What are “Roll Forward” and “Take Profit”?

Posted by OliverPearson 0

Roll Forward and Take Profit

All binary options brokers offer additional instruments helping a trader enhance performance and increase a profit. Today, I’m going to tell about such instruments as Roll forward and Take Profit. These instruments provided by AnyOption enable a trader either to postpone or close early a binary option.

Roll forward

rollforvardThis instrument enables you to postpone expiry of a binary option.   What is it for? Let us say that the EU makes a decision to use reserves to overcome crisis. This decision will weaken the euro. You buy a binary option expecting the euro to drop. However, by the moment of expiry, you see that the price has not fallen yet because the market hasn’t responded. In that case, you may use Roll forward and extend the binary option over one more period. You postpone getting your profit, but using this option, you will undoubtedly make it.

 

Roll forward is not available for all underlying securities. This option is shown 15 minutes before expiry of a binary option.

anyoption_roll_forward

Take Profit

takeprofitThis additional instrument may interest the traders seeking to minimize risks as it allows them to early close a binary option, that is, before its expiry. What is it for? Let us assume that using LIVE mode you see the price taking the right direction, but there are still 15 minutes left before expiry. During this period, the price can change its direction. If you don’t want to risk, you may use Take Profit and close the binary option early.

anyoption-take-profit
 

 

Though you get a little bit lower profit, your investment guarantees a return, and you take no risk. However, if you close early a binary option, you pay a fee.

An investor is offered to use one of the instruments 15 minutes before expiry on the page he trades. The offer is shown during 5 minutes.

The Roll forward and Take Profit options are available if you invest in stock indices and currency pairs like GBP/USD, EUR/JPY etc.

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