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While opening a position (contract) on your preferred binary options trading platform, you will be shown the expected payout on the position you would like to open beforehand. For most binary options brokers, the payout amount ranges between 70 and 85 percent of the invested money in the position. Similarly, if your prediction on the open position is wrong at the time of contract expiry, you will have lost the bet and consequentially the money you staked on the trade.

If at the end of the one hour ( the expiry period for your contract ) the price of the asset goes up and you had predicted that it would go up, you will have won the position.

However, traders need to note that the magnitude by which the price of the commodity move will not determine the payout amount.