4 Careers Binary Options Traders Can Excel At
Before I got interested in binary options trading, I was a Forex trader. I actually still trade both Forex and binary options to this day, and occasionally I deal in other markets as well.
When I first became interested in currency trading years ago, I initially made the assumption that I was getting into a niche that was highly specific and which would require very specialized skill sets as a result. So I was very surprised when I noticed that a lot of other Forex traders were using the systems they had developed for currency trading to trade other assets as well. And then of course I stumbled upon binary options, and I found that many of the strategies I had been using for FX transferred right over.
In the years since, I have found so many connections between binary options trading and other occupations. Actually, technically the skills that you develop as a binary options trader can be applied to pretty much any area of life that you choose. But there are definitely some applications which are more direct than others. So I want to tell you about a number of different career options which you could excel at using the skills you have developed trading binary options.
Four Jobs Binary Options Traders May Do Well At
1. Trading Forex
While I discovered binary options trading through my experiences with FX, I figure that most traders who are reading this article are coming from the exact opposite direction. You may have been trading binary options for some time now, but you may not have any experience whatsoever with Forex trading.
Outside of binary options, this is still the form of trading that I am most experienced with. I found it to be an incredibly easy transition from FX to binary options, and I think the transition in the opposite direction would be just as simple.
You would probably need to modify the system that you are using right now to trade FX, but the alterations you need to make may be quite minor. Here are some of the differences between trading binary options and trading Forex:
- FX trading interfaces are a little more complicated. On most binary options platforms, you literally just click on “High” or “Low” to place a trade. You put in the amount you are willing to stake, and then you wait until the time expires and the trade wins or loses. With Forex, submitting an order is usually a little more involved than that, which takes some getting used to. But if you ever trade on Nadex (currently our top recommended binary options broker), you will actually be using a very similar ticket system. Once you have traded binary options on Nadex, you should find FX tickets very approachable. Read more on this topic here.
In my opinion, the best benefit of FX over binary options trading is the fact that you have complete control over when you enter and exit your trades. If you see a setup, you simply place a buy or sell order. You can even set up an order to trigger automatically if a certain set of criteria are met. You do not need to wait for a certain expiry time to exit the trade. If you want to get out, you simply get out. You can stay in as long as you want or you can set up a stop-loss to control your risk. With binary options trading, you are often stuck with a limited number of trade opportunities which your broker chooses to present you with. You may also not be able to exit early if you need to.
Trade types on FX are more restricted. One of the biggest disadvantages of FX over binary options trading is the fact that all you can really do is buy or sell. Binary options trading gives you all kinds of cool trade types. So if you rely on Boundary trading to make most of your money in binary options for example, you might need to learn an entirely new system to profit with Forex.
Obviously you can only trade currencies. Another difference (and drawback) with Forex is the fact that you can only trade currencies and no other assets.
The broker options are on the whole much better. One thing I will say is that it is definitely easier to find a reputable and trustworthy FX broker than it is to find one for binary options trading. FX is a far more established industry.
One lesson which you hopefully have learned from trading binary options is the fact that the strategies that you come up with can apply across a broad range of markets. So you may as well take advantage and expand your trading opportunities if you have the time and psychological resources to balance both binary options and Forex trading.
2. Trading futures, stocks, CFDs or pretty much anything else you can think of.
Since most of my trading experience is confined to binary options and Forex, I will not discuss other types of trading in as much detail. But I will say that you should consider trading futures, stocks, CFDs, and other assets. I have encountered a number of professional traders who have greatly diversified their activities and found that their trading systems work well across the board with just a few simple changes.
The big challenge with trading this way is that you have a great deal to keep track of on an ongoing basis. For many traders, this may become overwhelming, and you may have a difficult time pulling yourself out of one trading mode and reminding yourself of the different procedures and rules for another type of trade.
One great tip for avoiding that problem is to actually write down all of your trade procedures. Yes, you may feel like you know this stuff inside and out since you have done it a hundred times, but that carries its own peril. When you are used to executing a trade without thinking about what you are actually doing on the platform itself, you may find yourself carrying out the same actions through muscle memory when you go to trade on another platform. Some of those steps simply will not carry over, but you may find yourself making stupid mistakes just the same. If you use a written checklist for each type of trade, you are less likely to screw up.
The upshot is that your trading opportunities compound greatly this way. If you cannot find any acceptable binary options trades to place on a given day, you might find a suitable Forex trade or an exciting opportunity in the stock market. This is a great way to stay active with your trading without compromising on the quality of your setups.
3. Betting on sports.
There is a very large crossover between the population of people that trade binary options and other assets and those who gamble on sports and casino games. Many people assume that this is because a lot of traders are gambling outright, treating binary options like a complete game of chance. While this may be the case for the majority of traders, the minority who take trading seriously can also excel in a field like sports betting if they approach it with the same level of dedication.
Sports betting is obviously very different from trading binary options, and does require knowledge and skills which you may not possess yet. But the two have a great deal in common as well, for example:
Both can be played as games of luck or a combination of luck and skill. While the vast majority of binary options traders do nothing to give themselves a real edge, the few that do know that the skills that they develop can be enough to turn binary options trading into a viable profession. The same applies with sports betting. The majority of punters are casual gamblers only, but the few who put in the extra work discover that they can make a living at it.
You need systems and strategies to succeed with both. While you clearly will need a completely different strategy to succeed with sports betting than you use to trade binary options, the experience you have developing and testing binary option systems will help you to do the same with sports betting systems. As you probably have already discovered, the process itself is often more of a challenge than anything. Experience with that process already gives you a considerable edge.
Those systems are subject to similar limitations. As a binary options trader, you have discovered that your systems regularly need to be adapted to new market scenarios. That goes for sports betting as well. Since you are used to this process, it will be easier for you.
The same money management skills you develop as a binary trader can apply equally well with sports betting. You probably can even use the same money management system that you do for trading in sports betting. I usually recommend that you wager the same percentage of your bankroll on every trade that you make. You can do that with betting as well. This is a predictable way to control your risk without tempting yourself into sub-par setups.
Trader psychology translates perfectly into sports betting. Everything that you have learned when it comes to clear thinking and controlling your emotions (and more importantly, your response to your emotions) from trading applies equally well to sports betting.
Branching out into sports betting obviously is a much bigger transition than trading in other markets, but if you treat it like an investment, you may find that your adaptability combined with the skills that you have already developed offers you a formidable edge.
4. Playing poker or advantage blackjack.
As you might guess, there are also games in the casino which you may do well at given your experience with trading. While many casino games (such as slot machines and roulette) force you to rely completely on luck, there are other games which you can play that involve skill. If you have enough of an edge, you can learn how to win them consistently. Examples include poker and blackjack if you can count cards.
What is the connection with trading? Just go back up and reread the list that I related pertaining to sports betting. Most of the same points apply to casino games. With games like poker or blackjack, you need a system in order to win, and you need the money management skills to preserve your bankroll. You also need the right mindset to control your emotions and make smart, consistent, logical decisions.
So if you are becoming a skillful binary options trader, there are actually a number of doors which are open to you which you may not have thought about before. There is no reason to confine yourself to doing just one thing very well if you can take the same skills and apply them to other profitable pursuits. Just make sure that you do not take on more than you can handle. Any one of these activities is very time-consuming and requires great focus and perseverance to become an expert with. Good luck!