When taking a position in a binary contract, you should have a sense of the direction of the price movement of the underlying asset or a sense of the chance of the event occurring. All binary contracts are driven by the value of the underlying asset moving up or down, or by the likelihood of the event occurring. For binaries based on underlying asset prices (like Gold, Silver, Crude Oil, etc), you can gain a sense of the direction of future price movements by reviewing the hourly, daily and weekly price chart of the underlying asset on the Binary Bank website. You may also refer to numerous other information sources such as financial websites, which display price movements and predict future market trends.
If you believe that the price of the underlying asset is going to go up, to above a particular strike price, or the event is going to occur, you take a Long position on that contract, meaning you "Buy" the contract of binary options
Alternatively, if you believe that the price of the underlying asset is going to go down, at or below a particular strike price, or the event is not going to occur, you may take a Short position on the contract, meaning you "Sell" the contract.
All binaries on Binary Bank have at least a 70% payout. The price of the contract is equal to the probability of the event happening.