Binary Options Books

In this article, we attempt to find the best books about binary options, and recommend the trading books that we think cover the topic in the best way. So whether you are a beginner looking to learn the basics, or an advanced trader looking for in-depth strategy, we have a book for you.

The binary options sector has sometimes attracted a lot of misinformation online, fortunately that problem has not blighted the printed word in the same way. Most of the books written on the subject are honest, and describe binaries accurately. There are of course, some books that are better than others, and below, we highlight the books we think are the best for traders at particular points of their trading journey.

Suggested Reading

Binary Options: Fixed Odds Financial Bets – Hamish Raw

Hamish Raw is perhaps the leading writer on this subject. This book was written some time ago, when binaries were first made available, but remains one of the clearest explanations of how binaries work in practice.

In this book, the simplicity of binaries is one of their greatest strengths; from the start, he is keen to show that anyone who bets on a fixed odds sports event, like a football match or horse race, is taking out a binary option – though under a different name. The premise then, is that binaries deliver an easily understood way to put market knowledge to work – in what is a limited risk environment.

From here, the author then goes on to explore the range of ‘bets’ (or trade types) that can be made and the significance of ‘the greeks’ – i.e. time, volatility and price – that ultimately drive the value of that bet.

So without writing off binary options as merely a “bet”, this book simply uses the more easily understood “fixed odds” process of speculating on an outcome – in a relatively simple way – and demonstrates how these ‘digital’ financial instruments works in practise.

Recommended For:
Advanced traders will get a lot from this book. It explains exactly how to judge value and therefore find those trades with positive expectation.

Binary Options Unmasked – Anna Coulling

For those just hearing about binaries, and considering looking into the subject further, this book is worth close attention.

Are binary options for me?”: A simple question, but as mentioned above, with large amounts of inaccurate claims, ‘make money online’ headlines and misleading statements online about the risks associated with this form of trading, it can be a tough one to answer.

Written from open-minded perspective – but with a critical eye, Anna Coulling’s book offers up a “balanced and considered view” of the sector. It offers early stage advice on how to use digital options and then gives some basic trading strategies. The book is also very good at pointing out the “traps for the unwary”: the various tricks used by dishonest operators to snare novice traders on false pretences.

Overall, the view is that binary options as a concept are perfectly valid trading tools – but they can also result in quick losses if they are not understood or used incorrectly. This book will help readers stay on the right track.

Recommended For:
This books is best for traders who are curious about binary trading and want to find out if it will suit their investment needs.

Generate Daily Income from Financial Markets: a beginner’s complete blueprint of trading binary options – Sid Bhattacharjee

Aimed at beginners, this book delivers a personal and pragmatic view of binaries as a trading instrument.

It provides data on the various markets that can be traded and also includes passages on how to get into the right frame of mind for trading. One significant subject, or trading tool provided,  is the “4 week plan of action” for new traders. It provides advice on choosing a platform, advocates a trial run, or demo account, before moving on to trade with real cash.

Recommended For:
Squarely aimed at beginners. Combined with a demo account, this book is a good starting point for a beginner or someone new to trading generally.

Candlestick Charting For Dummies Russell Rhoads

This hugely popular series of books delivers a superb ‘entry level’ introduction for almost every subject imaginable. Many readers will have come across For Dummies books in the past. With simple texts broken down into bite-size chunks and plenty of diagrams, this series of instructional manuals always delivers.

In addition to this subject, there are others in the series that will help, these include Technical Analysis For Dummies and Currency Trading For Dummies. This volume, dedicated solely to candlestick charting, is a good read for anyone who might be struggling to get to grips with this particular area of analysis.

Candlesticks are information-dense, highly useful means of identifying trends, offering traders details of opening and closing prices, highs and lows and overall range – often over very short timeframes. They are a key element of any trader’s knowledge base – particularly binary traders.

This guide explains how a candlestick chart is put together and how to read them. It shows how to look for bullish and bearish markets, how to avoid false signals and where to combine these indicators with a range of others. Our Charts page also explains the basics of candlestick charts.

Recommended For:
This series generally caters for beginners in whatever subject it covers. This book would however, also appeal to more experienced traders as the subject does move into more advanced areas.

Understanding Company News: How to Interpret Stock Market Announcements – Rodney Hobson

Almost all of the best binary options trading platforms will offer alerts, so market news is posted straight to users’ platforms. These updates might include news relating to specific companies, perhaps annual results, share buying activity, mergers and profit announcements.

For those who might be unfamiliar with how markets and companies work, it’s easy to dismiss this type of data as ‘noise’. Yet these regular reports and formal announcements can act as huge binary options trading signals; not least because stronger or weaker than expected numbers from these corporations can in themselves create large drops or gains in asset prices. Some may even go beyond their direct stock price, and affect commodity or forex prices. As an example, the Google tax issue with Ireland had ramifications across all sorts of sectors.

So how can traders ensure they make sense of these events? The book delivers a thorough grounding. Although the main points are on UK companies listed on the London Stock Exchange, the broad principles will apply on global stocks across indices around the world.

The book provides a background on how, when and why companies are legally required to release certain data. It will then go on to offer an overview on all of the routine statements companies are expected to issue. It also provides a jargon buster which is very useful. Vitally, the book shows you what type of announcements are likely to affect the share price – and in which direction.

Recommended For:
This is a useful resource for anyone looking to trade binary options based on news events.

These books all cover binaries and digital trading in an open, honest and transparent way. If any book starts to hint at ‘get rich quick’ marketing, or suggests binary trading is an easy route to profit – give it a miss. Binaries are a form of trading just like any other, they need learning and understanding. Hopefully our recommended books can help our visitors do that.

Binary Trading eBooks

eBooks, much like some of the online marketing, have been swamped with misinformation. While several brokers have notably written some good, informative ebooks, they are generally written for users of a particular platform. They are more of a ‘How to’ guide, than a general look at the subject.

There are therefore, not too many independently written ebooks that offer an unbiased view of the industry. When looking at strategy, shorter ebooks become very useful, but as an introduction to binary options as a whole, they generally fall below the level of published books.

We would therefore advise those looking to learn the subject, to go for ‘real’ books, and or download electronic versions of the recommended titles above, rather than trawl the web for ebooks. When we find an ebook of sufficient quality, we will of course publish it here.