My sister is a bank manager, has a bachelor’s in Economics and is generally very financially astute. When you compare her investment skills to mine, it’s somewhat of a miracle we’re even related at all. Still, even though I’m not a financial expert, I do keep my eye out for any interesting investment opportunities.

The internet allows an unprecedented level of access to worldwide financial markets. One market I’ve been very interested in is binary option trading. There are many websites out there which allow you to trade binary options, but not all of them have a great reputation. I’ve been using OptionsXO.com for a few months now, and so far I’ve been really impressed. Here’s my detailed look at the OptionsXO service:

About Binary Options and OptionsXO

Binary trading is a relatively new type of trading. With a binary trade, you’re predicting the future price point of practically any financial commodity.

Let’s use oil as an example of a financial commodity. Do you think the price of oil will be higher than a predicted target price at a specific point in the near future? If so, that’s a High outcome. If you think the price of oil will be lower than the projected price, that’s a Low outcome.

Another example would be a tech stock, such as Google. If you think the price of Google stock will be within a designated range at a set point in the near future, you’re expecting an In outcome. If you think the price will be outside of that range, that’s an Out outcome.

As “binary” suggests, your prediction is either right or wrong. This is a fixed risk trade. You know what you stand to earn and what you stand to lose, and neither amount is affected by the specific value of the commodity.

OptionsXO is a binary option broker, which means you use their site to trade binary options. They’ve been around since 2012, which is about as established as a binary trader broker is likely to be. Based in Cyprus, they are regulated by the Cyprus Securities and Exchange Commission.

Top Features of Options XO

High, Low, In and Out are the basics of binary option trading, but there are other types, too. Most binary brokers only offer the four trading options (High, Low, In and Out). OptionsXO offers eight options. I admit, the first four options were complicated enough for me. But the additional options are nice to have for the future.

OptionsXO’s trading contracts:

As you can see, binary option trading can move pretty fast. There is also the opportunity for some high yields, sometimes at much as 300% or more.

Types of Assets

Binary trading crosses many different financial markets, which allows you to ride current trends. OptionsXO offers 24 different tradable assets. They’re grouped into four categories: indices, commodities, currencies and stocks.

Who is OptionsXO For?

Some people do tons of these small, fast trades all day long while other people, like me, only pop in occasionally to make trades. If you don’t want to trade, your money simply sits in your OptionsXO account, away from any active markets.

How to Use OptionsXO (including Prices)

OptionsXO has four accounts. The Mini account has a $100 minimum. The Silver account is a pretty significant step up, with a minimum deposit $2,000 and a 2% rate of return. The Gold account has a minimum deposit of $5,000 with a 3% return. Finally, for more experienced users, the Platinum account offers a 4% return with a $10,000 minimum deposit. The minimum amount you can invest in an option is $25.

Trading is easy. You log in to your account. You select the asset you’re interested in trading. There will be many different assets available at any time of day. You select one of the eight outcomes (you can make a few other selections, too) and then you wait for the result. The interface is clean and simple. The entire trade is conducted from one screen, which also contains a live financial feed.

How to Withdraw Funds

You can withdraw your money whenever you like. The process is a bit complicated, but this is an international financial transaction. You need submit a Withdrawal Request form, which must be completed and signed. You also need to provide certain forms of identification, which you can do when you first register with Options XO. Withdrawals are subject to a fee based on the specific amount of money being withdrawn.

Customer Support

Customer support is primarily through email and live chat. There are phone numbers available, but if you’re in the U.S. you’ll have to make an international call. Live chat and email is available in English, Spanish, French, Italian and many other major languages.

There is also a lot of information about binary options on the OptionsXO site. There’s a very large FAQ and a glossary. Plus, there is also a lot of information about how OptionsXO works. I admit, at first I was very confused. But that’s mainly because binary trading is complicated, not due to anything particularly unclear on the part of the site.

Criticism of OptionsXO.com

It’s not hard to find criticism for binary option trading online. This is a very new type of trading for most people, and it’s complicated. Plus, international financial transactions are often involved. I understand how any binary option broker can seem confusing, but I found OptionsXO to actually be very easy to use and clear.

The biggest piece of advice I can give is to take it slow. Start with a small amount of money, and expect to lose it as you learn. Also, take a light-hearted approach to binary trading. There’s a lot of risk involved, and the outcome of a trade is never guaranteed. Never trade more money than you can afford to lose. In fact, never even trade more than you would be upset to lose. Also, treat your gains as bit of unexpected good fortune, and not as the basis of a solid investment plan.

Final Conclusion

I’ve put $300 in my OptionsXO account, and played around with it for about three months. So far, I’ve made about $50. Certainly this is not the first step down a road to fabulous riches. But you know what? I’ve been having a ton of fun. I’m sure I could make more money if I devoted more time to it, but that’s not something I really want to do. I’m happy just messing around with it in my spare time, and learning as I go.

OptionsXO is a solid, reputable company. They’re backed by a legitimate financial regulatory agency, and I’ve had no problems dealing with them. The interface was easy to understand and navigate, and the site was loaded with helpful information. As long as you have an understanding of what binary option trading is (a fun way to occasionally make some money) and what it isn’t (a way to get rich quick), then I recommend OptionsXO. Happy trading!