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Binary Options User Manual
TABLE OF CONTENTS
1. About Binary Options2. Client Installation3. FAQʼs4. List of Assets5. Glossary6. Terms and Conditions
1 About Binary Options
Also known as Digital options or FROʼs, it is a prediction of the direction of a stock, commodity, index or foreign
currency will take by a designated expiry time. It provides a way to trade markets with capped risk and capped profit
potential using a ʻyesʼ or ʻnoʼ proposition
How To Trade
Binary options trading has only two investment possibilities, either a “Call” or “Put”.
Call Option - When you predict that the price of the asset will rise Put
Option – When you predict that the price of the asset will fall.
You can trade very easily, in just three steps.
1. You choose the asset you want to trade
2. You enter the amount that you want to invest and
3. You choose whether the price of the asset will be above or below at the time of expiry.
2 Client Installation
Install regular MT4 Terminal Run FXDD MT4. Setup.exe
Install FXDD WL Download Forexware.FXLite-MT4.Setup.exe from the link below:
http://download.forexware.com/software/Forexware.FxLite-MT4.Setup.4.34.25.exe
Run Forexware.FXLite-MT4.Setup.exe
Select installation folder.
Confirm installation - Click [Next]
Once installation is complete, click [Close].
It will create Forexware Binary shortcut in Start menu and on Desktop.
Run Forexware Binary shortcut. Application will automatically detect installed Meta Trader 4 terminals.
Login Type login and password for MT4 demo
account under FXDD-Demo group.
If you don't have an MT4 demo account
login credentials, please click on the ‘Create
demo account’ to create a demo account
Under Market Watch, Binary pairs are shown with “bo” suffix.
Place Order Double click on any symbol with “bo” suffix and Binary Options frame will open. Specify order parameters and click [Up] or [Down] to place an order.
A new position will be opened which can be found in the Trade tab. Click on open position to check the expiration status of the position
Once position is expired, position will be closed and balance will be credited or debited according to the outcome of the bet.
The result will be reflected in the Account History tab.
3 FAQʼs
Support
How do I reset my password? The steps are as follows:
On the top Menu bar of your MT4 Trading platform, select TOOLS > OPTIONS or keyboard
shortcut (Ctrl+O).
Under the SERVER tab, select CHANGE.
Input the current password in: "Current Password" text field.
Select "Change master password" if it is not checked already.
Input the new password in: "New Password" text field.
Re-type the new password in the second "Confirm" text field.
If you still have issues resetting your password, you may contact [email protected]
How can I update my personal information? Please send your request to updated personal information to [email protected]
Platform
How can I apply for a binary options demo account? The demo accounts are a great way to get a feel for live trading. We want customers to feel comfortable trading on our binary options platform before placing real money in an account. For a free binary options demo, please reference the link below http://www.fxdd.com/bm/en/products/binary-options/
How long is my binary options demo active? A binary options demo account is good for 90 days, beginning the first day of sign up. On the 90th day, your account will be become inactive. If you require additional time before opening a live account, you may register for more than one demo account or you may email [email protected] to request an extension for a demo account.
How do I install the binary options software?
Please refer to Section 2 – Client Installation. You will need to first install the MT4 Trading Platform and then the Forexware FX Lite MT4 WL in order to trade Binary options on MT4.
Where can I download the MetaTrader platform? To download the MetaTrader software, please refer to the link below. Fill out the demo sign up form. Once completed you will be prompted to download and install MetaTrader. http://www.fxdd.com/mt/en/accounts/open-a-demo-account/?cid=MT_EN_HP_Button
Where can I view my transaction history? You may view your transaction current positions under the “Positions” tab located in your Binary Options trading window and history under the “History” tab located to the right of the Positions tab. You may also reference the “Trade” and “Account History” Tab located at the bottom of your MT4 Trading platform to also view your current and historical positions respectively.
How do I see all the binary options currency pairs that FXDD offers? Within the Market Watch window, all of the currency pairs eligible to trade can be viewed by right-clicking within this section and selecting ʻShow All .̓ All currency pairs will appear thereafter.
What is the time shown on the platform? The time that is displayed on the MetaTrader is viewed as GMT+2 (Greenwich Mean Time plus 2 hours). This can also be viewed as EST+7, CMT +9 or PST +10.
