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Before you can realistically expect to make money with binary options, you have to have an understanding of exactly what the instrument is and how the payoff structure works. We have explained binary options in a separate post. When trading binary options, you are in essence trading an asset that has a value that is derived from another asset ...
Can you really make money trading binary options?
Make Money with Binary Options Trading. To start, let’s be clear: you can make money binary options trading.It’s definitely possible to generate a consistent profit. Smart traders do it every day, executing binaries in everything from oil and gold to stocks and currency pairs.. The question is, is it as easy to make money as a lot of websites claim?
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If you elect to report FOREX income under IRC S.1256, 60 percent of the income is treated as a long-term capital gain and taxed at a lower rate than ordinary income. The remaining 40 percent is considered ordinary income. If you make a profit trading FOREX in the coming year, IRC S.1256 tax reporting will result in a lower tax rate.
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This means you can expect to make an average of 40% a year. How much do you need to get started on Forex Trading? While there are brokers which don’t need you to deposit a minimum amount to get started with Forex trading… I usually recommend newbies to start with at least $500. I’ll explain. This is how the math works out (on most brokers):
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