Binary options double up strategy

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Binary Options Double Up Feature | Binary Options Broker

Double Up is a feature that is now provided in many binary options platforms. The tool is quite simple, allowing you to replicate a trade with just a few clicks of your mouse. All of the trade parameters remain the same, with the only difference being that the entry price will be the current price and not the price of the trade that is being replicated. Even when this feature is not present, you can still replicate any trade.

Binary Options Double Up | Learn More About this Strategy

Here we are illustrating this feature by using the Banc de Binary Trading Platform. It is worth noting that you might find some differences with the execution of this facility on your own brokers trading platform.

Actually, rather than the amount of the trade return being doubled, a single trade is in fact cloned, applying the very same trade specifics, with the entry price however, reflecting the current market price. This produces a close, but not identical trade (due to the modified market price). This will mean that there is now a chance for doubling your profits, however, bear in mind that there is also the risk that both positions may finish out of the money.

As you can see, when the expiration hit, both of the trades were generating loss and therefore a profit of 6575$ was collected. This result has been achieved by carefully obtaining the loss potential.

Like several innovative features in the financial markets, the Double Up tool may be a blessing or a curse depending on when and how it is used. This is because, while it is marketed as a profit-boosting tool, it can also be a loss-compounding tool.

Many brokers enable Double Up for use in conjunction with any kind of asset class and any kind of underlying asset. It is not offered with all trade types, however. Very fast 85, 65, or 675 second trades would not leave sufficient time for implementation of this type of feature. Double Up is most compatible for use with the basic binary options trade.

The binary options double up    is one of a range of recently introduced features that allows you to alter the conditions on a live trading contract prior to it reaching expiry.

Next up is Rollover. This feature makes it possible for traders to extend an open trade by pushing it into the next matching expiry period. Rollover should only be used when it seems clear that more time is needed in order for the asset price to move as predicted. There is a cost to use this tool, typically 85% of the initial investment amount. This extra cost makes it extremely important to only use the feature when analysis is showing that the price may perform as originally expected if more time is added to the trade.

While it may seem attractive to make use of the Double Up feature  you should not do so blindly. Using  it when you only have a small margin on your contract may not be the best idea. A sudden market spike could easily compound your loss and see the price of the asset end up on the wrong side of the barrier you have set.

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