Binary option trading in islam

Binary option trading in islam

Nov 20,  · Trading CFDs or binary options is without a doubt haram as you do not own any part of the asset. I think you need to break it down into are you owning something or not, as options are physically deliverable you do own the right to buy/sell the stock at a specified date and price or to sell blogger.comted Reading Time: 6 mins When it concerns Binary Option Trading and whether or not it’s ‘halal’ or ‘haram’, it would be prudent to think about Shariah Law and Islam. The Arabic word “Shariah” in Islam is used to denote God’s divine law which every Muslim has to blogger.comted Reading Time: 7 mins May 26,  · Marketers for binary options firms — some of them based in Israel or run by Israelis — are targeting Muslims, especially wealthy citizens from the

You’re a good Muslim? No problem, we’ve got Islamic binary options accounts | The Times of Israel

Is Binary Options Halal binary option trading in islam compatible with Islamic traditions? This has become an important question for prospective Muslim options traders as the financial industry has become available to everyone through online trading accounts. The development of online trading in the financial industry in the last two decades has opened up new horizons for retail traders of all races and creed.

These brokers are marketing specific account types they operate as Halal and compatible with Islamic tradition and Sharia Law. The life of a Muslim is guided by Sharia Law. A Muslim is expected to abide by the Islamic principles covering all aspects of their life from social matters to economic matters that were expounded in the holy Koran.

In the area of banking and investments, Sharia law strictly forbid the lending of money with interest. When Sharia law is applied to Binary options trading, this means interest that is earned or charged for an overnight position is prohibited as well. In the spot financial markets, trading is done on a 24 hours basis. By 5 pm New York time, all open market positions are then rolled over to the next 24 hours cycle. This situation puts Muslim traders on a collision course with their religious beliefs.

For example, instead of having an open market position rolled over automatically making overnight interest payable, open positions in Islamic trading accounts are closed by 5 pm New York time and then reopen immediately hence avoiding any interest payable for the binary option trading in islam 24 hour cycle, binary option trading in islam.

For a binary option trading in islam to be able to claim that they offer trading accounts based on Islamic principle, these accounts must satisfy at least the following conditions:. To help traders in their selection of brokers that offer Islamic trading accounts, we have compiled a list of leading binary brokers that offer Islamic trading accounts. It should be noted that the list above is by no means exhaustive but is just a guide. If someone used a Halal binary options account, but had little or no knowledge of what or how to trade, then they would be using binary options to gamble — and this would certainly be Haram, binary option trading in islam.

Only the individual trader can know whether this is the case. Please note that this site — binaryoptions. It appears that it might also be dependent on the skills of the individual trader, thus in reality making it impossible for us to give advice on the matter.

See the references below for further clarification. Brokers are filtered based on your location South Africa. Reload this page with location filtering off.

IS BINARY TRADING HALAL OR HARAM ?- HOW TO USE IQ OPTION TRADING FOR PROFIT - INTRODUCTION IQ OPTION

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finance - Is binary option trading halal? - Islam Stack Exchange

With one quarter of the world’s population being Muslim, it is inevitable that more and more Muslim traders will join the online Islamic binary options trading scene. In Islamic economic jurisprudence or Shariah law, charging “Riba” or interest is forbidden and is considered as a major sin. Many brokers in sensing an opportunity that will benefit them as well as their Muslim traders came up with the idea of “Halal”, or Islamic, trading accounts. Halal Binary Options When it concerns Binary Option Trading and whether or not it’s ‘halal’ or ‘haram’, it would be prudent to think about Shariah Law and Islam. The Arabic word “Shariah” in Islam is used to denote God’s divine law which every Muslim has to blogger.comted Reading Time: 7 mins Sep 15,  · The short answer after my research is: Binary Options Trading is HARAM. Why? In Binary Options trading, there is no underlying asset which is traded or dealt upon