ESMA and Changes in CFD and Binary Options for European Clients

new ESMA regulations trading

What is the ESMA (European Securities and Markets Authority)? 

If you do not know what the ESMA is and you are a CFD trader from Europe, in the next weeks and months, it will sound a lot. Todaw we will explain what is the ESMA and how it will influence European Trading in negative ways.

ESMA is the abbreviation in English of European Securities and Markets Authority.

It is a body of the European Union, whose mission is to protect investors and ensure the integrity, stability and proper functioning of financial markets. It would become like the regulator of regulators.

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Market Punter – Binary Options Broker

Review of the Binary Options Broker Market Punter

Market Punter is a binary options broker founded in 2010 whose head offices are located in the UK and New Zealand, which offers the possibility to trade with various types of binary options (High/Low, Above/Below, One Touch, 60 seconds and Range options) based on many underlying assets such as stocks, commodities, currencies (Forex) and more. This company was founded in 2008 and complies with New Zealand laws under the Financial Service Providers (Registration and Dispute Resolution) Act.

Market Punter Affiliate Program

  Update on MarketPunter Affiliates Because the binary options broker MarketPunter has closed and stopped offering its brokerage services like many other brokers in the sector, the affiliate program of this company has also closed. Market Punter Affiliates is an affiliate program implemented by the binary options broker Market Punter (a company regulated by FSRP in New Zealand) in order to promote its … Read more

Out The Money (OTM) Binary Options

When a trader operates in the binary options market, basically what he does is a prediction about what direction will take the price of an asset for a predetermined period of time. When the time of option expiration arrives, the trade can produce two possible outcomes – the option expires In The Money or Out The Money.

When a trader incorrectly predicts the direction of the underlying asset price, then the option expires Out The Money, which means that this is a losing trade. In binary option strading, when the option expires Out The Money means that the trader was wrong with respect to his market forecast and therefore the underlying price moves in the opposite direction to the direction predicted during the expiration period of the option contract.

For example, if a trader opens a position with a Call binary option based on a particular asset, a negative result would occur if the asset price falls below the original exercise price (strike price). In the case of a trader who had placed a Put binary option based on a particular asset, a Out The Money result would occur if the asset price rises above the exercise price.

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Trading the Ladder Binary Options

What are the Ladder options?

Ladder binary options are a peculiar sort of binary option contract, which isn’t even widely available: only a limited number of brokers feature them. Still, some traders prefer the ladder, because it’s a little more intricate and a little more interesting for many than a simple Put/Call or Touch/No Touch contract, plus, it allows traders to take advantage of more sustained bullish or bearish trends, while mitigating some of the risks that come with such an approach.

The best way to define a ladder trade is that it’s essentially several trades in one. Several price targets are used in these trades, which are arranged like the steps of a ladder (hence the name), Each of these steps is essentially a Touch trade, as the trader is looking for the price to hit as many of his targets as possible. The payout for the trade is also split into several parts, in predetermined percentages for each of the price-targets that make up the ladder. If a trader hits his first target, he’s essentially guaranteed some payout, therefore, even if the other price targets are missed, he will still not be left empty-handed. It is all too possible for the trader to miss all his targets though, in which case, his entire investment is lost.

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Affiliate Program Bulltrax

Update on Bulltrax

Because the binary options broker 10Trade closed and stopped offering its brokerage services like many other brokers in the sector, the Bulltrax affiliate program has also closed.

Bulltrax is an affiliate program created by the binary options broker 10Trade of Europe (a company regulated by CySEC of Cyprus) in order to promote its services and gain new customers who open a trading account with this company and deposit funds. To this end, Bulltrax has designed a series of promotional resources which are based primarily on the Internet, such as banners, logos, links and more. With these tools and the commission plans offered, this program is an excellent option for monetizing blogs and websites whose main topics are related to binary options and financial markets in general.

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Binary Options on weather

Currently financial markets allow to speculate virtually on anything, including the weather. The weather derivatives have become a lucrative and exciting relatively new market. Although most people make comments regularly on the state of climate and how it can affect their lives, almost no one stops to think about the possibility to speculate with the weather. This has changed with the introduction of derivatives as binary options on weather by the CME (Chicago Mercantile Exchange).
With the introduction of the range of Futures and Options on the CarvilHurricane index (CHITM), traders are now able to speculate about the state of the climate in order to obtain a financial return. Like traditional binary options, binary options on weather allow the trader to get a fixed payment if the option closes In The Money. And like traditional binary options, these derivatives offer both call options and put options.