How to Start Trading Binary Options on the Nadex Exchange
We have previously discussed the benefits of trading binary options on a regulated exchange, including consumer protections thanks to certain regulatory bodies as well as price transparency. Nadex is a secure, easy and professional place to trade binary options, as largest CFTC regulated binary options exchange in the United States.
Opening a binary options trading account with Nadex
Nadex is a self-clearing exchange which complies with the rules of the CFTC. All Nadex members, investors, and traders have direct access to the exchange to trade binary options with Nadex acting as the intermediary between buyers and sellers. As directed by the CFTC, all member fund deposits with Nadex are securely held in separate bank accounts to protect the funds of its members. Trading on Nadex is self-directed, no broker needed.
It is easy to open an account to trade binary options on the Nadex exchange. The application of Nadex member account is done online and can be completed in just a few minutes. You need a permanent US residential address to open a Nadex account, a Social Security number and US bank account. All of this information will be held in complete confidence.
You can fund your binary options trading account with a good, old-fashioned paper check (payable to Nadex), an e-check (recommended) or via wire transfer from a US financial institution. For wire transfers of $5,000 or more, your account will be credited the cost of any wire transfer fees, up to $20 per transfer, four wire transfer fee credits per month. There is no requirement to maintain a minimum balance, but to establish your membership you must make an initial deposit of at least $100. There are no fees for the account setup, trading platform or inactivity.
To withdraw funds, you can log onto the Nadex trading platform and fill out a request form. All withdrawals are sent to the bank account you provided at sign up and take 3-5 business days to process. You can also request a wire transfer and have the money in your bank account the next business day (there is a $25 fee for wire transfers withdrawls).
Get started with a free binary options demo account
A free “demo” account on the Nadex trading platform enables you to see a platform that is identical in every way to a funded binary options trading account except that the money in the account isn’t real. There is no obligation to open a funded live account after using the demo. With your demo account, you can create a watch list of markets to follow, view your open trading positions, order history and a real time value of demo account profitability. You can put in a “day order” which will be cancelled if not filled at the end of that day’s trading session, or you can do a “Good Till Canceled” order that will stay in force until filled or canceled.
Using the simple and free Nadex demo account is the ideal way to get involved in binary options trading until you have reached a level where you feel comfortable to put your own money on the line and fund a live account.