Forex Trading Vs Binary Options Trading Which One is Better

What is goodie, my people? We're back again with another gem. Now you guys have seen the title. If you're new here, hit that subscribe button because we do have bangers coming out all the time. I always be trying to put y'all into game or give y'all your minds. Why is my cat just making all this noise? I'm just trying to do my— y'all hear him? Give me a sec, I'll be right back. All right, like I was saying, um, what was I saying? Oh, if you're new here, hit that subscribe button, I'm saying, because I always be dropping y'all some gems. I'll be dropping gems, you know what I'm saying? But you read the title, and today I'm going to be talking about which trading style or which way of trading is better, either Forex or binary options slash Asian FX trading, whatever you want to call it. Now keep in mind, I've done both of these and I've been profitable on both of them, and overall it's honestly going to be completely up to you. So be up to your trading style, your personality, your patience level. But in this video, I'm going to go over the pros and cons of both of them, and after the video, I'll give what I, um, think is the best one personally. And also, when I go through it, let me know in the comments down below what you guys think is the best one, even if it's for you or just overall. Just let me know in the comments down below. We have conversations, man. I'll be replying to your comments, I'll be hearting your comments. So talk to me in the comments down below. All right, so boom, before we get into it, I'm going to show you guys or kind of tell you guys what binary options is or forex is if you do not know what each of them is. Just a quick little example, um, actually I made a binary options video literally yesterday. I put it up, um, actually no I put it up a couple days ago. But it was my most recent upload before this one. I did a whole strategy on binary options, so if you're interested in binary options and want a strategy that's profitable, go watch that video, check out the strategy, let me know if you guys like it. I have cat hair in my eye right now and it's starting to burn. Okay, so what is binary options? Binary options is technically, let's say you have a currency that you're trading. Let's say you're trading EUR/USD, right? Basically, binary options, it's very, very, very simple. It's either at a certain price, so let's say price is at $1, right? This is just an example. Price is at $1, your, your steed, the number is $1. You think in 5 minutes, 2 minutes, 3 minutes, 1 minute, 10 minutes, whatever number you choose, whatever timeframe you choose, you think after that time expires, the price will either be below $1 or above $1. So let's say I'm looking at a chart for binary options. So I'm like, okay, the price is all the way at $1, right? I think within 5 minutes it's gonna drop below $1. I would click sell. Therefore, if I win that trade, I would then win money. Or if the trade goes my favor, I would win money. Versus, and you're always gonna win a certain amount of money. You're just placing a bet. Let's say if I put a $100 bet, right, with an 80% reward, I would make $80 on that trade. I would bet that $100, and when I win it, they would pay me $80 on top of giving me my $100 back. Versus if you lose it, you're only gonna lose whatever you bet. So let's say you bet $100, you're only gonna lose $100. Now that's different with forex. Now you could be trading the same exact currencies on binary options or forex. The only difference is kind of the payout, um, or how the whole trading system works. Um, with Forex, it's more so you're trying to catch a certain amount of movement, and the more movement you catch, the more you get paid. In binary options, no matter how far up or down it goes, you gotta get paid the same or you're gonna lose the same, no matter how far up or how far down it goes. Versus Forex, the more the price moves in each direction depends on how much you're going to lose or win in that trade. So let's say that same example, we're betting EUR/USD. Your USD is at $1 right now, or $1.000, whatever it is, right? And I'm looking at the technical analysis, I'm reading the charts, everything like that, and I think it's going to go all the way up to $1.25, right? So I'm going to place a buy order at the $1 mark, or wherever it's at, and hope it goes in my favor of going to $1.25. And that would— let's just say that's 25 pips, right? That's 25. If you don't know what pips are, watch my video I made a little while ago kind of explaining forex and stuff like that. But the amount you get paid and the amount you lose is all based off how much it moves. It's not a certain amount of time you're locked in the trade. You're not locked in the trade for an hour, 2 hours, 3 days. You can hold trades for as long as you want. There's people that hold it for a couple minutes, couple hours, couple days, couple weeks. Some people hold it for a couple months too. It's really all up to you, but it's all in the act of catching as much pips as possible and not losing pips. So I hope that was a nice quick example or breakdown of both of them. Now I'm gonna get into the pros and cons of each of them. So let's start binary options. Um, as far as brokers-wise, regulated brokers I should say, if you're in the US, forex has a lot more regulated brokers. And when you say regular, there's regulated brokers and there's unregulated brokers. Regulated brokers are obviously safer because they're more regulated. The brokers are not gonna run off with your money versus unregulated ones. They probably won't run off with your money, but there is a chance that they can just because the fact they're unregulated. But forex has a lot more regulated brokers inside the US versus HFX or binary options, however you call it. I personally know of one regulated one in the United States. There are a bunch of offshore ones, of course, that's what most people use, but regulated brokers in the United States, I only know of one. So if that's a big problem for you, you're probably not gonna want to be involved in binary options. But on the other hand, The learning curve with