The Swiss forex broker Dukascopy Bank announced it is changing its trading conditions for pair binary options.
Unlike previously, when the binary option outcome was defined by comparing open and close price of the same trading session, as of July 15, it is defined by comparing the close price of the previous session and that of the current session.
Dukascopy Bank offers trading in pair and up/down types of binary options on forex currency pairs, Daily Stock Options (DSO) on stocks and pair binary options on Index/Stock combinations.
As per Dukascopy’s conditions, clients can only trade intraday on binary options. They expire no later than 21:59:59 GMT during winter time (20:59:59 GMT during daylight-saving time). Generally, the duration is defined in a number of hours and minutes. It varies from 1 minute (minimum duration) and 23 hours 59 minutes (maximum duration).
Up/down binaries, for example, have a maximum expiration period of up to 24 hours, while the duration of the DSO and pair binaries is equal to the length of the trading session of the exchange where the underlying instrument is traded and cannot be adjusted by the client.
Both DSOs and pair binaries are opened for the entire trading session of the respective exchange. They open when trading on the exchange open and expire by the close price of the trading session. Orders are placed on the nearest trading session opening. If an order is placed while the trading session is running, the option opening will be scheduled for the start of the next trading session.
Recently Dukascopy Bank has made temporary changes to the trading conditions and increased maximum exposure limit on CFDs on several GBP and EUR-based indices.
Dukascopy Bank, set up in 2004, is based in Switzerland’s Geneva and operated globally through offices in Zurich, Riga, Kiev, Moscow, Kuala Lumpur and Hong Kong. It is licensed as a bank and as a securities dealer by Switzerland’s Financial Market Supervisory Authority (FINMA). The company owns 100% in brokerage Dukascopy Europe IBS , e-payments provider Dukascopy Payments, both based in Latvia, as well as Japanese broker Dukascopy Japan K.K., formerly Alpari Japan K.K.