A lot of new binary options traders focus way too much on finding bonuses and promotions, and then are extremely surprised and upset when they never get to actually keep that money. In fact, many bonuses are no more than lures to get people to sign up for a site. The brokers know that the odds are stacked against new traders when it comes to actually keeping that money, so the “free” cash amounts can get ridiculously high. It’s not necessarily a scam since all of the information about the bonus is freely available, but it is a little misleading.
As an experienced trader, though, you have the odds in your favor. And this makes bonus hunting a highly profitable venture for you. Here are some principles to apply to your search in order to maximize your time, energy, and, of course, your cash.
Get Good Terms
First, make sure that the terms of your bonus are in your favor. Do not go with anything that has a trade through of 40 times the bonus amount. The industry standard is 30 times, and settling for more than this is only going to make your bonus less worthwhile, assuming that you get it at all. However, there are several brokers out there that have higher numbers–and this hurts you a lot. This means that if you have a pending bonus of $1,000, you will need to trade $30,000 to get it. This is doable for a successful trader. Having to trade an extra $10,000 just to earn $1,000 doesn’t seem nearly as worthwhile, though.
Also, make sure that you are not restrained by a timeframe. If you need to make $30,000 worth of trades in one week, the odds are stacked much higher against you than if you need to trade the same over three months. Just read the terms and conditions of any bonus. They should be made readily available on your broker’s info page. If you can’t find this, contact the customer service department and they will help you.
Max it Out
If you’re going to get a bonus, get as much free cash as you can. If your broker has higher bonus rates for depositing more money, you should take advantage of this. Getting $1,000 in free money is great. Getting $10,000 in free cash is ten times better. As an experienced trader, you have a good chance of keeping this money, so why not get as much as possible? It’s worth the extra upfront money, and it will only make you more money down the road. Invest a bit in yourself and max out your bonuses every time you can.
Many new traders avoid maxing out their bonuses simply because they aren’t sure of what they are doing yet and want to play it safe. If you have experience, though, you know what your limits are and what you are capable of. Trading at the higher levels might not yet be a reality, but you’ve been trading long enough to know that you’re going to last long enough to see that free money. The other extreme is that they try to max out their bonuses, but do not have the ability to be successful enough to see them. You can avoid both of these by working your way up and waiting to make a big deposit at a new broker when you are more likely to turn a consistent profit.
In the end, a bonus isn’t going to make you rich. But, on top of your flat profit rate, it can add a nice little extra something to make your trading even more lucrative. Looking to these as a source for your living expenses will not work, but it is something that can cushion you a bit more during the rough patches, and allow you to make one extra withdrawal from your trading account and right to your wallet.