This could be a new word for those who are new to trading. Futures Trading is a place where people who trade well spend a lot of time.
This is a much different Method than Spot Trading. We don’t buy or sell coins here. Instead, a contract (agreement) is enough. Similarly, in Spot Trading, I could only profit when the market is up, but in Futures Trading, even if the market is down I can profit. We call it Long (when going up) and Short (when going down).
And in this, we can use something called Leverage. That enables us to trade the money we put on a trade with multiplication.
For example, if you put a $ 10 trade on a certain coin with 10 x Leverage, the trade falls to $ 100 .. ($ 10 × 10 = $ 100) This is why you can get more profit with less money.
But there is a big risk in this. According to the analysis you do, if the market goes in the opposite direction without going to the market, after a certain amount goes, the entire amount we put into the trade is not the same. Otherwise, the entire amount in the trading account is likely to be lost. We are going to liquidate this. So many people try to trade without even learning and lose a lot by being liquidated like this.
That’s why trading is called a High Profit, High-Risk Earning Method. However, if you enter trading with formal education, knowledge, and trade as a trader who respects successful Strategies and Money Management you can get great benefits from future trading.
So what do you think about this? Are there any questions about Future Trading? Add your opinion as a comment below and don’t forget to share this post for someone else to know.