Trading is arguably simpler if you could just speculate whether the price will rise or fall, right? If you have a similar opinion, binary options might be your thing. As the name implies, binary options have two possible outcomes – lose or win. You predict the outcome of the two results, and if you are right, you receive the agreed payout. Otherwise, you lose the initial stake. The win is usually a percentage of the initial stake.

Binary options resemble conventional options trading, letting traders profit from global market price fluctuations. It allows you to trade the various indices, commodities, foreign exchange, and stocks.  The options clearly state the time, expiration date, and strike price. You only have to ensure that you make the correct wager within a certain time.

Before we examine the best binary options platforms in South Africa, here is a rundown of binary trading types you should know and tips to help you choose the best brokerage platform.

Types of Binary Trading 

1. Touch – These trades predict whether the price will hit a lower or higher level than the current price. You don’t have to wait until the time expires. If the price touches the predicted price, the trade closes immediately. 

2. Range – also referred to as the range or boundary, the binary options predicts whether the price will move within a defined range. Essentially, you predict whether trade will close within the set boundary or outside.

3. Up/ down – it is the most popular type of binary trading. As the name suggests, you predict whether the price closes above or below a specific price level.

4. Ladder – the ladder consists of progressive preset price levels. If the market sustains a move in one direction, the payouts increase significantly and could surpass 100%.

Six Top Tips to Help You Choose a Suitable Trading Platform 

1. Ensure the Broker Is Regulated

Many traders are wooed to good bonuses until they forget to check whether the broker is regulated. Trading with an unregulated broker is akin to throwing your money in the wind. Such brokers make it almost impossible to withdraw profits due to inconsiderable charges or other nefarious conditions. Check if the broker is regulated by top institutions, including the Financial Services Authority (FSA), ASIC, and CySEC. Remember, many countries do not regulate binary options platforms. In this case, check online reviews to ensure you choose a trustworthy and safe firm.

2. Consider the Initial Deposit Requirement

Can you raise the initial deposit required? The deposits vary in each platform and can be as little as $5. Go for a platform that has little deposit requirement. However, you can make large investments if you are convinced they have exciting features. Start small as you monitor the platform to minimize loss. You can increase investment with time when you’re comfortable with their operations.

3. Conditions of Deposit and Withdrawal

What are the conditions for making deposits and withdrawals? Some brokers require you to verify your identity before making deposits and withdrawals. Check their deposit and withdrawal fees on whether they support various methods such as credit debit cards, e-wallets, and wire transfers.

4. Do They Have a Demo Account?

A good broker allows you to familiarize yourself with the platform using a demo account. If you are a beginner, you get to know how to open the various types of binary options and identify what works best for you. Some platforms allow you to practice on the demo for a specified period. Ensure the broker allows you a lifetime demo account to revert to when testing your strategies and trading styles. Only open a real count when you are prepared. 

5. Payment Percentage and Bonuses

The payments traders receive in binary options are expressed as a payment percentage. This depends on the expiration period, option type, and asset price. Typically, the payout percentage is over 80% and goes up to 95%. 

Some brokerage firms also offer incentives such as deposit bonuses. The bonus can boost your trading balance, making it ideal for you. The conditions vary, so check the terms and conditions of receiving these incentives.

6. Financial stability 

How do you know the company is financially stable? You don’t need to go pursuing its financial records. Simply choose a regulated broker. The regulation instructions ensure the company maintains healthy financial ratios. In addition, these companies are more trustworthy and rarely have issues with delayed payments. 

7. Customer Service 

Anything can go wrong when trading. For this reason, you will want to ensure the broker has skilled customer support. Ensure they have customer support for a language you understand and can respond to you almost immediately. Ideally, a good firm should have 24\7 representatives.

Now here are the leading binary options in South Africa. Let’s delve right in.

Top 5 Binary Options in South Africa 

1. IQ Option

IQ Option is one of the most popular trading platforms in the world. Founded in 2013, the award-winning platform is regulated by the Cyprus Securities and Exchange Commission (CySEC). Therefore, rest assured that your training capital is safe and secure. It started as a binary options platform but has now upscaled its services to offer CFDs on forex, commodities, stocks, and indices. 

