Complete Comparison of Binary Options Trade Types! Differences Between High/Low, Turbo, and Spread and How to Choose

Even if you want to start binary options, do you have questions like these?

• There are several trade types, but I don't know which one to choose
• I don't understand the differences between High/Low, Range, One Touch, etc.
• I want to know which trade types are suitable for beginners
• I want to understand how different expiry times affect trading

Binary options have multiple trade types, each with different features and risks. This article clearly explains everything from how each trade type works to which ones are recommended for beginners.

Binary Options Trade Types and Their Pros & Cons

To profit from binary options, it's important to first understand the basic mechanics of each trade type. We've also summarized the pros and cons of each. [What You'll Learn in This Chapter]

• Trade Type = Types of prediction methods
• High/Low = A simple choice between up or down
• Range = Predicting whether the price stays within a set range
• One Touch = Predicting whether the price reaches a specified level at least once

What Are Trade Types?

Trade types refer to the "method of prediction" in binary options. Unlike traditional investments, in binary options you predict not how far the price will move, but whether a set condition will be met. Trade types are broadly composed of three elements: (1) Judgment Method: High/Low, Range, One Touch (2) Expiry Time: 30 seconds to several hours (3) Target Assets: Currency pairs, stock indices, etc. This combination determines the difficulty level and payout rate of the trade.

"High/Low" — Predicting Price Movement Up or Down

High/Low is the most basic trade type, with a simple mechanism where you predict whether the price will be "higher (High)" or "lower (Low)" than the current price at expiry. Payout rates are generally around 85% to 90%, and by utilizing technical analysis and economic indicators, you can aim for consistent profits.

"Range" — Predicting Whether Price Stays Within a Set Range

Range is a trade type where you predict whether the price will remain within a specified range at expiry. It's most effective in sideways, range-bound markets. A range is set with upper and lower limits centered around the current price. If the price is within the range at expiry, "IN" wins; if outside the range, "OUT" wins. The key feature is that it becomes more advantageous when market movement is small.

"One Touch" — Predicting Whether Price Reaches a Level at Least Once

One Touch is a trade type where you predict whether the price will reach a specified rate (touch line) at least once within the expiry period. It has the highest difficulty but also offers relatively high payout rates. The touch line is set at a position away from the current price, so the market must move significantly. For example, if USD/JPY is at 150.00 yen and the touch line is set at 151.00 yen, you win if the price reaches 151.00 yen at least once during the expiry period.

Comparison Table: Pros & Cons of Each Trade Type

Here's a summary of the pros and cons of each trade type for your reference.

[Choose by Time] Quick Trades or Patient Analysis?

Your choice of expiry time significantly affects your trading style and daily routine. Short-duration trades offer speed, while long-duration trades provide stability with thorough analysis. [What You'll Learn in This Chapter]

• Short-Term = Speed-focused, requires quick reflexes
• Medium-Term = Good balance between analysis time and results
• Long-Term = Allows thorough analysis with higher win rates
• Time Frame Selection = Determined by investment style and lifestyle

[Speed-Focused] 30-Second to 5-Minute Ultra-Short Trades

Ultra-short trades are the fastest trade type where results are determined within 30 seconds to 5 minutes. While offering the advantage of many trades in a short time, the downside is vulnerability to market noise and the heavy psychological burden when losses accumulate.

[Balance-Focused] 15-Minute to 1-Hour Short Trades

Short trades are a trade type with 15-minute to 1-hour expiry times, offering a good balance between analysis time and result confirmation. Technical analysis is highly effective here, with common indicators like moving averages, RSI, and MACD working well, enabling analysis-based trading.

[Analysis-Focused] 1-Hour+ Medium to Long-Term Trades

Medium to long-term trades are a trade type with expiry times of 1 hour or more, suited for those who want to conduct thorough market analysis. By combining fundamental analysis and technical analysis, more accurate predictions become possible.

Feature Comparison by Expiry Time

Recommended Trade Types for Beginners!

