Touch Binary Options: Trading with Target Prices

8 min read

Learning to trade Touch Binary Options, which involves setting target prices, is of utmost importance for investors as it offers an opportunity to profit from volatility in financial markets. This strategy allows traders to speculate whether the price of an underlying asset will reach a certain price level within a certain period of time. By learning to identify and analyze price movements and set realistic target prices, traders can increase their chances of earning profitable returns on their Touch Binary Options trades, thus diversifying their investment strategies.

Introduction to Touch Binary Options

Touch binary options are a popular way of trading in the financial market. In this type of option, the trader speculates whether the price of an underlying asset will reach a certain target price before the contract expires. If the price touches or exceeds the predetermined level, the trader receives a fixed payment, otherwise he loses the invested amount.

How Touch Binary Options Work

Touch binary options are simple operations to understand. The trader selects an underlying asset and a specific target price. It then decides whether it believes the asset's price will touch or surpass that level before the contract expires.

These options have only two possible outcomes: “touch” or “don’t touch”. If the asset price touches or exceeds the target price during the term of the contract, the trader receives the established fixed payment. Otherwise, you will lose the amount invested.

Advantages of Touch Binary Options

Touch binary options offer several advantages to traders. Some of them include:

High profit potential

Tap options often offer fixed payments of up to 500% or more. This means that if the trader makes a correct prediction, he can earn a significant return on the initial investment.


Touch binary options are easy to understand and trade. It is not necessary to have advanced knowledge of technical or fundamental analysis. Just speculate whether the asset price will reach the target price or not.

Asset diversity

Traders can trade touch options on a wide range of underlying assets such as currencies, commodities, indices and stocks. This allows them to explore different markets and find profitable opportunities.

Flexibility of deadlines

Touch binary options can have short expiration times, such as 60 seconds, or longer expirations, such as a week or a month. This gives traders flexibility to choose the time frame that best suits their trading strategies.

Touch Binary Options Trading Strategies

To successfully trade touch binary options, traders can utilize different strategies. Some popular methods include:


In this strategy, the trader seeks to identify trend reversal points close to the target price. If he believes that the asset's price will reverse and touch the predetermined level, he performs a “touch” operation. This strategy is based on technical analysis and the study of price patterns.


In this strategy, the trader relies on market volatility. He expects the price of the underlying asset to be highly volatile and touch the target price at some point during the life of the contract. This strategy is suitable for assets that have a history of rapid and unpredictable movements.

Break levels

In this strategy, the trader seeks to identify significant support or resistance levels close to the target price. If he believes that the asset's price will break these levels, he performs a “touch” operation. This strategy is based on technical analysis and identifying areas of strong interest to investors.

Risk Management in Touch Binary Options

Risk management is essential when trading touch binary options. Some important principles to consider are:

Define the value of the investment

Before opening a position, the trader must determine the amount he is willing to invest. It is important not to risk more than you can afford to lose, as touch binary options have a significant risk of losing the total amount invested.

Establish loss and profit limits

It is recommended to set loss and profit limits for each trade. These limits help control emotions while trading and avoid excessive losses. If the loss limit is reached, the trader must close the transaction and analyze the reasons for the negative result.

Use stop loss orders

Stop loss orders are useful tools for protecting capital. By setting a stop loss, the trader determines a price level at which the trade will be automatically closed, thus limiting losses in the event of adverse market movements.


Touch binary options offer an exciting and potentially profitable way to trade the financial market. With proper strategies and efficient risk management, traders can take advantage of trading opportunities with these options. However, it is important to remember that trading involves risks and it is necessary to gain knowledge and experience before investing your capital.
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