Futures Trading: The Double-Edged Sword and How to Survive in the Fierce "Battlefield"

Future trading promises huge profits but also carries the risk of burning your account in an instant. This is the playground for "sharks" with clear strategies and iron discipline. If you are a retail trader wanting to participate without wanting to "burn your wallet", be sure to master the 6 essential principles below.

1. Capital Management – "Living Longer" Is Greater Victory Never go all-in: No matter how confident you are in a trade, you should only use 1-2% of your capital for each order. For example: An account of 100 million, each order should only be from 1-2 million. Risk allocation: Diversify your portfolio, avoid putting all your capital into a single coin or order. ✅ Lesson learned: Many traders "hold" large positions, and when they incur a loss, they lose everything, leaving no capital to recover.
2. Leverage – The Hidden Weapon in Hand High leverage (50x, 100x) = Self-destruction: Just a 1-2% price reversal can lead to account liquidation. Safety level: Maintain leverage of 3x-5x to reduce pressure and have more time to react. 📌 Example: With a leverage of 5x, if the price drops by 20%, you lose 100% of your capital. But if you use 50x, just a 2% drop in price is enough to blow your account!
3. Stop-Loss – "Lifesaver Shield" Always set a stop-loss (SL): No matter how confident you are, the market always has unexpected fluctuations. Calculate a reasonable SL: Set the SL based on support/resistance or the % risk you are willing to accept (for example: 3-5% per order). ⚠️ Warning: Do not place SL like walking on a tightrope without a safety net – even a small shock is enough to take you down.
4. Patience – Don't Let FOMO Kill You Do not jump in when prices spike: FOMO (Fear Of Missing Out) causes traders to buy at the peak, then get "hold bag" when prices reverse. Wait for a clear signal: Be patient and wait for a good entry point, even if it means missing a few opportunities. 💡 Strategy: Apply Price Action or Indicator (EMA, MACD) to confirm the trend before entering an order.
5. Follow the Trend – Don’t Try to Be a "Hero" "Trend is your friend": If the market is in an uptrend, don’t try to short; if in a downtrend, don’t rush to long. Don’t try to catch the top/bottom: Even whales cannot accurately predict the top/bottom, let alone retail traders. 📉 Experience: It is better to enter a trade late but safely than to try to catch the bottom and get stuck in a downtrend.
6. Signal Trading – Don't Trust Your "Feelings" Do not listen to rumors or "hot tips": Many people are lured into trades just because of Telegram group news or influencers. Confirm signals: Combine multiple factors (volume, resistance/support, news) before making a decision. 🔍 Tip: Learn how to read candlestick charts, use RSI, Fibonacci to increase accuracy. Conclusion: The Future Is Not For the Faint of Heart Futures trading is like a game of "all or nothing". Without discipline, you will become the "prey" of the sharks. 🔹 Final advice: Start with a small account to learn before upgrading. Backtest strategies on a demo account or price history. Maintain a strong mindset – losses are lessons, don't let emotions control you. Are you ready to become a disciplined trader? Or will you continue to "burn money" due to lack of knowledge? The choice is yours! 🚀