Post
Topic
Board Trading Discussion
Re: Do Not Lose Everything Youve Gained in One day, or One Trade
by
justdimin
on 01/11/2023, 07:24:38 UTC
Trading futures is a very serious form of investing that can lead to big wins or losses. I have tried it myself in the past with mixed results and I would recommend anybody interested in it to first try their strategies in demo accounts. We are facing again a period of high volatility, which usually means that traders can make a decent profit. Trading futures just means that we have leverage on our positions and don't need to put all our money down to buy an asset. Just because we start trading futures doesn't mean we need to go into debt. After developing a successful trading strategy in simulations or a demo accounts it's good to start small. I would recommend anybody at first to make sure that we have enough capital to cover the notional of the futures contract. Once the strategy proves to be profitable it can always be scaled up with additional money. The biggest risk is the fear of missing out just because prices jumped up 15% in a short period of time. I would always prefer to follow my own research and strategy than following the herd and be late to the party.
Not a form of investing, but it was another form of trading and I heard it's much riskier than the normal forms of trading. But as they say, more risk is equals to more win. So yeah, that was the only advantage there if you are skillful or lucky enough to make a good/winning trade. Not only in futures trading but even on other forms of trading, it is recommended to practice first.

Obviously, so that we can familiarize things and lessen our chances of losing, or increase our chances of winning, in other words. It's safe to go low but there are others who are seem not contented on the risk that futures trading has to offer, so they do yolo trades or go all in. If we are a beginner, it's always better to start on the basics of trading, not here in futures.