How to Trade with IQ Option in 2021
Started in 2013, IQ Option has become a leading forex and CFD trading broker over the years. The platform is preferred by a huge number of traders due to its wide range of assets, intuitive interface, convenient trading apps, and great customer service. IQ Option clients are provided with the access to an array of technical analysis tools, an in-platform market news feed, and free educational resources for a better trading performance.
- Minimum Deposit: Real a/c- $10, VIP a/c- $1900
- Maximum Leverage: Stocks- x 10, Forex- x 500, Crypto- x 5 (T&Cs apply)
- Maximum Return: Up to 95% for Binary Options *
- Tradable Assets: Stocks- 433, Forex- 27 pairs, Crypto- 15
- Regulated by: CySEC (IQ Option Europe Ltd, Cyprus). IQ Option Ltd (Seychelles) is not regulated.
- Demo Account: Yes
Note: Your capital is at risk
Details about Buy and Sell (Call/Put)
Binary options are the easiest financial instrument in the world because with these, traders can gain profits from price movements across the markets all around the world. There are only two types of transactions that can be made with binary options. They are “Call” and “Put”. At IQ Option, you can make investments starting from $1 only. The rate of return can be adjusted so a defined percentage will return to the trader’s account during losing trades.
Call is the option for rising prices. If you think that the price is likely to go up, choose the Call option. Put is the opposite; it is the option for falling prices. You can buy this option when you think that the price is about to decrease. However, if the chart shows that the price is neither rising nor falling, it indicates a “Neutral trend”. In this case, the best option is to hold off on buying the option. You should consider a different asset to invest in.
It is recommended to not invest more than 1% of your capital on a single option. This way, it is easier to manage your investments without losing your money. If 60% of your transactions end up in the money, then you will be profitable consistently, and you can increase your investment amount gradually. You need to use technical and fundamental market analysis to improve the quality of your results. Moreover, it is a good option to use different asset classes. If currency pairs are not giving you results, try stock indices. IQ Option offers more than 70 types of assets, including Google, Amazon, and Facebook. You may also sign up for IQ Option’s free trading webinars, where you can learn how to choose a trading strategy, how to analyse trends, and more.
IQ Option Trading Interface
IQ Option offers a convenient and useful trading platform to make trading easier for both novice and advanced traders. The trading interface features of IQ Option include
- Expiration time: It is the time remaining until the expiration of the option. After expiry, you can know if the trade was successful or not.
- Expected profit: This is the amount the trader makes if the trade is successful.
- Profit and share: This feature allows the trader to exit before the trade expires. So, if you feel that you may lose the trade if you stay until expiry, you can exit beforehand with your profits. You have to click the sell button to take the profit.
IQ Option Trading Instruments
IQ Option offers a wide variety of trading instruments, including
- Options: Binary, digital, and FX options
- Forex: Popular major, minor and exotic pairs, including EUR/USD, GBP/CAD, and more
- Cryptocurrency: Crypto assets including Bitcoin, Bitcoin Cash, Ripple, etc.
- Stocks: More than fifty stocks from the most renowned companies from different sectors across the world
- ETFs: Baskets of assets for traders to diversify their portfolios
- Commodities: Oil, gold, silver, and more
How to Open IQ Option Demo Account
It is quite easy to open a demo account on IQ Option. All you need to do is simply go through a quick registration. It may take a few seconds or a minute. After that, you can have it have it credited with 1,000 virtual dollars to trade and test your trading strategies and the platform. Follow these steps to get your demo account at IQ Option
- Open the account: Visit the official IQ Option website and click on “Sign Up” or “Get Started for Free”. You need to enter your email and select a password in the two white boxes. After that, confirm by clicking the button “Open an Account for Free”. You will be redirected to the trading platform automatically. While this page is loading go to your email and verify your account by clicking the confirmation link.
- Risks disclosure: In order to use the trading platform, you have to confirm that you acknowledge the risks of trading binary options and know that it does not guarantee profits. However, it is not a big deal when you are trading on the demo account as it involves no risk. Check the box of “I have read and understood the risks” and then click on the button “Start Trading”.
- Select a demo account: In the next window, you have to choose if you want to trade on a demo account or on a real account. Select the button on the left to choose a demo account and start trading for practice.
How to Open IQ Option Real Account
The steps to open the real account are same as the demo account. The only difference is that you need to choose the real account after confirming acknowledging the risks. Once you select the real account, you have to fill up the account with real funds. The minimum deposit for IQ Option real account is $10.
IQ Option Trading Tips
When you are trading, keep these tips in mind as it would make trading easier and safer for you
Do not risk more than you can afford
Successful traders have a little bucket of risk capital while they save the big bucket of money for the retirement or another long-term goal. Big bucket money is intended to be invested in longer-duration positions more conservatively. You can use this money for a day trade occasionally, but the odds must be very high in your favour.
You need to understand that even successful day traders do not trade every day, let alone winning trades regularly. They indeed remain in the market and stick to the computer, but do not execute a trade every day if they do not see any opportunity meeting their criteria. Waiting for the right opportunity is a lot better than going against your best judgement just to do something. Plan your trades before trading your plan.
As mentioned in the previous point, you must stick to the trading plan you set. Impulsive behaviour is the worst enemy of a trader and individuals trading on their own succumb to it the most. If you become too greedy, you may end up investing in trades that are not even promising. Never expect that you will get rich from a single trade. Be disciplined and trade in an organized manner.
Grab the opportunity
Just like you should not act until an opportunity appears, you should also be fast and grab it before you miss it. Many traders, especially novice day traders often get too caught up in watching the charts and indicators on the screen that they do not act fast enough when the opportunity presents itself. If you are being disciplined about your trading plan, it is better to automate placing the order.
Do not risk too much on a single trade
Before you start trading, it is a great option to set a percentage of your total day trading budget. According to how much money you have in your account, it can be anywhere from 2% to 10%. Make sure that you do not allow the size of your position to exceed it. Risking too much capital on one trade may cause you missing out on an even better opportunity in the future. Moreover, if you lose the trade after investing all your capital on it, you may end up losing all your money.
Learn from experience
Remember that traders experience losses daily. So, when an occasional trade does not go your way, do not succumb to frustration. However, make sure to follow your rules-based strategy and do not get in or out of the trade at the wrong time.
While IQ Option offers a safe and convenient space for trading, you should not forget that risks are always involved with trading. So, follow the guides and tutorials provided by the broker and learn trading and risk management well before you start trading. If you are a novice trader, always test practice your trading strategies with a demo account before you go live.
Note: Your capital is at risk
There is no particular time that can be considered as best when it comes to trading. However, if you are trading binary options, you should trade during the time when there is low volatility in the market.
On the left of the IQ Option interface, you can find the feature called trading history. Here, you can see your winning and losing trades during the course of your trading experience.
IQ Option is regulated by CySEC which makes it a reliable broker. The company also offers other safety features like 2-step authentication, take profit and stop-loss orders. So, the broker is definitely a safe place for trading.
As one of the most advanced and efficient binary options and CFD brokers, IQ Option has carved out a reputation for being one of the most reliable brokers in existence. The above article addresses the question “how to use iq option” in a manner suitable for most beginners and novice traders. Additionally, the broker also has dedicated educational resources that aim at educating novice traders on the platform and helping them grasp the numerous trading concepts required.
For more please read IQ Option Review