The expiration time in binary options trading is the moment when the trade ends. It’s basically the time when you understand whether you have won or lost the trade. Failure to choose an accurate expiration time can make you lose all your invested money.
Once the expiration time is selected, you can wait till the option expires. Then you can know whether you have lost the bet or earned someone’s investment.
Different binary options asset has different expiry times. Therefore, you can understand the binary option’s expiry time by analyzing the market.
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Key elements influencing the Expiration Time
A couple of things like trading news and indicators influence the expiration time. So, before you start trading, read the current financial news to know what’s happening in the options market.
You should also read the binary options charts carefully before selecting an expiration time to avoid costly mistakes.
Types of Expiration Times for Binary Options:
Here are three types of expiration times you can choose from depending on the binary options broker and the trading assets.
Short Expiry Times
It starts from 30 seconds and goes up to 300 seconds. With a short expiry time, you can leave the market in just a few minutes. It is available for limited types of assets.
Medium Expiry Times
This expiration time is available for all types of assets and can last up to a few hours.
Long-term Expiry Times
Long-term expiration times can last until a year. You can choose this expiry time for high/low options.
Types of Expiries:
In binary options trading, there are two types of expiries.
Deadline Expiries
Deadline expiries are the time limit by which a trade ends and your predictions come true. It is mainly used in boundary options and touch options binary trading.
Confirmation Expiries
Confirmation expires is the time limit when a trade ends, and the broker compares actual market performance and the trader’s prediction. It is used in ladder options and High/Low options.
Conclusion
Choosing an accurate expiration time can be daunting. But you can make this process easy by keeping an eye on the news trends. Also, you can learn the basics of binary options trading to manage the expiration time.
Read other important articles in the binary glossary.
