With binary options trading you will always know exactly what you stand to lose and exactly how much you could win for every trade you make. However, that doesn't make any one trade safer or a better bet.

Binary options are bets made on the value of a single asset over a fixed time period. In order to trade options successfully you'll always need to fully research each asset.

Some binary brokers specialise in just one or two assets, depending on the broker this could be any stock, market, currency or commodity. So to be successful, you'll need a scheme that matches your knowledge and interests.

The best binary options broker will offer a combination of the top trader account and a trading platform that's easy to use:

1. Find the best binary options trader account

Compare binary options trading accounts to make sure their asset options fit your strategy. It's no use setting up a forex binary options account if you want to trade market or index options.

Compare payouts and features to choose an account that suits you. Some brokers have a high minimum stake, some offer cashback on unsuccessful trades and others offer welcome bonuses on large deposits.

2. Choose the best binary options trading platform

Each broker supplies a trading platform alongside their accounts.

It's through this platform that you will be placing your bets so make sure it displays information clearly and that it's easy to navigate and use. Remember, account incentives won't be worth anything if you can't use the website effectively.

Check out each brokers platform and use a binary trading systems comparison to find which website is best for you.

3. Decide which options to trade

This is the most important decision you'll make, as badly informed decisions are the single most reliable way of losing money. Even with the right knowledge, every time you buy or sell options is still a risk.

If you're new to buying and selling stocks, shares, commodities and forex make sure you've researched each area in full before you think about beginning buying or selling binary options in any one of them.

How to profit from binary options trading

Like all investments, binary options UK bets have the potential for loss as well as profit. If your prediction is correct when the option ends, you win the payout quoted. If you were wrong, you lose your stake.

Each trade comes down to choosing the right asset, at the right time, at the best price. So, to trade options successfully you need to find an account and platform that complement your strategy.

Strategies to limit risk

A classic binary options technique is to tie each individual trade to your total investment, as a proportion (e.g. 5%) of that overall budget. Your stake per trade will then shrink in line with your balance if you lose out, minimising risk; alternatively it grows when your trades enjoy some success, thus maximising your profits.

Binary options usually don't have tools such as stop-loss orders (to close early to minimise losses) and they can't be extended to increase your profit. This makes it even more important that you trade responsibly.

Never bet more than you can afford to lose and only trade binary options for assets that you fully understand. Try to take it slowly so that all your trades are based on research rather than the emotion of a previous 'win' or 'loss'.

Finally, you might want to consider using binary betting as a simple way to hedge against losses in your other investments.