binary options versus forex is actually— it's a huge gap in it because binary options is very, very, very simple. Like I explained in the beginning, all you're really doing is predicting if the price is going to close above a certain number or below a certain number in a set amount of time. So you only really need to have a good strategy, and most of the time binary options is very, very quick. You're in trades for 1 minute, 3 minutes, 5 minutes, 10 minutes. It's never you're in it for like an hour, 3 days, whatever it is. It's usually really, really fast money. So if you're able to predict small price movements, binary options can work for you versus Forex is a lot more complicated. You have to know all the candlestick patterns. You have to know, um, all types of technical analysis, Fibonacci. You have to know all this different type of stuff. You have to follow fundamental news. You have to just do a bunch more stuff with Forex versus binary options. Um, so if you're a beginner, um, like I said, this is all just— I'm just recommending, not saying I'm not financial advisor, we're just friends, not saying. But, um, binary options is a lot easier to learn off rip. Um, personally, I believe that Forex is a little more complicated, but it's still not super, super complicated where a new person cannot learn it. Like, they have to go through binary options to learn Forex. You can jump straight to learning Forex, or you can just stick with binary options, whichever one It's really up to you, like I said. Another great thing I love about binary options is that it's a lot less stressful. Now, if you've traded before, right, I'll speak from example. Well, I can speak for a lot of examples. I know a lot of people that trade. It can be a very stressful kind of thing. Not even stressful where it's like you just, I don't know, it's like you always looking at your phone. Let's say you place a trade and you just steady looking at your phone. I place a trade on Forex, let's say, And I'm always looking at my phone, okay, where's price doing right now? Every 2 seconds I'm looking at my phone, what is price doing? I'm stressing, I'm sweating, all this same type of stuff. Binary options is good for the fact that you only stress for a short amount of time, you know what I'm saying? Like I was saying, it could be 1 minute, 5 minutes, 3 minutes, whatever it is, you're only stressing about the trade, win or lose, no matter what it is, you're only stressing about that trade for like whatever that small timeframe is. Most people don't go above 10 minutes, so you're only stressing about trade trade for 10 minutes. Whereas Forex, I could be stressing all day. I'm not even gonna hold you guys, um, it is a whole psychological game. Once you get better at your psychology, then it's better. But especially starting off, you're looking at your trade, let's say your trade is in the negative, $10, $100, $1,000, whatever it is, you're just stressing that whole entire time. Let's say you're holding this trade for hours and hours, your whole day you're stressing about a single trade. Versus binary options, it's kind of, you go into a trade, you win it, you lose it, no matter what it is. You could have been stressing that whole 5 minutes, but it was 5 minutes. So overall, binary options is a lot quicker. It's, it's very fast-paced. If you're somebody who's very impatient and don't want to wait 3, 4, 5 hours for your trade to go into profit or reach the take profit with forex, binary options might be for you. Just due to the fact, like I said, you can be in a trade for 1 minute, 5 minutes, 20 minutes. You can put a $100 bet, you can make $80 in 1 minute if you wanted to, or you can make $1,000 in 2 minutes if you want. Like, it's really all up to you. Everything is super, super, super fast. Fast-paced. But on the other hand, binary options is a lot harder to, um, manage your risk because no matter what in binary options, you're not gonna make more than you put into it. So let's say I place a $100 bet, I'm not gonna make $500 off of the one bet. I'm only gonna make a certain percentage. The percentages can range from 95 down to 50, 40, 40, whatever it is, but you're not gonna double your account in one single trade. Um, now you can make the 80%. Let's say you put in a trade for $100, you make 80% off of it, you're gonna make $80 on top of your trade, but you're not going to make more than that $100 if you place a $100 bet. So this can end up becoming a problem if you're not profitable more than 50%. You have to have a win rate of higher than 50% for you to be profitable. Just due to the fact that you have to win more than you lose. And that's a problem that I have with binary options. You have a great strategy, you can have great whatever, but if you don't win more than you lose, you're not gonna be profitable. You could win 20 trades and lose 20 trades and be break-even. Actually, you technically have less money because you're never getting paid 100%. You're never getting $100 on top of your $100. You're always getting $80 on top of your $100. So by the time you do 20 trades and you lose lose 10 trades and you win 10 trades, you lost money. So you need to have higher than a 50% win rate for you to be profitable in binary options versus Forex. You can really manage your risk a lot better. You can have a 3:1 risk-reward— can I speak please English? Sometimes it doesn't want to work for me. Just, just don't mind that. But you can have a 3:1 risk-to-reward ratio where you can lose 10 trades But if your risk-to-reward ratio is like a 4:1 or 3:1, you can lose 2 trades in a row, win 1 trade, and you'll still be profitable. So that's what I love about Forex. I feel like in the long term, Forex is a— it's a lot easier to be profitable in, especially if you're not the freaking wizard of predicting every single price movement or predicting every single trade. Forex is definitely a lot easier to be profitable in. Another great thing about Forex, um, I know I said before that you're kind of stressing about your trade for the entire day, whatever like that, but you're not actually there working on that trade versus binary options. You're looking at a chart for hours