Futures trading can be profitable, but it also involves a high level of risk. It is important to develop a clear strategy based on risk management and market analysis.
Here are some popular strategies:
1. Scalping
• Description: Short term trading where you open and close positions within a few minutes.
• Tools:
• Charts with low timeframes (1 minute, 5 minutes).
• Indicators: EMA, RSI, MACD.
• Risks: High volatility, need for quick reaction.
2. Trend trading
• Description: Buying during an uptrend and selling during a downtrend.
• Tools:
• Moving Average (MA) to determine trend.
• ADX indicator to measure trend strength.
• Example: If the price is above 200 MA, look for long positions.
3. Sideways movement (Range trading)
• Description: Trading within a range (support and resistance levels).
• Tools:
• Chart with horizontal levels.
• Oscillators like RSI or Stochastic to find overbought/oversold zones.
4. Futures arbitrage
• Description: Simultaneous purchase of an asset on the spot market and sale of a futures contract at a premium.
• Risks: Requires large capital and accurate premium calculation.
5. Using news
• Description: Trading based on major events (ETF launches, regulatory decisions, etc.).
• Example: Entering a position before important announcements.
Risk management
1. Risk per trade: Limit risk to 1-2% of capital.
2. Leverage: Use minimal leverage until you gain experience.
3. Stop-Loss: Set stop-loss for each trade.
4. Diversification: Do not invest all capital in one asset.
Example of a simple strategy
• Timeframe: 15 minutes.
• Indicators: EMA 20 and EMA 50.
• Conditions for going long:
• EMA 20 crosses EMA 50 from bottom to top.
• RSI above 50.
• Conditions for going short:
• EMA 20 crosses EMA 50 from top to bottom.
• RSI below 50.
• Exit: Upon reaching a 2:1 risk/profit or on a reversal signal.
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