A Point is 1 number to the left of a decimal and a pip is represented as the lowest value to the right of the decimal. In this example, it would be the number 4. Other assets in Binary Options are measured in terms of pricing (e.g. cents and dollars).Put Option This is the opposite of a Call Option, and refers to an investment that is predicted to decrease in value at the time of expiry. A profit can be made here by your asset value decreasing in value by one Pip or cent over its Strike Price.Strike Price This is the price of the underlying Binary Option asset at the time of purchase. When an option expires, it is compared to the Strike Price to determine if the closing price has gained in value (In The Money), or lost value (Out The Money).In the Money An option is referred to as In The Money if it has gained value/paid out on expiry. This can refer to both Call Options and Put Options. A Call Option will be In The Money if the value of the asset is higher than the Strike Price on expiry. Similarly, a Put Option will be In The Money if the value of the asset is lower than the Strike Price on expiry.Out of the Money This is literally stating that you have lost the trade. The dualistic win/lose nature of Binary Options means that winning and losing your investment is equally possible. A Call Option will be Out of The Money if an asset is lower than the strike price on expiry. A Put Option is Out of The Money if an asset is higher than the strike price on expiry.At the Money A very rare occurrence in the ever-changing financial markets is when an option equals the market price of the underlying security at the time of expiry. This is neither a win or a loss and your investment will normally be returned to you.There are a number of variables that all traders should consider before making an investment, but a Binary Options trade is normally no more than three simple steps, assuming you have a trading account and have picked an asset with which to trade with.Various payouts percentages will be offered to traders depending on their choices of expiry times and investment amounts. Once a trade is made, its simply a waiting game until your pre-determined expiry time, and then you will know if you are In the Money or not.There are several Binary Options Brokers available, and these numbers are set to increase as trading options online grows in popularity. With that in mind, what should traders look for in a broker, and how do you find the right one for you Weve made it easy by reviewing and presenting the best brokers for your consideration.Our reviews are comprehensive, and we look at a number of variables in each review. These include Regulation, The Trading Platform, Demo Account Features, Real Money Account (inc. Min Deposit, Bonus and Returns), Banking Options, Support and Customer Services.Many new traders are familiar with the most common form of binary options, where we simply make a bet on whether the price of an asset will increase (in CALL options) or decline (in PUT options). But once traders have some experience with these instruments, many look to more advanced trading strategies in order to get an edge on the market. One of these strategies is called Boundary trading, though sometimes the terms Tunnel trading or Range Binaries are also used.BrokerDepositDemoiPadAndroidReviewVisit 250 250 200 200 200Essentially, boundary allow traders to speculate on the possibility that an assets prices will be confined within a range over a predetermined period of time. So, for example, if we believe that Alcoa stock will trade between 9 and 10 for the next month, we could enter into a Boundary options contract using 9 and 10 as the strike prices, and one month as the expiration time. If prices close within this range in one month, the trade will generate gains. If prices fall above or below this range, however, the trade will finish out of the money.In the graphic below, we can see what this would look like on a real-time trading station. In this example, the traded asset is the GBP/USD currency pair. The strike prices are: 1.5702 (on the top side) and 1.5694 (on the bottom side). Since this is a relatively small trading range, the expiration time is short term (15 minutes). On most platforms, the expiration time can be found in the Expires box.Here is a closer look at a Boundary Option at 24OptionIn an example like the one shown above, we will want prices to hold inside the grey price box (defined by the upper and lower strike prices), as the time frame crosses over the red line (which marks the expiration of the contract). Here, the payout will be 60 is these parameter requirements are met. These payouts, however, will vary depending on the broker that is used and the asset that is traded.You May Want to Start Trading Boundary OptionsIf prices cross over the red line as they are outside the grey boxed area, the trade would finish out of the money. An example of this can be seen in the chart graphic below:Trying to be In the Money is CriticalBut this is not the only way Boundary options can be used. Another strategy is to look for prices to trade outside of a predetermined range. For example, lets say that we believe Alcoa will not trade between 9 and 10 in the next month. This essentially means we believe that prices will either be below 9 or above 10 by the end of this month. In this case, the trade would be profitable as long as prices are not caught inside this predetermined price range.As options traders become more knowledgeable of the various contract types that are available, Boundary options trading has steadily grown in popularity especially at 24option. One of the best ways to profit from this strategy is to focus on the underlying volatility (changes in price) that can be found in the markets. For example, if you believe that volatility will increase to a high level, it makes sense to trade outside of your chosen price boundary.Boundary Options with Cherry TradeConversely, if you believe that markets will consolidate and decline in volatility, it makes sense to set a trade on the expectation that prices will remain contained within your boundary. Boundary options offer an attractive alternative to simple up and down binaries and can allow traders to express a very different view of the markets.Thanks for checking out Binary Options University.