Transactions specifications

 FrontStocks offers several types of transactions for different trading strategies. Due to a wide choice of instruments every trader may choose for himself the most convenient way of getting a profit. All contracts have strictly limited risks determined by a trader himself. The most part of transactions allows to derive profit from minimum price change in the amount of several points. Learn about every type of transactions below.

Binary Option

  This type of transaction allows you to make a profit by predicting a price increase or decrease between the present moment and a specified time in the future. This transaction also allows you to make a profit by predicting an absence of change in the trade instrument’s price. The transaction is carried out instantly, without delay, as soon as we receive your order. The transaction duration is specified by the client, with a range of 1 minute to 5 hours. This transaction has a floating profit coefficient. Therefore, in the case of a gain, the net profit is 65-85% of the amount deposited.
Let’s look at an example:

08:15 PM         08:20 PM

Increase in the rate

 The current time is 8:15 PM. You predict that in 5 minutes the EUR/USD exchange rate will increase. You buy a 10 dollar “binary option”. If the EUR/USD exchange rate at 8:20 PM is higher than at 8:15 PM, then the amount gained is 10 × 1.65 = 16.5 dollars. And the net profit for this transaction is 16.5 - 10 = 6.5 dollars.

Express transactions

  This type of transaction allows to make a profit by forecasting rise or decline in rates between a current and a specified moment in the future. You can set a time interval from 5 minutes to 30 days by yourself. Margin of profit as a result of this transaction is 1.85 then in case of win the net profit will make 85% of deposited funds.
Let’s take an example:

15:00                                    15:30

Increase in the rate

 It is 15:00 now. You are forecasting that EUR/USD rate will increase in 30 minutes. You are buying an “Express bull option” priced at 100 dollars. In case the EUR/USD rate will be higher at 15:30 than at 15:00 then the winning amount will make 100*1.85 = 185 dollars and the net profit as a result of this transaction will make 185 - 100 = 85 dollars.

Hourly transactions

 This type of transaction allows to make a profit by forecasting rise or decline in rates between two specified moments in the future. You can set these time intervals from 00:00 to 23:55 at a 5 minutes period. Margin of profit as a result of this transaction is 1.85 then in case of win the net profit will make 85% of deposited funds.
Let’s take an example:

10:00                           18:00   22:00

Decline in rates

 It is 10:00 now. You are forecasting that EUR/USD rate will fall (go down) during the period from 18:00 to 22:00. You are buying an “Hourly bear option” priced at 100 dollars. In case the EUR/USD rate will be lower at 22:00 than at 18:00 then the winning amount will make 100*1.85 = 185 dollars and the net profit as a result of this transaction will make 185 - 100 = 85 dollars.

Barrier transactions

 This type of transaction allows to make a profit by forecasting that the rate will be higher or lower than a specified point (option level) at the moment of expiration of transaction. You can set a time interval from 5 minutes to 30 days and also the option level by yourself. Margin of profit as a result of this transaction is dynamical and depends on selected parameters.
Let’s take an example:

12:00                                        18:00

Rate at the moment of option expiration X (option level)

 It is 12:00 now. You are forecasting that EUR/USD rate will be higher than X point at 18:00. You are buying the option meeting required conditions and priced at 100 dollars. Margin of profit (K) as a result of this transaction will be dependent on how far the X point is located from the current price. In case the EUR/USD rate will be higher than X point at 18:00 then your profit will be 100*K dollars. Margin of option profit (K) is automatically displayed on a profit calculation page after option parameters has been settled.

One touch flash bet

 This type of transaction allows to make a profit by forecasting when the rate reaches a specified point (option level) before expiration of transaction. You can set a time interval from 5 minutes to 1 hour and also an option level by yourself. Margin of profit as a result of this transaction is dynamical and depends on parameters selected by a trader. This type of transaction is specially developed for fast trading and traders using a “scalping” strategy.
Let’s take an example:

11:00                        11:35  11:40     12:00

X (option level)

 It is 11:00 now. You are forecasting that EUR/USD rate will touch the X point before 12:00 just for once. You are buying the option meeting required conditions and priced at 100 dollars. Margin of profit (K) as a result of this transaction will be dependent on how far the X point is situated from the current price. In case the EUR/USD rate touches the X point before 12:00 then your profit will be 100*K dollars. The picture displays two touch points at 11:35 and 11:40. It follows that the transaction will bring a profit. Margin of option profit (K) is automatically displayed on a profit calculation page after option parameters are being settled.

Two touch flash bet

 This type of transaction allows to make a profit by forecasting when the rate reaches two specified points (option levels) before expiration of transaction. You can set a time interval from 5 minutes to 1 hour and also an option level by yourself. Margin of profit as a result of this transaction is dynamical and depends on parameters selected by a trader. This type of transaction is specially developed for fast trading and traders using a “scalping” strategy.
Let’s take an example:

16:00                16:30           16:45     17:00

X (upper option level) Y (lower option level)

 It is 16:00 now. You are forecasting that EUR/USD rate will touch the X point and the Y point before 17:00 just for once. You are buying the option meeting required conditions and priced at 100 dollars. Margin of profit (K) as a result of this transaction will be dependent on how far the X point and the Y point are situated from the current price. In case the EUR/USD rate touches the X point and the Y point before 17:00 then your profit will be 100*K dollars. The picture displays two touch points at 16:30 and 16:45. It follows that the transaction will bring a profit. Margin of option profit (K) is automatically displayed on a profit calculation page after option parameters are being settled.