For binary options beginners, choosing your first trade type is extremely important. Starting with overly difficult trades can lead to giving up, while starting too easy won't help improve your skills. [What You'll Learn in This Chapter]

• For Beginners = High/Low with 15-30 minute expiry
• Types to Avoid = Ultra-short trades and One Touch
• For Intermediate = Range type and 1-hour+ long-term trades

The Best Trade Type to Start With

The first trade type beginners should try is High/Low with 15-30 minute expiry. We recommend starting with these step-by-step stages: (1) Practice with a demo account: Learn the feel of trading without risk (2) Start real trading with small amounts: Begin with the minimum, like 500 yen (3) Learn basic analysis: Study moving averages, RSI, etc. (4) Aim for a 55%+ win rate: The threshold for consistent profitability

Trade Types to Avoid

The trade types beginners should avoid are 30-second to 5-minute ultra-short trades and One Touch trades. Ultra-short trades are easily affected by minor market movements, relying more on luck than analysis. Also, since you can make many trades in a short time, consecutive losses tend to make you emotional and break money management rules. One Touch trades are attractive with high payout rates, but win rates are low and they're too speculative. Predicting large price movements is difficult even for professionals. Beginners should first gain experience with basic High/Low trading and only challenge other trade types after maintaining a stable win rate.

When to Switch Trade Types

The right time to change your trading approach is when your win rate is stable and you can properly manage your funds. You've achieved a monthly win rate of 55% or higher for 3 consecutive months You follow the rule of keeping each trade amount within 2%-5% of your total capital If you can do both of these, you're ready to challenge more difficult trading methods.

Tips and Important Notes for Actual Trading

Once you understand the theory, you need to master practical points for actual trading. From selecting trade types to money management, let's learn knowledge that's useful in real trades. [What You'll Learn in This Chapter]

• BI-WINNING Tips = Demo account and wide selection of assets
• Switching Trade Types = Strategy based on market conditions
• Failure Patterns = Emotional trading and poor money management

How to Choose Trade Types on BI-WINNING

BI-WINNING offers a wide range of expiry times from 30 seconds to 21 hours and numerous tradable assets, allowing you to select your trade type. Here are the main trading conditions:

Beginners should start by demo account to experience the features of each trade type. The most recommended trade type is High/Low with 15-30 minute expiry.

Practical Methods for Switching Between Trade Types

Effective switching between trade types requires strategic selection based on market conditions and time of day. [Choosing Based on Market Conditions] Markets generally have 3 patterns, each suited to different trade types.

• Trending Market (clear upward/downward movement) → Medium-term High/Low
• Range Market (sideways within a set range) → Range type or short-term High/Low
• High Volatility (intense price fluctuations) → Short-term High/Low

For example, when USD/JPY is clearly rising, choose "High" with High/Low type. When the price is ranging between 110-111 yen, use Range type to target the range. Such switching is effective. [Choosing Based on Time of Day] Since market activity varies throughout the day, strategies based on time of day become important.

• Tokyo Market Open (9:00-11:00 AM) → High/Low (active trading)
• Lunch Break (12:00-1:00 PM) → Range type (small price movements)
• European Market Open (4:00-6:00 PM) → High/Low (activity resumes)

Mornings tend to see price movement as traders start their day, while lunch hours see fewer participants and sideways movement. In the evening, European investors join, bringing active movement again. In this way, understand market trends and time-of-day characteristics to choose your trade type.

Important Notes for Trading

In binary options trading, emotional decision-making is your biggest enemy. Increasing your trade amount to recover losses or betting large sums when on a winning streak is dangerous, so it's important to fix each trade at 2%-5% of your capital. Also, rather than constantly switching trade types looking for the "easiest" one, sticking with one type for at least 3 months leads to stable results. Always use only surplus funds for trading, and never invest with living expenses or borrowed money. Overseas brokers carry the risk of warnings from the Financial Services Agency, and if you make profits, you must file a tax return. Don't underestimate legal risks — ensure safe trading by following proper procedures.

Source: Financial Services Agency: "Caution Regarding Binary Options Trading!"

Conclusion

Choosing the right trade type is a crucial factor for success in binary options. Beginners should start by mastering the basics with High/Low trades using 15-30 minute expiry. Short-duration trades and One Touch types are highly difficult, so challenge them only after gaining experience. BI-WINNING offers multiple trade types, but since it's an overseas broker not covered by the Financial Services Agency's protection, it's important to continue investing safely with a trading method that suits you.