Binary options time frame, also referred to as “expiry time”, may range from short-term time frame, such as 1 or 2 minutes to 5, 20 and 60 minutes. The expiry time can also be daily, weekly or monthly. An investor should wait and watch the market situation and carefully choose an expiry time for his trade. The time set by him is the span during which he can make a profit. He has to determine the direction in which the value of the asset will move and if he places a call option when the price rises, he can make a profit.
The time frame for one-touch or basic binary trades, applicable for new traders, is usually a week. Weekends are regarded as the ideal time for trading as the markets remain closed during that period. A trade can get a week to touch the target price set by an investor.
Say for example that a trader opts for a 5-minute binary options time frame. Each candlestick you see on the particular graph shows you 5-minute market movements. So, if you see a chart with 60 5-minute candlesticks, that means you have data for market movements in the last 5 hours (or 300 minutes).
Pick the right binary options time frame
• Whether or not an investor is looking for quick profits
• Time one can dedicate to trading
• How a specific asset is trading
• Events within the country, such as an election, that can impact the worth of the asset
If you are not comfortable with waiting for a day or even longer, and are concerned with making fast money, you can set a low binary options time frame. At the end of the day, the time frame to choose for binary options trading actually rests on the market situations and the comfort level of the investor.
Learn more about how to choose the proper binary options time frame.