Pair options are relatively little known financial instruments that are mainly used to conduct speculative trading or for hedging purposes. With speculative trading, trader’s speculates which stocks are likely to perform best on the market when compared to the rest. The trader who successfully picks the winning pair is the winner and he is usually rewarded with some handsome profits. There are different types of option pair trading. There is the fixed trading pair option, and there is also the floating pair option. Fixed pair options trading has the potential to deliver returns of approximately 86 percent while on the other hand floating type options may deliver as much as 350 percent.
These pair options in question are just modifications of the popular binary options. However, one encouraging fact with these options is that the trader knows in advance the return on investment and he/she may therefore select what they perceive as the best option in their particular case. In this business, the trader is provided with a choice of reviewing risks versus potential rewards.
Amateur investors who want to make handsome profits from the trades have to consult with an options broker who is well versed with the market movements. Such options broker guide investors by providing deep knowledge related to the chosen stock pairs by elaborating on potential risks, and any possible return on the investment. A binary options broker is also another stock exchange trader who can buy and sell on behalf of the investors. However, the premier binary options website, GlobalBinaryOptionsResearch.com suggests Stockpair is the only real choice for serious pair options traders.
(Image Source: USBinaryOptionsInfo.com)
Fixed pair options can also be described as basic pair options trading instruments because they are normalized during the time of purchase and this implies that their previous performances have little effect on the outcome and is therefore not taken into account. On the other hand, with floating pair options trading, the previous performances over certain duration determine the outcome. These duration could be; days, weeks, or months.
One company that is providing investors with such an opportunity to participate in this lucrative high return business is StockPair. This is a broker that specializes in pair options while also offering a great binary options lineup. If you want to find out a bit more about this outstanding company and the service they provide you might want to start with this new stockpair review by our friends over at BOTrading Bosses.
We wish you the best of luck in all your trading activities!