When we think of earning a huge amount of money within a short period, the first thing that strikes our minds is the lottery or gambling. Many of us may not know how gambling works, yet we all must be aware that it is illegal in various regions. We must have heard about its addictive nature as well. Moreover, nowadays, even online gambling apps are also available.
But, we must be aware that there is a safe and legal way to earn money and increase wealth as well. That is trading!
Gambling is a term that has become synonymous with trading nowadays. We can often hear people talking about binary trading as a form of gambling. As a result, people even view binary trading brokers like IQ Option also as gambling agents. So let’s find out: Is trading with IQ Option a gamble or not?
What you will read in this Post
(Risk warning: You capital can be at risk)
Is IQ Option a gamble?
IQ Option is a service provider for binary options. It is financial contracts that involve a yes or no proposition. In binary, the trader has to predict the outcomes as to whether the price will increase or decrease in either yes or no only. The right prediction will give you returns, whereas a wrong prediction will lead to a total loss.
This nature might make it similar to gambling, but you must know that highly intelligent decisions are required while trading on IQ Option. Unlike gambling, here, you cannot depend on pure luck. IQ Option binary trades are highly risky, but using suitable strategies and techniques can reduce the risk.
IQ Option is a binary trading broker, and in binary trading, risks are inseparable, and they shall be present to some extent. So, if someone trades blindly without any planning and strategy, we can call it a gamble. However, just because of that, we must not assert that the platform aims at gambling.
| IQ Option: | Gambling: |
|---|---|
| Place money on Yes or No | Place money on Yes or No |
| You need to make intelligent decisions to make a forecast | Intelligent decisions will not help you at all |
| Strategies can make you win | Strategies will not help you to win. In the end, you will lose. |
| You do not need luck | You need luck |
What does gambling signify?
Before concluding the question of whether trading in IQ Options is a gamble, let us know what gambling means.
In simple terms, gambling signifies taking part in any activity or a game that promises unimaginable returns. However, gambling also requires you to risk money or a valuable object to win that huge return.
It is essentially an investment activity that provides a blind hope of huge returns to the people. It includes a high risk of losing all that a person invests. Maybe that is why it is compared with binary trading also. However, in gambling, people bet on the assets shown to them. They bet blindly, believing their luck and intuitions in the hope of getting massive returns.
The main point a trader must note regarding gambling is that there is no analysis involved. People gamble without any planning and just test their luck through blind betting.
(Risk warning: You capital can be at risk)
What is the difference between gambling and IQ Option?
With the help of trading, we can invest our money by selling or buying assets that could increase in its value. Trading offers numerous opportunities to fulfill the dream of getting rich. Especially with the takeover of binary options, we can trade in many assets with just a few clicks and scrolls on our laptop.
The popularity of binary options trading has surely created a rivalry, due to which rumors and gossips are a part of that.
If we consider IQ Option and gambling closely, we can view the following factors that indicate a visible difference between the two.
Gambling is an activity involving money wagering without any planning and strategizing. On the contrary, IQ Option involves investing the money wisely as per the chosen plan to win trades.
Gambling and IQ Option trading are both risky, but there is no scope for risk management with gambling. At the same time, IQ Option offers strategies and tools along with other features to reduce trading risks significantly.
Gambling depends entirely on the fate of the gambler. In comparison, IQ Option binary trading depends on a wise analysis of market trends and technical indicators. The winning of trades depends on the planning essentially.
Where the outcome in gambling is unpredicted, statistical analysis and probabilities allow for an intelligent prediction in trading. Often such predictions come true as well.
(Risk warning: You capital can be at risk)
Tips to avoid gambling in IQ Option
Gambling or no gambling while binary options trading purely depends on how the trader uses the platform. However, for a novice trader, the following tips can help avoid gambling while using IQ Option.
- Trade for assets that are prevalent in the market and are actual assets.
- Before beginning a trade, ensure that you have a sound strategy that is market-specific.
- Develop a sound understanding of the technical indicators and market trends.
- Analyze the market thoroughly and then make a wise decision
- Be vigilant while making the trades.
Conclusion: IQ Option can not be compared to gambling
The term gambling can often confuse people, and they may think that trading also comes under that. We cannot say that IQ Option trading is gambling per se. In binary options trading, one needs to strategize and plan to make a wise decision. Then only winning trades is possible.
Gambling lacks such a step. However, if you start trading blindly without any solid approach, it may also become like gambling, as the results will purely depend on your fate.
(Risk warning: You capital can be at risk)
