There are two types of binary exercising options: the American style and the European style. American-style options can be exercised (or settled) at any time prior to expiry. European-style options can only be exercised on the date of expiry or the last business day prior to expiry. With both in binary trading, you can change your position if you think your initial answer to the proposition will be wrong at expiry to a) cut your losses or b) lock in an early profit.
The binary options market has grown at a very quick pace since the onset of online binary options trading several years ago. Some brokers provide much of the same features and services as others. On the other hand, there are those that have taken the market to the next level. This has been enabled through vast investment in research & development. As a result, you can now trade from nearly 100 assets with some brokers on the market. The fact that you can start trading these underlying assets from as little as $10 per contract makes the world of trading that much simpler.
There is not only a much higher number of assets that you can trade on the binary options market now, but the assets are very diverse. For example, when it comes to stock binary options, you have the choice of a multitude of industries, such as Ford (car industry) or HSBC (banking industry). This is what every trader is looking for, especially with the volatile financial markets these days. You will often find that when certain industries are doing well, several other industries may be doing badly. So if you stay on top of the global economic news, you have a chance of making nice returns from this market.