The Top 10 Traps to Avoid When Using Empireoption.Com
This is a good site to use, especially if the person is beginning in the trading world. Beginners to the binary world have a major disadvantage to all the other traders. They have yet to earn much of the basic information the others have. They tend to make certain mistakes, mistakes that many seasoned pros know to stay away from. As part of a review for Empireoption.com, there is a list of traps that all beginners should try to avoid.
Knowledge equals power. The more knowledge one has with binary trading and this site, the less likely they will be to make the same mistakes twice.
1) Earning the knowledge needed is mistake number one. Many get lulled into a false sense of security with this site. It is easy to use. There is a comfort with it too. This comfort lets the trader go back on his word to earn the knowledge. They figure they do not need to learn anything. The trader assumes the site will do it all for them.
This is a big mistake. A big mistake is also letting the “trial error” portion do all the talking. Every trader still needs to read up on what they need to know. Trial and error is a part of it, but it is only a small part. Besides, when a trader relies on trial and error, they lose more money this way. This is not the experience that will get a person somewhere.
Knowledge and power go hand-in-hand. It is time to pull out the books and start studying. This site has some pretty cool links to check out for research purposes. It is strongly recommended that they are used.
2) This site has gained popularity over the years. This popularity attracts all sorts of people, especially the scammers. Not every broker is a good one. Not all brokers are going to do right by the trader. Every trader needs to invest their time into proper research. This advice is especially for the beginners. Beginners tend to assume many things that are incorrect. The broker topic is one of them. Please do the research.
Find a few brokers who sound good and look them up. Find out what they are all about. Find out who and how they helped out in the past. Reviews are everywhere. It is up to each trader to be their own judge. What works for one person may not work for another.
Some brokers will say they need a minimum deposit of $10. Others will go as high as $250. Some firms will expect only a small amount of a few bucks. Others will expect a few hundred. The payout is going to be different too. Stay on top of it.
Pick which works best for the individual. Picking the wrong guy is going to set the person up to lose a lot of money. This does not bode well for those who have spent a great deal of time earning it.
3) The free demo account is something that has been talked about before. Some say it helps. Others say it does not. This debate should be left up to the individual person doing the trading. A general rule of thumb here, it is a good idea. Many beginners jump right in. They lose their shirts doing this too. Do not bite the bullet.
Every trader needs to learn somehow. The demo account is one way to acquire this learning and the experience. Some beginners rush the process. They think they are too cool to do something like this. Avoid this way of thinking. Using a demo account will help save a person from many heartaches.
4) Emotions will play a role in binary trading. It is unsafe to assume otherwise. Emotions tend to affect the newbies more. They get on a high. The seasoned pros tend to keep it all “in-check” more. Please check the emotions at the door. They will not serve the trader. The only thing they will do is hurt a trader’s chances.
Every trade on this site or any other needs to be well-thought out. The person needs to be composed and thinking clear. Each trader needs to check themselves before they begin. The more irrational the person is, the less likely they are to make a good trade.
“An irrational emotion leads to an irrational trade”.
5) The novice will put all they have into one thing and let it ride. This is not the correct way to go about it. This is like putting all hopes and dreams into this one job and then being disappointed.
Start with a small money account. Begin with trades that can be afforded. Build up as time and money move forward. Smaller accounts are looked down upon, but they will serve a person well. They will allow the person to build things up over time and minimize the losses at the same time.
6) No planning. This is another trap many get into. It may be a simple form of trading, but it is still trading. Many assume they set their account up and go from there. They just begin trading when the mood sets them right. This is true in theory, not in practice. Real practice means the person looks over their options. They seek out the best fit and plan it out. This is how real binary trading on this site is done.
It is not a game. It should never be treated like a game. What happens when the plan goes south? Will the person have a backup plan? Every trader needs some sort of backup. Not all plans will go the right way. Novices tend to take this information and try everything under the sun to make it work. This will only lead to more losses. Please work on a plan and stick with it.
7) The binary world is not a get-rich-quick type of plan. This is a false claim that has been going around for a long time. Many believe in it too, especially the ones starting out. They assume they can make a great deal of money in a short period of time. This is not true. There is such a thing as “too much too soon”.
There will always be false claims going around. The trader has to overcome them. They have to overcome their own greed. This is all part of the false claim strategy. They want to tap into a person’s greed and help them to move in that direction. Every trader goes through it. It happens to the seasoned pros as much as the novices. The trick is to rise above it.
8) There is nothing more constant than change. This can be applied to anything in life. It works for the binary world too. Things will change overnight. Some traders tend to get this idea into their heads that it does not change. Novices do this a great deal. This is another misconception they buy into.
Expect and anticipate change. The more skilled a trader becomes on this site, the more adaptable they are to the change. The rule of thumb here is, traders need to adapt their world to the binary world, not the other way around.
9) Learning strategies is important. None of this means anything unless the trader knows good money management. Every trader has to be able to combine the two. Risk management is important here. One must look at the bigger picture. One must see the outcome of the future.
“It is important to see the forest beyond the trees”.
The best review is a good one, a biased one. Every trader needs to know how much they can spend and when they can spend it. This means not using the rent money to cover a loss. This means not using extra savings to cover a mishap the trader created. No trader wants a mishap. The best way to avoid one is knowing the limits ahead of time.
10) Most traders have a full-time job. Most already have a business they answer too. Each trader needs to begin thinking of the binary world and this site as both business and fun.
This is not like gambling. It is not as though a person can recoup the losses they incur. This rarely works out. This is not a bet being placed. These are trading deals being placed to give the person a nice little nest egg in the future.
Many assume the short-term will work more effectively here. It will not. The money being made today will set the person up for some time in the future. Most business owners have a goal. Most of them are disciplined in their actions. Traders need to be this way too. This happens to the beginners more often. They get overexcited and do not think as clearly as they should. It is best to be organized. It is best to think before acting.
Most business owners know that short-term losses are not going to effect the outcome of what they have in mind in the future. Same goes for the short-term profits. Starting thinking in this direction.
“Slow and steady wins the race”, said the tortoise to the hare as he glided across the finish line.
In this case, it is better to be the tortoise, not the hare.