Why Beginners Should Not Go For Future Trading? - page 3.

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Quote from: GiftedMAN on March 18, 2023, 07:42:55 AM

Quote from: yhiaali3 on March 16, 2023, 07:50:50 AM

I used leverage once as far as I can remember and lost it, I prefer small profits with less risk than big profits with higher risks so I use spot trading only.

Futures trading carries high risks, so it is best for beginners to avoid it completely, but in general, whether in spot or future trading, it is best to risk only what you can afford to lose.

I will always advise newbies to take away from the future market because the risk is broad and can make one to make severe loses. Future market is a volatile market and if we don't learn the market very well and how it moves, we might end up losing big because of the market situation. For the new new traders, they would have to study the market and work with a pro trader so that learning will be very faster than choosing to do it on there own. When I started trading the market I new those things I had to stick to and learn in other to get more from the market.

If they do mistake in futures there's no going back since if their money got liquidated they don't have a chance to get it back again by using the same money they put on exchange. Much better if they stick on spot trading for a while and learn from the movement of the market, after they got confident on their skills maybe they could start to try and risk to enter on futures trading.

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Quote from: yhiaali3 on March 16, 2023, 07:50:50 AM

I used leverage once as far as I can remember and lost it, I prefer small profits with less risk than big profits with higher risks so I use spot trading only.

Futures trading carries high risks, so it is best for beginners to avoid it completely, but in general, whether in spot or future trading, it is best to risk only what you can afford to lose.

I will always advise newbies to take away from the future market because the risk is broad and can make one to make severe loses. Future market is a volatile market and if we don't learn the market very well and how it moves, we might end up losing big because of the market situation. For the new new traders, they would have to study the market and work with a pro trader so that learning will be very faster than choosing to do it on there own. When I started trading the market I new those things I had to stick to and learn in other to get more from the market.

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Quote from: tvplus006 on March 18, 2023, 07:04:22 AM

Quote from: kawetsriyanto on March 17, 2023, 05:12:02 PM

...Well, traders can use technical analysis or fundamental analysis to predict the price, but this factor can guarantee success in future trading. Sometimes those analyses can't work well if there is bad news spreading suddenly.

Of course, it is very important to use technical analysis or fundamental analysis to predict prices, but it is equally important to comply with risk management. After all, if you open orders for your entire balance and do not use stop loss, then your margin trading will end very quickly.

I agree that stop loss is a crucial feature that an exchange must have and as a trader its really advised to use stop loss to prevent capital loss instantly. Also reasonable leverage is needed to prevent our greed from losing more capital instantly. We need to use our money that we can afford to lose in future trading otherwise we will get panic when its suddenly dump.

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Quote from: kawetsriyanto on March 17, 2023, 05:12:02 PM

...Well, traders can use technical analysis or fundamental analysis to predict the price, but this factor can guarantee success in future trading. Sometimes those analyses can't work well if there is bad news spreading suddenly.

Of course, it is very important to use technical analysis or fundamental analysis to predict prices, but it is equally important to comply with risk management. After all, if you open orders for your entire balance and do not use stop loss, then your margin trading will end very quickly.

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Quote from: BD Crypto on March 13, 2023, 04:43:18 AM

Edit: Trading beginners can practice future trading with Demo funds. There are some exchange available where you can trade with demo assets. That will help you to build a good experience in future trading.

Trading futures means that we are using leverage to have larger positions than when buying the underlying assets directly. When buying futures we need to put money in a margin account, that settles all price movements. So we participate on price fluctuations without needing to put down the full balance. This creates another layer of risk, which is why no beginner should engage in futures trading. With futures we can make higher returns if our strategy is profitable, but we will make larger losses when our strategy is falling. Running a demo account is a great idea to check how profitable our strategy is. Only looking at backward prices is not going to lead to a great strategy, we need to test with real time data. The best way is to create a good strategy in the spot market first. Once we are profitable and have some experience we can start trying out futures trading.

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Quote from: goinmerry on March 17, 2023, 07:52:43 PM

Step by step. Take things smoothly and don't rush things.

Newbies are not advised to go for Future Trading right away since advanced trading knowledge is needed here.

