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How often does my trades need to be successful in order to be consistently profitable in the long run when trading binary options? This is a very common question and the answer is shown in the formula above. As you can see, the answer depends very much on the payout percentage for the given trading asset. Often expressed as a percentage, the win-rate is the number of times on average that your trades are successful, out of a total of trades.

So, if you make a total of trades and are correct in of those trades, then your win-rate is In reality, for the win-rate number to be statistically significant, way more than trades are needed, usually in the thousands. The larger the sample size, the more accurate the win-rate figure. The table below lists breakeven win-rates for typical payout percentages offered by binary option brokers.

As you can see, even though it seems that the difference in breakeven win-rates is only a few percentage points, they actually matter a great deal in the long run. Many of the most popular financial instruments such as currency pairs, equities and commodities are available to trade using binary options.

Is binary option a legitimate financial instrument or just another form of gambling Unlike humans, robots have no emotion and do not need to rest, so they can make a lot more trades than humanly possible, combined with perfect consistency Learn how you can get scammed when trading binary options if you are not careful With so many scam brokers out there, before you learn how to trade, one must know how to separate the wheat from the chaff and find a trustworthy binary options brokerage Stocks, futures and binary options trading discussed on this website can be considered High-Risk Trading Operations and their execution can be very risky and may result in significant losses or even in a total loss of all funds on your account.

You should not risk more than you afford to lose. Before deciding to trade, you need to ensure that you understand the risks involved taking into account your investment objectives and level of experience.

Information on this website is provided strictly for informational and educational purposes only and is not intended as a trading recommendation service.

Breakeven Win-Rates for Common Payout Percentages The table below lists breakeven win-rates for typical payout percentages offered by binary option brokers. What are Binary Options? Is Binary Options Trading a Scam?

How to Select a Binary Options Broker? The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose.