Glossary | 24StockOption Binary And Stock Market Broker
Binary Options Glossary

Financial markets set bid prices for all assets. The bid price is the exact price that investors can sell their assets across the financial markets. Bid prices are part of the components used to determine the expiry level of an asset.

Refers to the price at which investors can purchase a particular asset within the financial markets. The ask price is one of the components used to determine the expiry time of these assets.

24StockOption allows investors to trade across multiple assets. For more information regarding each asset and the expiration regulations, please visit the ‘Asset Index’ page.

The Expiry Rate refers to the price (level) of the underlying asset at the option’s time of expiry. The price at that time determines whether the option is ‘in-the-money’, ‘out-the-money’ or ‘at-the-money’ level.

This is the exact time and date set for when the binary/digital option will expire, and reach the end of its previously calculated life-cycle.

A financial and market term meaning an option is profitable. i.e. If you made a Call Option, and the expiration rate of the underlying asset was higher than its purchase price, then the investor would be ‘In-the-Money’

Used when the market price of the asset is currently trading at or has closed at the exact target price.

This term means that the market price of the asset is currently trading or has closed and is not profitable.

A term that refers to a specific type of financial instrument that offers a fixed rate of return that is predetermined before the investment is made. Click to learn more.s

This term means that the market price of the asset is currently trading or has closed and is profitable.

Forex is just an abbreviated term for the Foreign Exchange. The Foreign Exchange market is the second largest in the world, and involves all global currencies.

An index is a grouping of stocks.

Traders use technical analysis to trade in financial markets. The analysis involves studying patterns of market prices.

This is the date and time when an option expires.

A stock is a share in a specific company that is available for purchase.

The market price is the price that reflects the current value of an underlying asset.

This is the amount of money spent by the trader to buy the contract for the binary option.

Hedging means buying an asset or option in order to reduce a trader’s risk from another investment. Options are considered ideal for hedging because the risks and payouts are set.

Traders use fundamental analysis as one of their most important tools. It involves comparing a wide variety of macroeconomic data, from decisions by central banks and governments, to inflation and growth measurements or even weather events. The analysis of this kind of date helps traders determine whether the value of assets is heading up or down.s

The current price is the price of a given asset right now. Current prices can be delayed by at least 15 minutes.

Stocks (e.g. Google, British Airways) Indices (e.g. NASDAQ, FTSE 100)

The underlying asset is the center of the binary option. It could include a currency, stocks or Indices.

Each asset on the market holds its own trading hours, days and holidays. For an asset’s trading hours, visit the ‘Asset Index’ here on 24StockOption. Occasionally, you will see an asset that is supposed to be traded; yet it is not listed. If this is the case, just click ‘Refresh’.

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