While doing Spot Trading first, these newbies will slowly learn some trading-related knowledge while progressing. Soon, they will realize that they are now ready to face the experience of doing Future Trading and will consider trying it bit by bit until ready to risk decent funds.

lucky we are in this forum, so much experience from other members, so beginners don't fall into mistakes. in trading it has to be done gradually, don't let us want instant success, I think beginners would be better off also doing spot trading first and from there we will slowly understand about the world of trading, so afterwards we can develop it ourselves according to our wishes us, and of course requires a process

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Step by step. Take things smoothly and don't rush things.

Newbies are not advised to go for Future Trading right away since advanced trading knowledge is needed here.

While doing Spot Trading first, these newbies will slowly learn some trading-related knowledge while progressing. Soon, they will realize that they are now ready to face the experience of doing Future Trading and will consider trying it bit by bit until ready to risk decent funds.

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Future trading is like for advance users and are not for newbies. It's just the same in video games if you skip the tutorial then you will probably gonna lose on your first try. Future trading need an experience and vast knowledge about the market and what coins they are trading so newbies doesn't have any place to touch this feature yet.

They should focus more on reading and understanding how the market works plus they'll need to apply it in order to get the idea how it actually works.

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Quote from: yhiaali3 on March 16, 2023, 07:50:50 AM

I used leverage once as far as I can remember and lost it, I prefer small profits with less risk than big profits with higher risks so I use spot trading only.

Futures trading carries high risks, so it is best for beginners to avoid it completely, but in general, whether in spot or future trading, it is best to risk only what you can afford to lose.

I really think that beginners should stay away from any form of trading, since for them even spot trading is too dangerous as they have no idea about how to control the risk they are experiencing, beginners instead should concentrate on just buying and holding their coins, and while the profits are more limited with this approach it will also reduce the chances of making any kind of mistake, later on once they get enough experience they could begin to trade the markets if they want.

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Quote from: tvplus006 on March 17, 2023, 11:02:04 AM

Quote from: yhiaali3 on March 16, 2023, 07:50:50 AM

I used leverage once as far as I can remember and lost it, I prefer small profits with less risk than big profits with higher risks so I use spot trading only.

Futures trading carries high risks, so it is best for beginners to avoid it completely, but in general, whether in spot or future trading, it is best to risk only what you can afford to lose.

You have seen from your own experience that futures trading is very risky not only for beginners, but also for an experienced trader. But the risk of losing their money is undoubtedly higher for a beginner, since he will lack knowledge and experience when making a decision.

Even to those old traders or who could be called a veteran would really be having that huge risks on losing or blowing up their account balance specially on using up high leverage which is something not really

that recommendable.Somehow, there are people who do make out some huge profits on this but of course we dont know on how much they had lost when it comes to their trading positions.It cant really be just known on how well you would be able to handle up yourself into a unpredictable and volatile market plus you do make use of high leverage then you are indeed multiplying the risks.

Well, we do know that the higher or more the risks it would be the more profits we could get which is true but of course you should really be aware on how risky and dangerous it would be.

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Quote from: tvplus006 on March 17, 2023, 11:02:04 AM

You have seen from your own experience that futures trading is very risky not only for beginners, but also for an experienced trader. But the risk of losing their money is undoubtedly higher for a beginner, since he will lack knowledge and experience when making a decision.

Yep. Even for experienced traders, future trading is always very high risk. Having sufficient knowledge and experience can't guarantee to trade safety in future trading. I personally assume, it is more likely as speculating trading. If you have no good luck in trading, it is better to stay away from future trading. Well, traders can use technical analysis or fundamental analysis to predict the price, but this factor can guarantee success in future trading. Sometimes those analyses can't work well if there is bad news spreading suddenly.

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Quote from: Luzin on March 15, 2023, 09:07:08 AM

Sure, I recommend beginners to demo or practice directly through spot trading. Futures trading will make you suffer more, from spot trading. Futures trading is a further development of spot trading. So you should be easier if you have mastered spot trading to futures trading. Even though in the end it was the comfort I was looking for and maybe the OP could also try and know the risks so as to determine the choice he considered most profitable. Although all can be trained sometimes discomfort will make him choose spot trading (like me).

Convenience in trading also depends on how you learn this type of trading. If you are more comfortable with spot trading that would be even better, because most beginners who try futures trading will switch to spot trading because apart from being easy, there are also not too many risks. different if trading in futures trading, it will be higher risk and can lose everything. But now the problem is not choosing the type of trading, but basic knowledge about trading, because many beginners only trade with luck.