and hours trying to find the right setup. You have to be sitting there right in front of your computer waiting for the right trade to hit it. It's more— it's a lot more hands-on versus Forex. You can go inside the morning times. This is what I'll do. I'll go in the morning times, I'll find a trade, I'll be like, okay, if the price comes right here it's probably going to go in this direction. So I'll set an automatic buy order or sell or whatever it is where when a price reaches a certain point, it's automatically going to get me into the trade. So I can just go in the morning time, set up my charts for about an hour, put in my automatic, my automatic placement, my automatic bets, buy, sells, whatever it is, and go on with my day. And if price hits that target, it'll automatically get me in the trade. Now, you might not win every single one, you might lose some, but you're not sitting there in front of your computer for hours and hours and hours It's a lot less hands-on, a lot less time spent sitting right here in front of the screen waiting for a setup. Your eyes start to bleed, your body is sweating balls. Sweating balls? I don't even know what I be saying sometimes. I ain't even gonna hold y'all. But with Forex, you have a lot more flexibility, especially if you have a day job or something like that. With binary options, you really have to sit in front of your desk. So if you work at McDonald's or something like that, you flipping burgers, You can't be there looking on your phone and flipping the burgers and all that different type stuff. Where Forex, you can wake up 30 minutes earlier, set up your charts, everything like that, set up your orders for when price hits a certain point on the chart, it'll all make you, get you in there. So while you flipping burgers, you know what I'm saying, you in an order, I mean you in a trade and now your trade is making you $500 and you're at Burger King working for $15 an hour, whatever it is, it's a lot less hands-on. So you have more flexibility throughout the day. But for me personally, honestly, I feel like in this video I kind of went back and forth I feel like in the beginning of the video I was saying binary options was better, then towards the end I was saying Forex was better. For me personally, I love Forex a lot more than binary options just due to the fact that in the long term I feel like it's a lot more profitable, um, just due to the fact that you don't have to win every trade. You only have to win 50% of your trades to be profitable. I gave you guys an example. If you have a 3:1 risk-reward— can I— I can't say these words. What, what's wrong with me? If you have a 3-to-1 reward— reward— cannot— risk-to-reward— reward— why can I not say reward? Reward— risk-to-reward ratio. If you have a 3-to-1 risk-to-reward— if you win 3 out of 1 trades— now, if you— what am I saying now, bro? I can't even do this. If you have a 3 2:1 risk-to-reward ratio, then you can lose 2 trades. If you win the 1 trade, you're still gonna be profitable. Whereas binary options, you have to technically win 2 trades for you to be profitable. If you lose 1, you can't win 1 trade then lose 1 trade because you're automatically in the negative. Because like I told you guys before, you're never getting paid 100%. You're never getting paid what you bet it. You're getting paid a little bit less. Therefore, you have to win 2 trades to make up for 1 trade, if that makes sense. So overall, for me personally, my trading style, my patience level, my discipline level, I enjoy Forex a lot more. I also think it's a lot easier now that I'm thinking about it because it might not be as easy to predict certain price movements. Well, I think it's just as difficult to predict price movements with HFX trading versus forex trading. But I feel like I'm a lot more flexible with forex trading versus binary options. Just sell and buy. I can lose $80 or I can win $60, whatever it is. Versus forex, I can win $100 or I can win $5 or $10, or I can lose $100 or I can lose $5 or $3. Whatever it is, I choose how much I'm going to lose I choose how much I'm also going to make, so to say. The market kind of chooses it, but I also have a say in it, sort of, kind of. But let me know in the comments down below what you guys personally enjoy more. I, I haven't even made any forex videos on this channel except for reading charts. If you guys want to make some forex videos showing you guys my strategy that's been working for me for a while now, um, let me know in the comments down below. If you guys have any other suggestions, the type of videos you guys want me to do, leave it in the comments down below. I should make a forex for 24, or trading forex for 24 hours video, huh? Yeah, or a week, because it's kind of hard to do in 24 hours because there's only so many setups you can get in one day. Okay, I'll do— if you guys like the video, man, if we reach a million likes— I'm just playing. Just like the video and let me know in the comments down below that you guys want more forex videos. Let me know what type of videos you guys want, whether it be technical analysis videos, candlestick videos, um, strategies, um, live breakdowns of charts live. If you guys want me to make some live bets or live trades like maybe in the morning times, wherever like that, and just stream while I'm making these trades. We just chop it up, talk it up, and y'all can get in the trades with me. Let me know in the comments down below. Make sure you like up the video. If you're new here, like I said, hit that subscribe button because I'm dropping gems for y'all, man. We got business gems, trading gems, stocks gems, crypto gems, gems, personal development gems. I'll be dropping book suggestion gems. If you a trader, get this book. You can't even see it. You can't— book, Trading in the Zone. Get this, man. If you're a trader, read this book. That's a little gem for y'all, a little free, free on the side, man. But, um, yeah, I'm gonna see y'all next video. Stay safe. Good luck on all your trades. Good luck on all your stocks. Good luck on everything you're doing in life. I hope you prosper, succeed, and make sure you give me some of your money when you're rich.