No one things about it, heres what I can answer to him.
Lets say he can risk a max of 2% per day.
Thats $100. So he can risk $100 to make $100.
If he gets OTM, he loses $100, but he want to be in profit of $100 instead.
If he divides that into 4 parts. Thats $25. Now lets say he can do 4 trades, if he compounds that $25 for four trades, the outcome would be around $200, minus the original $25 is equal to $175.
That means he risked only $25 to make $175 profit. If he loses, he can try for another 4 trades.
How To Make Money Online - How I Turned $250 Into $20,000 In One Month With Binary Options
And so goes on and on. This gives him the chance to do a max of 16 trades to win, or a max of 4 trades to lose.
How To Use Binary Options To Improve Returns
He cannot win more than 16 times or lose more than 4 times. If he loses 3 trades in a row, he is down $75, he can try for another 4 trades to compound things from $25.
Sounds complicated, but actually thats what it is. If he tried to compound $50 trades, he will have the chance to do a max of 2 loses for that day, and in the meantime, for a 2 step snowball, his profit will be $94.
Risk $50 to make additional $94. Max win count is 4 trades, max lose count is 2 trades.
Maybe all of these are wrong, but you get the idea. One can easily invest and risk $5K to make $100 per day.
That's $300 per week and $1200 per month. 24% return per month. Can be treated as business that way.
Now, the problem is, we all look for the bigger amount, when we think about binary, we all go like, I am gonna win 20 times in a row and earn billions, then buy a land in moon.
But someone with a different mind will only look for daily or weekly earning. They'll earn per week, withdraw per week, take low risks.
They'll risk small, target small, earn small, but consistent and calm.
- Tripack, happyjas, abiel02 and 3 others like this
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