3 Exciting Ways To Build Multiple Streams of Income Using Online Trading
The human desires are unlimited but the resources to satisfy those desires are limited in the real sense of the word. Your responsibilities and expenses are more likely to increase with each passing day but your income is not likely to increase in direct proportion to your expenses. One of the ways by which you can balance the disparity between your income and expenses is to reduce your expenses. However, reducing your expenses would reduce the quality of your life and that’s no way to live.
You can also balance the disparity between your income and disparity by increasing your income. One of the ways by which you can increase your income is to open up the streams of multiple income with online trading. This piece seeks to explore how you can build multiple stream of income with online trading.
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Stock Trading
A smart way to increase your income is to start by trading stocks on exchanges – you need not go to physical locations to trade now since the internet provides traders with a platform to buy and sell stocks. Stock trading allows you to buy stocks in the hopes of making gains from increases in their share prices. The basic idea behind stock trading is to buy the stocks when the price is cheap and then sell them when the price is high.
Stock trading also has some advanced strategies that include short selling and leveraged buys among other things. You can also focus on specific types of stock trading depending on your trading capital, risk level, time allotted to trading, and investment timeframe. For instance, you can focus on income-yielding stocks that pay dividends, you can focus on momentum stocks that have sharp bursts of changes in their share prices, and you can buy solid bluechip stocks for the “relative” stability that they provide.
Binary Options Trading
Binary options trading is another exciting way through which you can increase your income. Binary options is a derivative market in which you trade on the price changes of securities such as indices, stocks, commodities, or currencies without actually buying the said securities.
Binary Options is a great way to make money on the side if you don’t want to become a fulltime trader and you don’t want to invest much time and resources into learning how to trade. Bradley Craig, a trader at Trade OptionsClick notes, “Trading binary options online requires little to no prior knowledge of experience… There’s no need for a background in finance or economics…”
In binary trading, you’ll have the choice to buy “Call” options or “Put” Options. You’ll buy “Call” options when you think that the price of an asset or security will increase. You’ll buy “Put” options when you have reasons to believe that the price of an asset will fall.
Binary Options provide you with an easy way to make money because it doesn’t require much trading capital since your won’t be buying the underlying asset – you’ll only “bet” on the price of the asset. More so, you can also trade binary options at your convenience since you can buy binary options that will expire in the next 30 minutes, 1 hours, 1 day, weeks, or even months away.
If you predict that the price of an asset will rise and the price rises, you’ll be paid a pre-determined payout; but you’ll lose your money if your prediction is wrong. Different trading platforms have different payout rates; hence, you should consider reading binary options reviews before choosing the trading platform that you’ll use.
Spread Betting
Spread betting also provides an exciting avenue for you to make some money on the side as part of measures to increase your income. Spread betting is a type of speculation that requires you to bet on the price movement of an asset – the asset might be a commodity, forex, or stocks. Spread betting involves two quoted prices; namely, the offer price and the bid price. The spread betting firm will require you to bet on whether the trading price of the asset will be higher or lower than the offer price within a specific time.
Spread betting provides you with leverage to make money with a little trading capital compared to how much you can make if you invest the same amount money in buying the underlying asset. For instance, if you have a $200 trading capital, you’ll make more money with spread betting than by buying $200 worth of stock. With spread betting, you can stake $10 per point on stock XYZ’s $50 trading price. Hence, you’ll earn $10 for every point gain in the stock. If stock XYZ gains 40 points before you close your bet, you would have gained $400, which is exponentially more than what you could have gained by buying the stock with $200.
Guest Author: Lolita Di
[…] 3 Exciting Ways To Build Multiple Streams of Income Using Online Trading The human desires are unlimited but the resources to satisfy those desires are limited in the real sense of the word. Your responsibilities and expenses are more likely to increase with each passing day but your income is not likely to increase in … Read more on The Global Dispatch […]
[…] 3 Exciting Ways To Build Multiple Streams of Income Using Online … Bradley Craig, a trader at Trade OptionsClick notes, “Trading binary options online requires little to no prior knowledge of experience… There's no need for a background in finance or economics…” In binary trading, you'll have the choice to buy “Call … Read more on The Global Dispatch […]
[…] 3 Exciting Ways To Build Multiple Streams of Income Using Online Trading Binary options trading is another exciting way through which you can increase your income. Binary options is a derivative market in which you trade on the price changes of securities such as indices, stocks, commodities, or currencies without actually … Read more on The Global Dispatch […]