To start training, you only need to make a minimum deposit of $10. However, you can speculate on trades with a $1. IQ Options supports numerous deposit and withdrawal methods, including perfect money, MasterCard, Visa, Skrill, and Neteller. You can easily make withdrawals from the same deposit method.

IQ Option offers some of the highest returns in the market. If the trade goes your way, you can make a 95% profit in less than 60 sec. Moreover, you get up to 80% deposit bonuses, while VIP accounts attract a 100% bonus. The maximum option price is $5000. 

You can trade binary options via highly intuitive desktop versions. You don’t have to download any software. It also supports mobile apps that allow you to trade binary on your smartphone. You can use the app on iOS and Android devices. 

The terminal displays the buy-sell options, balance, instruments, and currency value on the chart on the screen. With volatility alerts, economic calendars, and market updates, IQ Option enables you to speculate which trades will likely turn out profitable.

Besides the standard account, the IQ option has a VIP account which comes with a personal account manager and offers a 3% additional return. The demo account allows you to start trading with as little as $10000. 

One of the most outstanding features of IQ Option is the top-notch customer service available through phone, chats, and emails. In South Africa, you can make toll-free calls.

Pros 

• Regulated by CySEC
• Low deposit requirements 
• Tight spreads

Cons 

• It does not offer MetaTrader

2. Binomo

Binomo is a company registered in St. Vincent and has been operating for eight years. Besides South Africa, it also has a presence in over 130 countries. The binary options brokerage firm offers over 40 financial instruments. If you make the correct price speculation,  you can make over 90% returns. The trades take from 15 minutes to one day.

The platform comes with modern and advanced designs for efficient and streamlined trades. The interface is top-notch and boasts high consistency. You also get access to over 20 charting tools. Moreover, the platform has fast refresh rates to enable you to make trading decisions without delays. The economic calendar also helps make informed decisions. 

You can opt to trade using the PC or Android and iOS mobile application. The app features push notifications to ensure you are up to date with the transactions. The matching designs ensure a smooth experience using the app or the PC terminal. 

The minimum deposit depends on the account. The minimum is $10 for a standards account. However, a gold account requires $500, which comes with a personal manager. The platinum account comes with personalized services but requires a $1000 minimum deposit. However, you can familiarize yourself with the platform using a demo account that provides $1000 to practice.

The platform allows you to make deposits using various methods, including American Express, Visa, and MasterCard. The minimum withdrawal is $10. Binomo also boasts excellent support, including via social media.

With Binomio, there is no restriction. You can place nonstop, numerous trades at the same time, including during the weekends. You also get feedback right away for concerns via online support and free training to enhance your trading skills. The IFC-regulated platform is highly safe, thanks to the SSL security features.

Pros

Low trading requirement of $10 and $1 minimum per trade

Support mobile training and demo account 

Cons

Relatively simplistic hence unsuitable for advanced trading 

3. Olymp Trade

Established in 2014, Olymp trade is one of the most popular binary options trading platforms boasting over 25000 users. You can make predictions on the platform by taking advantage of the rise and fall options. It has a simple interface and educational features, all designed to make your trading simple and a breeze. 

The platform enhances your trading experience by availing analytics, charting tools, and indicators. In addition, you can track the progress by looking at the trading history at the bottom of the screen. The stop loss features enable you to limit losses.  

The educational feature includes educational sections with tutorials, ebooks, and webinars. There is also a trading academy for people who want to enhance their trading results by learning from seasoned traders at a fee. 

Olymp trade aims to provide you with a seamless trading experience by providing an up-to-date mobile application on android and iOS. You are assured of reliable, quick trading even when on the go. 

The platform has eased the process of making deposits simple by availing a host of trading methods, including skrill, bank transfers, bank cards, and union pay.  You can easily enjoy your returns by withdrawing your profits, including a minimum withdrawal of $10. An exceptional customer care assistance is available 24/7 via online chat, social media, emails, and hotline to address your concerns.

