BinaryOptionRobot offers signals in 4 risk categories, allowing you to choose the risk level you feel the most comfortable with. With this risk management program, BinaryOptionRobot offers one of the best opportunities to control your robot’s performance in the market.
BinaryOptionRobot creates signals in four categories:
With BinaryOptionRobot’s VIP account, you can choose which categories you want to trade and which you want to exclude. Depending on your preference, you can select one or more categories – you can even select to only trade low risk and high risk signals or to trade all types of signals.
With this tool at your disposal, you can manage your risk in a way that no other robot allows. All in all, there are 20 possible settings, and you can choose anything you want.
If you have not yet unlocked BinaryOptionRobot’s VIP account, you will automatically trade all signals.
The question which signals are the best is not that easy to answer – there is no absolute right or wrong. As with most things in life, there is a trade of between quality and quantity. Maximizing your returns means finding the golden mean.
To understand this trade-off, let’s look at the extremes: trading only low risk signals and trading all signals BinaryOptionRobot creates.
Trading only low risk signals should provide you with the highest possible winning percentage of all settings. Of course, even this is a theoretical assumption, and real life trading fluctuations can cause results to vary, but on average this statement should be true.
Risk averse traders should therefore only select low risk signals. This setting should create the highest possible winning percentage, involves the least risk and allows them to slowly test BinaryOptionRobot.
Traders who are willing to take more risk should select more categories of signals. Paradoxically, a higher winning percentage with binary options does not necessarily translate to higher profits, and by trading more categories you can probably make more money. This is true because trading more categories will result in more trades, and more trades can create higher returns, even when the winning percentage is lower. Simply put, it is more profitable to win 65 percent of 10 daily trades than to win 70 percent of 2 daily trades.
Trading only low risk signals will move you towards the latter end of this example. While this is a secure trading style, you might leave some money on the table by ignoring less perfect but still good signals. The lower amount of trades will result in lower profits, even though you might win a higher percentage of your trades.
To find the ideal setting for you, we recommend you start with only low risk signals. This way, you can test BinaryOptionRobot with the least risk possible. If you like the service, note how much money you made over a longer period of time (at least one month).
Then expand your signals to also include moderate risk signals. Again, let the robot trade for some time, and then compare results with only trading low risk signals. If your profits increased, stick with the setting. If they did not improve, go back to your previous setting.
This way, you can work your way through all of BinaryOptionRobot’s available settings and find the ideal combination that you feel comfortable with and that makes you money.
To shorten this process, you can also check BinaryOptionRobot’s website. Under the section “signals”, BinaryOptionRobot publishes a real account of all their signals, sorted by category and trader.
Take a look at each signal category and decide for yourself whether it makes sense to include this category into your trading or not.
BinaryOptionRobot’s different risk levels are only available to the VIP account members. All regular members will automatically trade all signal categories. If you want the added control, you therefore need to get the VIP account.
Luckily, BinaryOptionRobot’s VIP account is free. Sticking with their commitment to providing a free service, BinaryOptionRobot has come up with another smart way to get you their service for free – all you need to do is refer a new customer to BinaryOptionRobot. Once this customer deposits money with the broker they selected for BinaryOptionRobot, you get the VIP account two months for free.
This payment system profits all involved – you get the VIP status, your referred customer gets a free robot, and BinaryOptionRobot gets a new customer.
Nonetheless, this payment system also requires you to refer a new customer at least all two months. Whether the payoff is worth the money is something you have to decide for yourself.