I am new to this, and I am surprised not to see anything about NADEX; NADEX is only open to United States residents/citizens, I don't know any news about them opening it up internationally. NADEX is still a binary options platform that works with commodities, currencies, and other binary options; however it initially appears way more complicated then the other brokers to new traders. nadex.com this stands for North American Derivatives Exchange
It is regulated by the US CFTC
I will give a quick explanation of how it works; I want to add this disclaimer; my advice is what I have noticed in my personal experience and is NOT to be taken in any way as direct trading advice, I may be inaccurate about some things; you can lose all of your investment; USE THE DEMO ACCOUNT TO PRACTICE SO THAT DOESN'T HAPPEN thank you
Okay, so in "traditional" european binary options, you get to pick your time of expiry, which can virtually be any time, and you pick the amount, usually anywhere from 20-1000$ per trade, and you can do 60 seconds through weeks to months.
Okay, now for the NADEX; In the nadex; times of expiry are set throughout different times of the day, example, (3am) (7am) (11am) ect. You also pick the number that you think your currency or commodity will be above or below. There is a large list of numbers, however, effective trades are only possible in numbers that are reasonably close to the current number.
Instead of picking a set amount, ALL trades are done in incriments of $100. However, through every trade, this $100 gets divided by the person who "buy's" the contract and "sells" the contract, also affected by the volume of traders on each side so they won't always appear as 100$.
On NADEX, you can buy when it is "in the money" as well as "out of the money" and you can buy/sell contracts for a partial loss or partial gain before expiry.
Let me make an example it's 12:00am; you see a trade on the AUD/USD. One of the options is 1.60000 at 3am. in this example, say the aud/usd is trading at 1.60245, with a general upward pattern. So, in this case, your choices might look something like this "buy" (the supposedly more "likely" one) RISK 60 to GAIN 40) or SELL (the supposedly less "likely" one) RISK 40 TO GAIN 60.
Is this starting to make sence? this is why, I said in another post, you can technically get more than 100% returns of investment, which is impossible on most european platforms. Now here's the thing. this RISK 40 to GAIN 60 gives an illusion that it has a 40% chance of going in your favor, and 60% of going against your favor. In theory, that should be true, but this tends not to consistently be the case; you need to determine FOR YOURSELF WHAT YOU THINK A TRADE IS WORTH. This makes the NADEX take a LOT more decision making and experience to even understand how to operate then the "traditional" platforms do.
ANOTHER example; It's 2am, you want to trade on the aud/usd; the pattern has no set direction and is in the middle of any high/low points. the option you choose is 1.60000 at 3am, and it is currently running at 1.60000; if there's no deffinent direction and it's not in the money/out of the money, the trade will now resemble something closer to RISK 50 TO GAIN 50 either way ( not exactly that but you get the point) So here's the thing; NADEX does require fees, unlike the "traditional" european brokers DON'T LET THIS SCARE YOU AWAY!!!!!!!!!! This is actually a better deal for you techinally. For each trade the fee is $0.9 to start, and $0.9 at finish, however, second fee doesn't apply if trade is lost. Per-transaction trades stop at 9$ (at this point you are trading very big bucks) Like I say, on a mostly even trade, this means you can easially risk about 50$ to gain $48.2 which is technically over a %96 payout, unheard of on most daily/hourly tradional platforms. Like I say, most trades are NOT that evenly matched, but when you pay more/less per trade, you are generally paying to be in/out of the money.
Anyways; making money on this platform will take clear cut strategies, like all binary options, it is still a risky, vicious market. Here's what you should do if you are curious; for free, you can make a demo account that will give 25,000 of play money for a limited time. Use this demo account to A. learn the platform and everything I tried to explain to you, and B. tweak stratieges. I would NOT reccomend investing in this until you can prove to yourself and others that you can consistently make money on the demo account.
Good luck to you!! Please use this forum to share your own general experiences with NADEX, and any strategies you think seem to work!