Hello, I would like to know if there is a bad side to a long term trade say 1-2-3 weeks or 1-2 months - meaning , paying for the fees to have it running? versus the gains u make?
I notice there are long term traders but i am curious as to how they manage this or be mindful of it.
Is it really an issue?
Many issues you might (or not) have with long term leverage trade positions
- You will be charged a lot of fee, funding rate.
- Your leveraged positions will be affected by market changes that can be minor or major. You will be lucky and safe if the market won't change much in the opposite direction against your position. In contrast, your position will be liquidated.
- The longer time you leave your position opens, the harder you can not control it.
- Leave your leverage position opens for more than 2 weeks is very terrible and I don't imagine how terrible it is with 1 or 2 months.