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With regard to Future Trading, it may be profitable if the investor expectations are correct, but of course, it has risks, and the risks may be greater for beginners. Future Trading is a double-edged sword, so the leverage can give them a good profit in a short period, which in turn increases the size of the loss, and the trader can sell a currency that he does not possess, and a financial lever can be used up to 125 times the value of the amount that the trader has, If the beginners have no experience in making predictions about the movements of prices in the future, and if they do not have experience in dealing with the tools of technical and fundamental analysis to be able to make a correct decision and good expectations, and if they do not have an effective strategy to manage risk and if they circulate with emotions instead of logic, they will lose their money is in a jiffy, so I advise everyone who does not have experience and skill from beginners to stay away from this type of trading because it is never easy and fill in risks.

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Quote from: yhiaali3 on March 16, 2023, 07:50:50 AM

I used leverage once as far as I can remember and lost it, I prefer small profits with less risk than big profits with higher risks so I use spot trading only.

Futures trading carries high risks, so it is best for beginners to avoid it completely, but in general, whether in spot or future trading, it is best to risk only what you can afford to lose.

You have seen from your own experience that futures trading is very risky not only for beginners, but also for an experienced trader. But the risk of losing their money is undoubtedly higher for a beginner, since he will lack knowledge and experience when making a decision.

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The problem with futures trading is that you bet on several variables, and therefore it is not for the simple beginner who is trying to understand the nature of the market, and therefore realizing that the market is linked to several changes that may cause you to lose your money is what makes you trade like this, which is a real loss for beginners.

The beginner who does not listen to such advice will force the loss to listen to it because we, as humans, do not like to lose, especially to lose our money.

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I know that many people have the ability to make profits from future trading, but for me, it's like gambling rather than trading. The Crypto market is extremely unpredictable because they are also partially manipulated, so the analysis to make predictions is extremely difficult. I really can't make any predictions in future trading. Not only beginners, people with heart conditions who cannot tolerate shocks should also stay away from futures trading.

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It's not that they shouldn't, it's more like proceed with caution. You'll never know what's waiting for you in trading unless you try it yourself. Let the result help you to realize something, maybe it's something you need to improve to continue futures trading or something that you need to realize for you to stop it. Future trading is a risky kind of trading especially if you're not taking it seriously, like just relying on "free" signals.

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I used leverage once as far as I can remember and lost it, I prefer small profits with less risk than big profits with higher risks so I use spot trading only.

Futures trading carries high risks, so it is best for beginners to avoid it completely, but in general, whether in spot or future trading, it is best to risk only what you can afford to lose.

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Quote from: LastKiss on March 14, 2023, 11:03:06 PM

Quote from: BD Crypto on March 13, 2023, 04:43:18 AM

~snip~
Also Experts are welcome to advise new users about Best trading Strategies.

If that beginner is able to do technical analysis and other analysis then they can try to go future trading, lower the leverage and try with a small amount don't be impatience by using all funds you have, spot trading is safer but the risk is always worth to try. Even many experts said that Bitcoin will go lower when Bitcoin touch $20k a few days ago but now it rebound to 24k-25k$, so even with the experience we won't know what will happen to crypto.

Some Newbies and beginner in trading who were able to grasp some TA and fundamental Analysis of trading just rushed into future trading with high leverage with a mindset of earning massive and huge profits not minding the consequences of a trade going wrong which will ultimately result to a liquidation, I had personally tried future trading with Binance the outcome was absolutely bad I got liquidated within a jiffy, it was a bad experience infact healthwise, thereafter I switched over to cross margin were I traded with a considerable leverage to earn moderate profit.

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No problem if the trade will be made from a demo but jumping off quickly with futures and using an actual fund, we all know where it's heading if it's a beginner that's going to do it. I see many of my friends lately have made well from the sudden up and correction of the market. These are no experts but they've been doing it for quite a while. They don't want to be addressed as experts because they still make a lot of losses but they're not just publicizing it. And from that matter, with these experienced futures traders, they're still making a mistake and how much more if a newbie that has no idea with the entire market of futures will do it on an instant, they'll get liquidated a lot and only these exchanges will benefit from them instead of them that use these exchanges for their benefits.

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