Fixed Time Trading
Fixed time trading (FTT) involves speculating whether the price of an asset will rise or fall over a period. You get a payout if your prediction is correct and lose your stake if you’re wrong.
It’s a straightforward short-term trading product, allowing you to trade a range of asset classes, from stocks and forex to commodities and cryptocurrencies without owning the underlying asset.
Note fixed time trading share similarities with binary options and the Financial Conduct Authority (FCA) have expressed “concerns about the inherent risks of these products.”
Best Fixed Time Trading Brokers
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Pocket Option offers ultra-short-term binaries from 5 seconds on one of the simplest web platforms for beginners. Payouts rival alternatives at 90%+ while the ‘Double Up’ and ‘Rollover’ features provide further opportunities to profit. Considering the negatives, the suite of 130+ assets trails binary brokers like Quotex, which offer 400+.
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IQCent offers binary options with above-average payouts up to 98%. The broker supports an online platform with basic analysis tools but a wide range of timeframes, from 1 minute to 1 month, catering to short and long term trading strategies. Considering the negatives, there are no binaries on stocks.
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CloseOption offers binary options trading on 30+ fiat and digital currencies through an easy-to-use web-based platform. 15 contract timeframes are available from 30 seconds to 1 month, suiting both short-term and long-term traders. New users also get a joining gift.
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Trade high-low binary options contracts on currencies, metals and cryptos with high payouts. Binaries offer a straightforward bet on the short-term direction of an asset.
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Dukascopy offers binary options on currency pairs, stocks and indices, alongside powerful trading tools and market insights. User gets flexible contract sizes and deposits are protected by EU law, though the $1000 starting investment is higher than alternatives.
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AZAforex offers binary options with time-dependent payouts that can be taken out on any asset included as a CFD or spot instrument. Over 50 binary options are available with a $1 minimum stake and payouts up to 190%.
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Videforex continues to offer binary options with 20% payouts on crypto and up to 98% on less volatile assets, beating many competitors. A wide range of contract lengths are also supported from 5 seconds up to 1 month. New users will appreciate the welcome deposit bonus.
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Focus Option offers binary options trading on 140+ instruments including forex, cryptocurrencies, commodities, indices and company shares. Contracts include 30 seconds, 1 min, 2 mins, 5 mins, 15 mins, 30 mins, 1 hr, end of day, and long-term contracts up to 30 days. Decent payouts typically climb to 95%. The browser-based platform is beginner-friendly with sophisticated analysis tools.
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BinaryCent provides binary options trading on a range of markets through a slick proprietary platform. Traders can invest as little as $0.10 per trade and earn payouts up to 95%, and these are excellent terms that accommodate casual and low-capital traders while allowing profit opportunities.
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World Forex offers binary options where you simply decide the stake, price direction and contract timeframe. The payouts are high at up to 100% on American contracts and 85% on European, which also offers a partial refund to traders who close contracts before expiry.
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RaceOption offers 100+ binaries with decent payouts up to 95% and ultra-fast expiries from 5 seconds. With a $250 minimum deposit, clients can enjoy free deposits, fast withdrawals and a range of trading bonuses.
Methodology
To find the best trading platforms, we:
- Took our directory of 300 online brokers that accept UK investors
- Pinpointed those with fixed time trading products on their platforms
- Sorted them by their overall rating, combining key data points with our own observations
Choosing A Broker
There are several factors to consider when choosing a broker:
- Trust – Given that you will struggle to find a UK-regulated broker with fixed time trading, it’s essential to consider the firm’s reputation and years in the industry. A trustworthy broker can help protect you from scams, which are unfortunately prevalent in the industry. Dukascopy, for example, is a reputable company, established in 1998 and regulated in the European Union.
- Payouts – Payouts can vary depending on the broker, with up to 98% offered at brands like IQ Cent and Videforex. That said, payouts can vary depending on market conditions and asset class. Cryptos, for example, are highly volatile and typically have lower payouts. It’s also worth checking the minimum deposit since these can vary significantly, from just £5 at Pocket Option to £250 at IQCent.
- Expiry Times – Consider whether you want to place trades over a short or longer horizon. Many brokers, such as CloseOption and Pocket Option offer ultra-short time frames, starting from just 5 to 30 seconds.
- Platform – Look for a user-friendly, reliable platform with a range of tools for technical analysis. A demo account is the best way to test out the platform and practice strategies. Pocket Option, for example, offers an easily accessible demo mode with full access to the platform’s charting package.
![Fixed time trading web platform at Pocket Option, showing GBP/USD chart and tools](https://www.investing.co.uk/wp-content/uploads/2024/07/Fixed-time-trading-brokers-Pocket-Option-platform.png)
Pocket Option – Web Platform
What Is Fixed Time Trading?
Fixed time trades are similar to binary options in that they allow you to predict whether an asset’s price will go up or down within a predetermined period.
Alongside the timeframe, potential profits and losses are also agreed upfront, based on two possible outcomes:
- If your prediction is correct, you will win your stake back plus a payout.
- If your prediction is incorrect, you will lose your stake.
You can see a fixed time trade in action below where I predicted the price of GBP/USD would decline over 5 minutes.With a $100 stake, my trading platform offered me a 73% return for a correct prediction, which would give me $173 in total ($100 stake + $73 profit).
On this occasion, I was right and my balance was credited with my returns. If I had been incorrect, I would have lost $100.
Consider what news announcements or events may happen which could cause volatility. For example, you may want to consider fiscal updates from the Bank of England if you are speculating on GBP/USD.
Is Fixed Time Trading Legal In The UK?
The Financial Conduct Authority (FCA) restricted the sale of binary options in 2019 due to the risks of trading such products and the ‘poor conduct of the firms selling them’.
While the FCA has not called out fixed time trading as part of the ban, given they share similar characteristics, the FCA may take a similar stance on these products.
British traders can still access FTT through overseas, weakly regulated firms, but this may mean forfeiting important safeguards.
Notably, you won’t have access to up to £85,000 protection through the Financial Services Compensation Scheme (FSCS) should your brokerage become insolvent.
Tutorial
To open a fixed time trade, there are three steps to follow:
- Choose an asset – Available markets vary by broker but typically include forex like GBP/USD, commodities like oil, stocks like British American Tobacco and indices like the FTSE 100.
- Set your parameters – Set your expiry time, typically between 5 seconds and several weeks. You will also need to decide how much to invest, bearing in mind that you can lose the whole value if your prediction is wrong.
- Make your prediction – Decide whether you think the price will go up or down when the trade expires and confirm your trade. At expiry, you will be notified of your potential profit or loss.
Bottom Line
Fixed time trading is a straightforward way to speculate on the financial markets. With fixed parameters, it’s a popular short-term trading strategy.
However, it’s not without risks. The FCA takes a dim view on these types of trading products and you could lose all the money you invest.
To get started, sign up with a top-rated fixed time trading broker.
FAQ
Which Is The Best Fixed Time Trading Broker?
Pocket Option is the highest-rated UK broker with fixed time trading.
It offers an intuitive and feature-rich trading platform with a free demo account, payouts up to 92%, and up to 250 financial assets spanning currencies, stocks, indices, commodities and cryptos.
Is Fixed Time Trading Safe?
Like all forms of online investing, fixed time trading is not safe. You can lose your investment if the trade doesn’t go your way.
It also shares similarities with binary options trading, which the Financial Conduct Authority (FCA) have clamped down on in recent years.