Deposit & Withdrawal Procedure Please refer to the below for payment method options and withdrawal procedures
Deposit Methods
Please refer to the link below for our deposit methods. http://www.fxddtrading.com/bm/en/accounts/deposit-funds/
Funds Redemption Form To withdraw your funds, fill out the below form and email to [email protected]. Please allow 24-48 hours to process your redemption request. Also, please note that wire transfers usually take 1 to 2 business days to complete. Delivery of checks via mail is subject to the mail carrierʼs service. http://www.fxdd.com/fileadmin/user_upload/pdfs/bm/ENGLISH/en_US-funds_redemption-fxddtrading.pdf
What is the minimum deposit amount? The minimum deposit amount is $250
What is the maximum deposit amount? The maximum deposit amount is unlimited
Trading
How can I place a trade? Double Click on the currency pair you would like to trade listed under the ʻMarket Watchʼ displayed on the left side of your trading platform. The binary options dialogue box will display. Choose the investment amount available in the “Investment” drop down menu. Choose the expiry available in the “Expiryʼ drop down menu. Choose the green button ʻUPʼ if you believe that the price of the chosen asset will rise by expiry or choose the red button ʻDOWNʼ if you believe that the asset price will fall by the expiry time.
What return will I get in case of a successful investment? 70% is the maximum profit payout on a successful investment
What is the maximum investment amount I can trade? The maximum investment amount is $250 per trade
What is the maximum number of contracts I can open? The maximum number of contract available to trade is dependent upon the following factors: Investment amount, cash balance margin and free margin.
What are the expiry times available? The expiry times that are available are: 60 seconds, 5 minutes and 1 hour.
What are the order types that are available? ʻMarket” order is the only order type available when trading binary options.
What is the expiry rate? The expiry rate is the price of the underlying asset at the time of expiry. This is the determining factor in if the option has expired in-the-money or out-of-the money.
What is the expiry time? The expiration time is the time and date at which an option expires.
What currencies can I trade? Please refer to the assets section of this guide to view all available currencies available for trading.
4 List of Assets
Currently the following assets available to trade are the following with expiry times of 60 seconds, 5 minutes and 1 hour:
AUDUSDbo EURGBPbo USDJPYbo GBPUSDbo EURUSDbo USDCHFbo EURJPYbo USDCADbo GBPJPYbo EURCHFbo XAUUSDbo XAGUSDbo OILUSDbo UK.OILbo
5 Glossary
Asset A stock commodity, currency, or index
At the money When the option expiry price is the same as the buying price
Call Option When the trader has chosen the upward direction for an asset price by expiry
Expiry Price The price of the underlying asset at the time of expiry according to real-time market price. The expiry price determines whether the option has expired in-the-money or out-of-the-money.
Expiry Time The designated time and date at which an option expires
In the money A traderʼs option is in-the money when his prediction on the direction (regardless if it was above or below) was correct. Options expires in-the-money, and the trader receives the full payout even if the trader was correct by a single pip.
Investment The amount invested in a specific option
Out of the money A binary option is out-of-the-money when the traderʼs prediction was incorrect regarding the direction of the price by expiry time.
Payout The percentage amount that the trader will receive at option expiry
Put Option When the trader has chosen a downward direction for the asset price Update website
6 Terms and Conditions
Please reference the below for FXDDʼs Trading Terms and Conditions
Customer Account Agreement
http://www.fxdd.com/fileadmin/user_upload/pdfs/bm/ENGLISH/en_US-customer_agreement-fxddbermuda.pdf
Binary Options Rider to Customer Account Agreement,rch Street Hamilton HM 11, Bermuda P: +1.212.791.39
The FXDD Trading Ltd. (“FXDD”) Customer Agreement (“Agreement”) incorporates the Rider and is made a
pertinent part of the Agreement. Wherever not specified in the Agreement, any and all references to the Agreement
also include the Rider.
Where not specified otherwise in the Rider, all provisions in the Agreement also equally apply to binary options
(“Binary Options”) trading. This does not include Agreement provisions referring or relating to margin requirements,
leverage, netting or offsetting as these provisions apply only to over-the-counter leveraged foreign exchange
(“Forex”) trading. Where terms or provisions in the Rider and the Agreement conflict, the Rider supersedes and
modifies the Agreement.
All numbered provisions below correspond to the numbered provisions set forth in the Agreement.
2. LICENSE
FXDD will offer customers the ability to purchase and sell Binary Options.
5. RISK ACKNOWLEDGEMENTS
CUSTOMER ACKNOWLEDGES AND UNDERSTANDS THAT TRADING AND INVESTMENT IN BINARY OPTIONS IS
HIGHLY SPECULATIVE, INVOLVES AN EXTREME DEGREE OF RISK AND IS GENERALLY APPROPRIATE ONLY FOR
PERSONS WHO CAN ASSUME RISK OF LOSS OF THEIR ENTIRE investment. Customer warrants that the Customer is
willing and able, financially and otherwise, to assume the risk of Binary Options trading.
When trading Binary Options as with any financial assets, there is a possibility that you may sustain a partial or total
loss of your investment funds when trading. As a result, you are expressly cautioned that you should never invest or
trade with money that you cannot afford to lose.
