rise, a Call is bought, and if they fall, a Put is bought. If the forecast is successful, the profit can reach up to 90% of the investment in the transaction:
The Alpari broker “Touch” option (fix-contract) invites the trader to determine whether quotes can reach a certain limit. Unlike the previous option, in this case it is necessary that the price chart touches the marked level. In this case, the transaction is automatically closed, and the trader receives a profit reaching up to 90% of the investment:
The “Range” option offers traders to determine the direction of price movement in a flat (sideways trend) . In this case, boundaries are set beyond which the price should not go. If a trader predicts that the price will rise, but will not overcome the upper limit, then you need to buy a Call option, and if it drops lower and does not overcome the lower limit, you need to buy a Put option:
Alpari broker “Spread” options offer the trader to predict whether the price will be higher or lower than an automatically specified spread (very similar to the previous type of options, but the spread is a smaller range), that is, whether it will cross a certain level up or down. If you think that the price will rise and exceed the spread, then you need to buy a Call option, and if the price falls and overcomes the spread level from below, you need to buy a Put option:
“Turbo options” are fast and high-risk types of fix-contracts of the Alpari broker. The expiration period of this digital contract does not exceed 5 ticks (a tick is the minimum price change). Such options are aimed at traders who prefer quick trading, but it is recommended to trade them only if you have extensive experience. The rest of the rules are the same as in other options, and when predicting growth, a Call is bought, and when predicting a fall, a Put is bought. Since these options are almost instantaneous (can last less than 5 seconds), the profit for them is up to 40%:
Express options from the Alpari broker allow you to buy options on three trading assets at once, and for each asset you can specify the expected price direction. This type of options is the highest risk, since in order to make a profit, all three assets must be winning, and as you know, it is difficult to predict the movement for such a number of assets. At the same time, the profitability of such options pays off and can be up to 300%:
What is the essence of express options from Alpari
The new product from Alpari does not change the essence of binary options. The basis of trading remains the same: identifying a trend and making a decision about the choices offered by the “Above” and “Below” buttons. In the case of Express, the difference can be traced in one thing - for the forecast, not 1 trading asset is used, but 3, which is done simultaneously. From a practical point of view it looks like this:
- 3 currency pairs are selected;
- A forecast is made that includes 3 options;
- Using the “Express” button, the option type is set;
- After completion of the set expiration period, income is generated, but provided that the price movement was correctly guessed in relation to all 3 selected assets.
In a standard situation, when working with one currency pair, the income level is limited to 80–90%. With Express, everything looks much more productive, the amount of profit increases significantly.
Let's look at this topic in more detail using specific numbers as an example: a trader selects 3 currency pairs, and then opens an option with a transaction size of $100 for each of them separately. At a return level of 80%, the possible profit will be $240 if the trend is correctly guessed in all 3 cases. What does the combined option offer us?
“Express”, combining 3 forecasts, is $300 as the size of the option and $1,449 in profit if the selected events have a successful outcome. The calculation at an income rate of 80% is based on the following formula:
(1.80 * 1.80 * 1.80) – 1 = 4.832
The bet thus obtained is multiplied by the option amount of $300, which leads to the profit mentioned above:
300 * 4.832 = 1449.6
Attention! Working with Express increases the risk of losing money, which is associated with greater complexity of forecasting, since it is necessary to predict the outcome of 3 events simultaneously.
How to buy an express option in Alpari
Using an innovation from Alpari in the form of the “Express” option involves accessing an updated version of the terminal. The old one, available in your personal account, does not support this option option. The rest of the work is structured according to the following scheme:
- Open a new terminal.
- Select “Express”, which is available in the line that displays a list of options, indicating the desired assets.
- Decide on the expiration period, where the minimum is 5 minutes and the maximum is 5 days.
- Set the transaction amount.
- Make a forecast, that is, use the appropriate button.
- Click "Buy".
Info! The active state of the Express option corresponds to the display of progress for each instrument - the left side of the terminal. Finding the price in the green zone confirms the correctness of the forecast.
When choosing an expiration date, consider a few points. If a 5-minute option is set, then the breadth of choice is lost. The first asset is selected by the user independently; 5 currency pairs are available for this, and windows 2 and 3 are filled in automatically. Another point is related to the default setting of CFD on the index in window 3, which does not allow access to the correlation strategy .
The expiration date determines the profitability of the option. In the case of fast BOs, the return on assets is limited to 65%, while daily ones create the opportunity to reach a level of 85%.
Express options trading strategy on the Alpari trading platform
The main advantage of a combined option is that it covers several failed trades as a result of one correct forecast. In this regard, choosing the right strategy when accessing the Express option comes first. To reduce risks, Alpari offers a reward payment when only 2 out of 3 predictions are correct, but such a reward is a small amount of compensation.
Express trading should be considered correct if the selected assets are correlated. This implies the relationship between price changes of 2 or more currency pairs. For example, within 1 hour, EURUSD shows a price decrease of 40 points, and GBPUSD - by 42 points. This type of situation signals that there is a high correlation between these assets.
At the same time, one cannot hope for the stability of the correlation. Specific currency pairs are capable of showing high correlation for more than one day in a row, but then some economic news affecting a specific currency may cause its rate to show behavior different from other Express assets. This will cause the correlation effect to be lost.
To determine suitable assets from the point of view of their maximum correlation, pay attention to services that specialize in such information, which include, for example, the Internet resource myfxbook.com. Another good choice is the investing.com service, which provides not only textual information, but also graphical information. Using the functionality of such services ensures that the required assets are identified for forecasts that can provide profit on Alpari Fix-Contracts.
It is not always possible to find the desired currency pairs, characterized by similarities in how the price of each asset changes. To simplify this process, consider 2 types of correlation, which can be direct and reverse. The latter refers to the so-called mirror correlation, when growth is predicted for one currency pair and a fall for the other.
Let's assume that GBPUSD and NZDUSD are highly correlated currency pairs (around 0.9). At the same time, the USDCAD pair demonstrates an inverse correlation in relation to each of the assets. Here the optimal opening of options looks like this:
- GBPUSD and NZDUSD – “Below”;
- USDCAD – “Higher”.
Tips for beginners: how to make a profit from express options with the Alpari broker
Efficient trading, along with high correlation, is such when there is a strong trend . Regular binary options are recognized as trend instruments, which also applies to Express. If trading in assets that are highly correlated goes flat, then even a minor correction in one of the instruments leads to a global decrease in profits.
When all 3 assets show a characteristic trend, the conditions are right to enter the market. At the same time, the market during a period of high volatility, which is caused by important news, is not suitable for purchasing options with guaranteed returns. The release of such news leads to price movement with the inability to predict this process. The trend can go in any direction, its reversal is unpredictable.
Conclusion: is it worth trading Alpari express options?
The correct use of Alpari's tool, the Express binary option, is required to get the desired profit from this type of trading. It is necessary to use a suitable strategy and comply with certain conditions, which include having a trading plan and following the rules of money management. Only in this case can we hope that the combined option will lead to an increase in profits many times over compared to the “classics of the genre” in the form of standard binary options.
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