Pros

• Multiple trading  platforms, including MT4, MT5, windows, iOS, and Android
• Regulated by top institutions, including CySEC
• High leverage and low spreads. 
• An extensive collection of financial instruments

Cons 

• It is only limited to a certain jurisdiction. 

4. Pocket Option

Pocket Option is relatively new in the market, having started operations in 2017. The international financial market regulation center (IFMRC)  regulates the brokerage firm. Therefore, the safety of your capital should be the least of your concerns. 

To start trading, you only need to make a minimum deposit of $50. You can also withdraw profits from $10. Here is the interesting part. The platform payouts of up to 281% are the highest in the market. 

The binary options trading is straightforward. You only have to take advantage of the indices, commodities, stocks, and forex and choose the high or low options. You can speculate the price movement with an expiration time of 60 seconds to 4 hours. 

One of the unique features of Pocket Option is that you can engage other traders via chat, thanks to the social trading feature that connects traders globally. Additionally, the platform is designed with cutting-edge technology, which allows you to modify the attractive interface to fit your preference. But that is not all. The copy trading features allow you to profit as you earn the ropes. You simply copy trades from successful trades.

What is more appealing is that the platform is highly encrypted with advanced technology to secure deposits and withdrawals. There are two trading servers to ensure you don’t miss out due to system glitches. Pocket Option is not left behind in providing the best trading experience. They offer mobile apps for easy execution on android and iOS devices to help you open trades anywhere, anytime.

Other top features include cashback, a $10000 demo account fund, zero commissions on deposits and withdrawals, and over 100 assets to trade. If you have concerns, you can contact the support via live support, calls, and emails 24/7. 

Pros 

• Support mobile trading. 
• Allows you to start trading with a minimum of $1 
• Regulated by top institutions such as Cysec and FCA

Cons 

• The maximum leverage is not the highest in the market.

5. Expert Option

Expert Option is an ideal trading platform for beginners and novice South African traders. You open trades with $1 after making a minimum trade of $10. You enjoy one of the highest returns in the market of 96% in less than 30 sec. It boasts one of the highest returns at 95%. You can make the deposits using extensive payment methods, including wire transfers, Visa, Fasa pay mastercard, Yandex, and Neteller. You can trade a collection of financial instruments spread across currencies, cryptos, commodities, and stocks. 

The various appealing features make the platform endearing to traders, with over 70 million users globally. It has intuitive platforms to ease your trading where you can opt for the mobile app, web, or dedicated desktop terminal. Unlike the MetaTrader platform, the expert option platform is customizable to offer personalization and integrated to meet the needs of each user. There’s also a social trading feature where you can monitor and copy trades of profitable investors. 

The minimum deposit on Expert Option is $10, but you can start trading with a minimum of $1. If you are just acquainting yourself with a binary option, you can take advantage of the $10000 virtual funds of the demo account. Once you get the gist of trading and you make a $30+ deposit, you stand to benefit with a 100% first deposit. The broker is licensed by SVGFSA and is part of the Financial commission compensation fund. 

Experts Option also offers educational materials, webinars, and tutorial videos designed to make you a better trader. The platform is highly secure and employs KYC and AML requirements.

Pros

• intuitive  platform ideal for beginners
• Extensive collection of financial instrument 
• Numerous funding options 
• Great analytical tools 
• Highest returns in the market and massive bonuses. 

Cons 

• It doesn’t support mt4 and mt5 
• Attracts a monthly inactivity fee of $10

Is Binary Options Legal in South Africa

There are no laws or regulations that prohibit binary options. Therefore, trading binary options are not illegal in South Africa. That said, you should choose a regulated platform.

Choose the Best Platform 

Binary options are one of the trading areas where you can make massive returns. You only have to analyze the trades and speculate whether the price will rise or fall within a certain period. If you are correct, you can make up to 95% returns. However, your success also depends on the choice of the broker. High commissions and fees could significantly eat into your profits. In addition, unregulated brokers could make it challenging to withdraw wins. If you’re looking for a reputable platform, start your search in the list above.