Binary Options trading involves a real risk of loss. The trading rates assigned to the assets on FXDDʼs Binary Options
website are the ones at which FXDD is willing to sell Binary Options to its customers at the point of sale. As such, they
may not directly correspond to real time market levels at the point in time at which the sale of options occurs.
It is the responsibility of all visitors to the website to ensure that their interaction with FXDD is strictly within the law
and corresponds to the strictures enforced in their own country of residence. Customers should be aware of their
potential individual tax liabilities in their country of residence.
TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW, FXDD EXPRESSLY DISCLAIMS ALL WARRANTIES OF
ANY KIND, EXPRESSED, IMPLIED OR STATUTORY, RELATED TO THE SITE, PLATFORM, CONTENT, AND SERVICES,
INCLUDING AND WITHOUT LIMITATION THE WARRANTIES OF TITLE, MERCHANTABILITY, FITNESS FOR A
PARTICULAR PURPOSE, NON- INFRINGEMENT OF PROPRIETARY RIGHTS, COURSE OF DEALING OR COURSE OF
PERFORMANCE. FXDD DISCLAIMS ANY WARRANTIES, EXPRESSED OR IMPLIED REGARDING: (I) THE SECURITY,
ACCURACY, RELIABILITY, TIMELINESS AND PERFORMANCE OF THE SITE, CONTENT, PLATFORM, AND SERVICES;
AND (II) THE SITE, PLATFORM AND SERVICES WILL BE UNINTERRUPTED, ERROR-FREE OR THAT ANY ERRORS
WILL BE CORRECTED; AND (III) REGARDING THE PERFORMANCE OF OR ACCURACY, QUALITY, CURRENCY,
COMPLETENESS OR USEFULNESS OF ANY INFORMATION PROVIDED BY THE SITE, PLATFORM AND SERVICES.
FXDD will maintain a Binary Options site, through which Customer will be required to trade. However, although the
Customerʼs account balance can be viewed on the Binary Options site, Customer must view the account balance and
equity through the MetaTrader 4 platform, as this will display the Customerʼs statement of record. (In addition,
please note that Spot Forex prices listed on MetaTrader 4 may be different than Spot Forex prices listed through the
Binary Options site. You must rely on the Spot Forex prices listed on the Binary Options site when trading Binary
Options.
PLEASE NOTE: In order to trade Spot Forex or Binary Options, Customer must maintain a sufficient balance in
Customerʼs trading account. Spot Forex trades generally require a certain amount of margin which must be available
in the trading account, and cannot be used for other purposes. Binary Options trading generally result in debits and
credits to the trading account. If Customer has an open Spot Forex position, Customer should carefully monitor
Customerʼs required margin, because if Customer purchases one or more Binary Options for an amount or amounts
equal to or greater than the excess margin in the trading account, Customer may trigger a liquidation of Customerʼs
open Spot Forex position(s).
6. CUSTOMERʼS REPRESENTATIONS, WARRANTIES AND ACKNOWLEDGEMENTS
6.1 As of the date hereof, and until Customer or FXDD terminates the Agreement (notwithstanding those provisions
which survive termination), Customer represents and warrants the following to FXDD and agrees to the following for
the benefit of FXDD.
a) Execution and delivery of this Rider and performance of all obligations contemplated under this Rider have been
duly authorized by Customer.
10. TRADING
(a) Authorization to Trade for Customerʼs Account. Customer authorizes FXDD to purchase and sell Binary
Options trades for the Customerʼs Account in accordance with Customerʼs electronic received through the Binary
Options site. IMPORTANT: NO TELEPHONE OR E-MAIL ORDERS WILL BE AVAILABLE TO CUSTOMERS.
(b) Pricing Information. FXDD will post the pricing information on Binary Options only on the Binary Options
site. No pricing information will be available via telephone or e-mail.
Each Binary Options price posted shall be for a single financial instrument at a particular payout for a particular date
or date and time. FXDD makes no warranty expressed or implied that Binary Options prices and payout amounts
shown represent prevailing prices in the interbank market.
FXDD RISK DISCLOSURE STATEMENT
FXDD will liquidate under margined Customer positions. If a client has both open Forex positions and Binary Options
positions, FXDD will liquidate customer positions when the clientʼs equity reaches or drops below the margin level
required to maintain open Forex positions.
FXDD may decide to stop offering the Binary Options products. If FXDD stops offering Binary Options, FXDD will
permit any unexpired customer trades to run their course, but customers will be unable to open any new trades.
No customer orders for Binary Options will be taken via e-mail or telephone.
FXDD TRADING RULES AND REGULATIONS
No telephone or e-mail orders will be taken for Binary Options positions trading.
