What? You actually don't know! The secret of contract transaction fees?
Many friends who trade contracts have complained to me that the fees are too high. There are actually several points worth mentioning, full of valuable information.
First, you need to understand that the amount of fees is directly linked to the size of your position. It's not just about how much you initially invested, but rather how much you currently hold.
The larger the position, the higher the fees will naturally be.
Secondly, there is a significant difference in fees between market orders and limit orders. A market order is like directly buying someone else's goods, which requires paying more, usually around 0.05%. A limit order, on the other hand, is like setting up a stall and waiting for someone to buy; the fees are much cheaper, only 0.02%.
That's why exchanges hope everyone will place more limit orders; it's beneficial for everyone.
Moreover, the level of fees also depends on whether you can enjoy the exchange's rebates. Some people are able to spend less because they not only place limit orders but can also earn back a portion of the transaction fees every time they trade.
As a result, costs naturally decrease. So when trading contracts, pay attention to these details; it can save you a lot!
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