EZBinary ceased operating as a binary option broker. It is out of business now. The review presented here is no longer applicable.
EZBinary is a London-based binary options website run by Parabola Investments, Ltd. The company is registered under Gibraltar laws to do business, though we found no indication that is registered under any financial regulations. This site seems to be average in a number of ways. It’s a bit difficult to find information on the site itself, but the gaps are easy to fill in researching off site, so this site is pretty well known, even though it’s only been around since 2011. While nothing about this site raises any particular red flags, and it seems to offer some good features, the lack of clarity on certain points is a bit of a concern.
Opening an Account
The site doesn’t accept USA traders. You can’t even view the trading platform unless you’re based in an accepted country. The trading platform is powered by TradoLogic, however, which is one of the most popular software applications for binary options trading. There is no mobile version of the platform at this point in time, and unfortunately no demo account either. A demo account is a key feature on any binary options site since it allows you to test your method and the broker. Since there is some confusion in the wording of the FAQ on several points, it would be particularly helpful for this one. So its absence is a detractor.
When you register, you are able to deposit in British Pounds, Euros, or US Dollars. The minimum deposit is only $200, though the account tiers don’t start until you get to $500. This is where the extra benefits kick in. The site also suggests that you don’t trade with less than $500, which is something we agree with. Otherwise you’ll likely find yourself trading too high a percentage of your bankroll. The three account tiers are Silver, Gold and VIP. Match bonuses of up to 10%, 20%, and 30% are offered on each of the account sizes respectively. These bonuses may seem low, but they aren’t, because they’re for the first deposit of every month, not just your initial deposit to open your account. Gold and VIP accounts include free eBooks, and all three list one-on-one training. Market reviews are included for the upper two tiers along with signal and alert service. The VIP level also includes a custom list of assets. There is account management available on a monthly basis for Gold accounts and a weekly basis for VIP accounts.
Trading Features on EZBinary
After you’ve opened your account and are ready to trade, you’ll find that EZBinary offers a fair degree of flexibility. The minimum investment size is $20 and the maximum is $5,000, which makes this a suitable platform for account holders with large or small bankrolls. There are 35 different currencies, commodities, indices, stocks and bonds available. Three types of trading are offered: High/Low, One Touch, and Range trading. Range trading is a great way to potentially make money from a flat market, a capability which is unique to binary options trading.
Auto-trading, early closure, and rollover are provided for your convenience. The text describing these features in the FAQ is a bit odd, as is that describing in-the-money and out-of-the-money expiries. We did some research and found out you can profit 85% if your trade expires in the money and get up to 15% back if your trade loses.
The FAQ states you can receive 0-80% back if your trade closes out of the money, which makes no sense—unless they mean specifically if you use the early close button. It also says that if you close early, you can profit up to 30%. This is probably correct, since early closure would forfeit some of your profits. The FAQ states that extending a trade will result in a premium of 5-50% paid to the site, reducing your overall profits. It’s unclear whether that means 5-50% of your additional profits (beyond the winnings you’d have made without rollover), or 5-50% of your total profits. If it’s the latter, using rollover might actually be counterproductive, since you’d actually lose money in some situations.
Education and Trading Tools
As was already mentioned, most trading tools and resources are included at the upper account levels. There are some additional resources on the site. These include basic how-to pages and videos which help you learn to use the site, a glossary, FAQ, basic information on fundamental and technical analysis, and a document listing major market indicators.
Customer service is provided via phone numbers in multiple countries, email, web form, live chat, fax, and a mailing address. We were unable to reach anyone on live chat, but it was on a weekend, so this is not particularly unusual.
It’s easy to see where EZBinary could be a good broker. They seem pretty flexible about trading and offer a lot of good features. It’s great that you can trade $20-$5,000, and we like that there are One Touch and Range trades, as well as early closure, rollover and other useful features. Since the site seems to be pretty well known, on the surface it seems like something which would interest us.
The reason we have a hard time making a positive recommendation (while we can’t condemn the site with what we do know) is that the site is somewhat poorly organized and written. There are a lot of informational gaps. While we are reassured that we could find the information elsewhere, we prefer more transparency and clarity from a broker. And then there was the fact that some of the information in the FAQ was difficult to follow concerning percentages paid out for wins and losses, though we’re pretty sure we interpreted most of it accurately. It would also be important to know how to fees for using rollover work and whether they could adversely impact winning trades. Before you think about trading with this broker, you should ask a lot of questions and have a direct conversation with customer service.