What is the catch with binary options?

Hai to all,
As past 15 days i got hanged to binary options, When i started trading years ago, as every trader i came to face loss and tried to switch brokers and went to try binary option, but at that time i have doubt about the binary and kept off them.But now the big swiss broker started their live binary but as i am busy in my forex trading i just kept them off, But at the black day as many brokers i also lost some k's of dollars with an aussie broker[ hoping that will corrected by stops], again binary stared at me and asked me "DO YOU THINK ITS THE TIME?", simply i replied yes and started demo the swiss broker, all went fine

this broker varies from other broker.. in following points....
1] their price feed is same as their forex platform feed, there is not even a slight change
2] 90 percent payout for all expiry time.
[this is not a sales pitch] still i am not related to the company yet,

my question is...
as from my knowledge binary option trades are not forwarded to the inter-bank, these are kept by broker, if we win , then broker loose, if we loose broker wins,if i am keeping winning every day, will this broker block my account?
or is there any way that binary trades are some how entering in to the markets.
if it enters how the equation works,
like i am placing 1 dollar bet that euro will rise against usd, if i win i get 1.90 dollar , if i loose then 1 dollar is lost. with in that particular time will the broker send my 1 dollar to the market and benefit or something else?

i dont know, last two days googling this matters return to same stories, any one have different idea?

Why don't you go to casino instead of playing with binaries ? You will have more fun at the roulette with the same end result !

IMHO, binaries aren't for traders but for gamblers ...

yes sir,
i know that sir, i too played roulette, but as i mentioned in my first post, this broker offers the same price feed which is provided in their forex platform, so there is a way that we can know that the price is not manipulated like others.But i really dont know why this broker has opened binary , it is a reputed broker, if they want to hunt traders money how will they do , with the same price feed? but i will not got binary untill all cleared, and stay with my forex house.

thanks for your reply sir

I actively trade binary options for about a year but stopped completely now, so I am qualified to answer you.

You win the broker lose, you lose the broker win.

The person who determine win or loss(referee) is the broker. Everything bout this binary options industry is broker controlled.

You are an intelligent person. I am sure you know what that means. Money doesn't come from the sky to pay your winnings if you win. So.

As to whether trading binary options is easier than trading forex, my question to you is - is it easy to accurately predict the color of the candle red or green for a at the least 58% of the time right ? That is break even by the way, that means you earn nothing for doing that.

The best binary traders leave the binary options instrument after a while. Go think.

In my opinion, the biggest problem with the binary options is that one cannot let one's profits run.
k

yes sir,
like you said, every one feel that binary is easier than forex, i rephrase the sentence from you " it is to predict the candle color"- there is the key with probability with little maths thats been easy and the the percent may be lifted from 58 percent.

thanks for your reply.

avoid those things and avoid any broker that propose binary option.
binary options are a redflag.

same as your loss can not exceed.....
thankyou sir for your reply

exactly thats the red flag thing hitting my mind about that grand broker

So what ? Does this make binaries a better game ?

one thing I have noticed with forex brokers who start to offer binaries, have a very low cap on your trade amount.

Most being 250$, worthless, IMO. And binary brokers are scams, crocks, etc haven't met anyone who has been able to withdraw me included. But no I wouldn't say its betting, if you say it's betting then all trading is betting. Once you have done it for so long it becomes very easy, even compared to forex trading IMO. Yes it's based on probabilities and odds but so is all types of trading.

Personally trade NADEX, but it's only offered in North america,

definitely not sir, but better than others . as you know you are with this broker , you know about their transparency , so only i added that point sir

Wait till you experience manipulation by the broker who is out for your money. If you want to know what those manipulations are, go deposit some money with them and you will certainly gain knowledge of their manipulation. Many don't even get back their deposit money. I made money, I left the industry go figure. Don't be stupid.

you referring to dukascopy?

Whist you need 58% prediction accuracy to make any profit, don't forget that as well as prediction direction, you also need to predict if the price will cover the spread. If you start doing some analysis on each timeframe and the percentage of bars that cross the spread, you will end up having to use longer time frames then you might have otherwise thought. Eg it's not too difficult to predict the bar direction for the next minute, but a fairly large percent of the time a one minute bar fails to cover the spread.