How IG INdex FTSE to finish up >5677.89

[sandeeptyagi]

Hi guys,

Does anyone know how IG INdex 's FTSE to finish up> and Wall St. to finish up> works.

The bid/offer price in the morning starts somewhere 20/25 and seems the increases if it proves to be correct.

I am very much interested to know is it binary bets and has anyone used it? how does it works

Look forward for your help!

Thanks in advance.

 

[sandeeptyagi]

i just wanted to add if i have not explained it clearly it is IG index's spread betting platform i am using.

 

[Shakone]

If FTSE finishes up the 'price' goes to 100, if it finishes down the 'price' goes to 0.

If it helps, think of the price as the probability or % of the FTSE finishing up at any given time. So if price is way up on the day, there is a good chance that the FTSE will finish up, and the price will be higher than 50. It will only start around 20/25 if it appears that the FTSE will finish down for the day (i.e. if it has a 20-25% chance of finishing up).

 

[sandeeptyagi]

Hi Shakone,
Thanks for your quick reply.

Does this mean if place an buy bet on this and price is in my favour then i receive £100 otherwise i loose £100.

Many thanks for your response.

 

[top trader]

http://www.igindex.co.uk/spread-betting/binary-bets-example.html

 

[arabianights]

Hi Shakone,
Thanks for your quick reply.

Does this mean if place an buy bet on this and price is in my favour then i receive £100 otherwise i loose £100.

Many thanks for your response.

no

if it is priced at 20-25 and you buy it then if it's in your favour you win £75 and otherwise you lose £25. Altnertatively if you sell then if it's in your favour you win £20 and else you lose £80. As you can see the odds there are significantly different.... the spread on a binary is actually much bigger than people think...

 

[sandeeptyagi]

Shakone, Top Trader and arabian nights many thanks for your replies. its much appreciated.