Post
Topic
Board Trading Discussion
Topic OP
Future and perpetual (derivative trading)
by
Oshosondy
on 12/12/2022, 11:22:11 UTC
I started to trade in derivative market on some exchanges, to access it, you will click 'future'. This is confusing or am I the one that is not getting something right?

In my opinion, there is difference between future qnd perpetual trading, but both are on the same derivative market which is different from spot trading because their profit or loss is set at a predetermined date or price.

In future trading, it can be weekly, biweekly, monthly or quarterly. If a position is opened, there would be future date set for the trade to close.

In perpetual trading, no future date set for the open position to close, trade will close the trade by himself if the liquidation price is not reached.

Perpetual trading and future trading are both derivative trading. Why are both referred to as futures when no predetermined date set for perpetual? Even if perpetual trading is left for long, maybe it can be considered as future trading? if sclaping with perpetual, should that be regard as future?