3 Completely legal IQ Option tricks to disrupt your trading. And 1 simple solution


money trap

Are there IQ Option tricks that the broker uses to deprive you of your money? What is legal and what is not legal in the actions of options brokers? Relax. IQ Option is a solid reliable broker.

But in earlier years, some options brokers used to manipulate price charts – to their benefit. Then financial authorities came along and clamped down on these activities. So brokers found new ways to take money from traders. Well, online platforms are built to make money from traders. But besides legal ways such as spreads, they have a bag of tricks that’s meant to take more money from you and deposit it into their pockets.

Here are three common tricks they use.

Key Takeaways🔑

IQ Option is a reliable broker, operating legally and under financial supervision.
Three common tricks used by brokers include short trading time frames, trading commissions, and the possibility to sell options before expiry.
To protect yourself from these tricks, practice patience, trade less frequently, and avoid exiting trades early.

How do IQ options make money?

Brokers like IQ Option do not have to resort to prohibited activities to make money. Most of the company’s revenues and profits are certainly trading activities. Imagine if 200 people logged on to the platform. Each person opened a 1-minute binary option with a stake of $10. The payout rate was 90%. Half of the traders opened a position for an increase and the other half for a decrease in the EURUSD price. Within a minute the market went up. 100 people made a total of $900 and the other 100 lost $1000. The broker’s clean profit was $100 ($1000-$900). And that’s just one minute.

IQ Option doesn’t have to use any dirty practices to make money. IQ Option operates legally and is subject to financial supervision. You can rest assured that this broker cares about the customer.

So-called “IQ Option tricks” to make money from you

I used the phrase so-called for a reason. You will not read here about the manipulation of quotes or disappearing funds from your account. IQ Option simply does not do such things. But there are elements of the broker’s operation that actually contribute to the fact that we earn less. Let’s see what IQ Option tricks are involved.

Short trading time frames

This trick is founded on human emotions. Primarily greed. This is probably the most capital-threatening of the IQ Option tricks.

Many options traders hit the markets wanting to make money fast. The solution is the 60 second (or even 30 second) trade.

Brokers know that it’s difficult to know where exactly the markets will head within a 60 minute time span. With price fluctuations occurring every millisecond, a 1-second fluctuation can make a trade go against you. Every 1 minute losing trade means more money for your chosen online broker and a dent in your account balance.

Trading commissions

Whether you agree or not, every trade you make attracts a small commission. Consider an option with a 75% return. Where does the remaining 25% go? This is a “hidden” commission the broker charges to facilitate the trade. Now consider the fact that many traders opt for short term 1-minute trades. This means that if 100000 winning trades are entered within a single minute, the 25% commission is multiplied exponentially.

IQ Option tricks

Commissions cannot be avoided, but you can make sure that you pay less in commissions by simply trading less.

Pros and Cons📊

✔️IQ Option is a reliable and trustworthy broker. Short trading time frames can lead to losses.
✔️Subject to financial supervision. Trading commissions can add up quickly.
✔️Offers a practice account for testing strategies. Possibility of selling options before expiry may result in lower profits.


Trading Strategy Tips Benefits
Trade longer time frames (5 minutes or more) Reduced impact of market fluctuations and fewer losses
Trade less frequently Lower trading commissions and higher profits
Avoid exiting trades early Maximize potential profits

Possibility to sell options before expiry

Many online options brokers will give traders the opportunity to exit a trade before it expires. Of course, you will not get all your initial investment back if the trade was losing. On the other hand, early trade exit on a winning trade will earn you a fraction of the profits you could have made.

The remaining amount will definitely go to your broker.

Exiting a trade is only recommended if the trade is going against you and you believe that the markets won’t turn around. This way, you will forfeit just a portion of your initial investment. Otherwise, wait until the trade expires to earn all your profits.

How do you protect yourself from these 3 IQ Option tricks?

In a single word: Patience

patience-and-principles-in-trading

Trading to a large extent is a game of patience. You should patiently test a trading strategy on the IQ Option practice account to verify its effectiveness before implementing it with real money.

I usually recommend trading longer time frames that last at least 5 minutes. This implies that you must patiently analyze the charts until the right market conditions present themselves. Most successful traders will spend hours analyzing the price charts waiting for the right conditions to present themselves. It can be difficult at first to wait for a whole 5 minutes to see how your trade turns out. But if you’ve done proper analysis and use a good strategy, you should find that most of your trades turn out winners.

Commissions cannot be avoided. However, you can ensure that you pay fewer commissions by trading fewer times. This coupled with making more winning trades means that you’ll get to keep most of your profits to yourself.

Finally, avoid exiting trades early. If you enter trades that last 5 minutes or more, chances are that you won’t have to worry too much about the markets going against you. This in turn means you won’t have to exit active trades often.

Good luck!

Q&A💡

  • 🔹Q: How can I minimize the impact of trading commissions?
    • A: Trade less frequently and focus on making more winning trades.
  • 🔹Q: What is the best time frame for trading options?
    • A: It is recommended to trade longer time frames, such as 5 minutes or more, to reduce the impact of market fluctuations.
  • 🔹Q: Are there any legitimate ways for brokers to make money?</
  • 🔹Q: Are there any legitimate ways for brokers to make money?
    • A: Yes, brokers can make money through legal means such as spreads, trading commissions, and fees for additional services.
  • 🔹Q: How can I protect myself from common broker tricks?
    • A: Exercise patience, trade longer time frames, trade less frequently, and avoid exiting trades early unless necessary.
  • 🔹Q: What is the importance of using a practice account?
    • A: A practice account allows you to test trading strategies and build confidence without risking real money.

GENERAL RISK WARNING

The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose.
Kindly note that this article does not provide any investment advice. The information presented regarding past events or potential future developments is solely an opinion and cannot be guaranteed as factual, including the provided examples. We caution readers accordingly.

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Bart Bregman

Author / IQ Option expert: "My name is Bart Bregman, I have 9 years of full-time professional trading experience. I've been trading with IQ Option for more than 7 years, mainly on the shorter time frames doing technical analyses, and have many experience with Binary Options, CFDs, Options, and Crypto trading. There is no such thing as a bad trade! As a digital nomad trader, I'm mostly traveling all over the world. Follow my journey on Instagram at https://www.instagram.com/bart_bregman/. "

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