You will win or be in the money if your prediction is correct, or you will lose everything. There are no surprises. All a trader needs to do is make a decision about how the rate will change. Will the underlying asset go up or down before or on the expiry time?

Binaries are one of the fastest growing trading products today. They are considered a mass market product that provides trading with flexible options and without the complexities involved in traditional trading. If you are looking for a short term speculation or trying to advance your portfolio, binaries can be perfect for that high payout you are seeking.

You can contract on a variety of assets. This includes stocks, currencies, commodities or market indices. If you predict correctly at the time of expiration, you will be in the money. However, if your prediction falls short you will lose your entire investment.

Binaries or digital options have a payoff that is based on the price of the asset when the contract expires. There is a fixed rate and the expiry time is a set time. You will know exactly what you win or lose. You make that distinction at the time of prediction. Find a platform that gives you higher returns; there are platforms that payout at 85% plus your investment. If you place a "call" of $100 that an underlying asset will raise within one hour, and you are correct; you will gain $185. A miscalculation will lose you the $100 you initially placed on the asset.