Binary options are financial products are estimated on the outcome of an event. If your pick is correct, you get a fixed cash payout. If your pick is wrong you lose your entire investment. This is why Binary options are also known as 'all-or-nothing options'. In the binary options trading you can make bets on share prices, foreign exchange movements, markets or economic events. Let's try and understand this simple yet highly complicated trading activity with the infographic given alongside.