
Are You Investing, Speculating or Gambling?
Money For the Rest of Us
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Binary Options
Binary options are a form of gambling. You're going to have to be a very, very good predictor in order to beat the house because the expectation is it's a negative return. I looked at S&P futures contracts on Nadex - an exchange which means somebody's on the other side of the trade. Is that gambling also? Well, here's what I found out. It was right there to where if it went up, if you were long, you'd get a payout. And if you were expecting, if you had sold short and expecting to stay below the strike price, you would getting a payout.
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