Risk associated with future trading

[Sotherefore]

Cryptocurrency is the quickest way of making money on the internet for those that have perfect understanding of crypto prediction and how to generate the right signal to trade. Even though it is easy for people to make money with cryptocurrency trading it is also one of the quickest way to lose your money within a short period of time most especially those who engage in future trading, it is even the riskiest if a trader does not really understand what he or she is doing. Some risk associated with future trading includes the following.

1) HIGH RISK OF LIQUIDATION:

Most newbie who trades future with high leverage are likely to be liquidated if proper analysis is not done. A newbie should not trade future without proper understanding because such trader may be at 85 percent risk of losing the trading capital , a slight decrease in the price of the traded coin is likely to liquidated you. One thing that is needed in future trading is just the ability to spot the lowest buying position. Without this the risk of losing is extremely higher.

2) TRADING FUTURE WITHOUT PROPER UNDERSTANDING IS LIKE A GAMBLING.:

When you do not have better understanding of trading generally , it may not likely be a wise decision for you to trade what you do not understand , Seeking knowledge and understanding about it to understand perfectly how to trade without losing is exactly the best way.

Businesses was meant to generate profit but a situation in which we continue to lose our money due to lack of understanding clearly shows that we need to sit up and learn what is needed to make profit on the areas of business we are dealing with.

 

[Jasz]

Trading is a risky business. Many people have lost a great deal of money in the stock market, and many more people have decided to not invest their money at all because they are afraid of the risks involved.

To evaluate these risks, we must first ask why stock prices can fluctuate so much. The answer is that there are a number of factors that can lead to changes in price. Some of these are internal factors and some are external factors, but it's important to note that when determining risk we only need consider external factors.

There are three basic external factors: the overall state of the economy, government policy, and the actions of competitors. The economy is easy to understand: when economic activity slows down or fails altogether, stock prices will fall because businesses tend to perform poorly in an economic downturn. Government policy can be either indirect (for example, taxation) or direct (for example, limiting imports), but in either case it has an effect on companies' ability to make money, so stock prices will drop if government policy makes it more difficult for companies to do business profitably. Government action can also take the form of loan guarantees, bailouts, and so on; essentially any time the government injects money into an organizational structure—be it a bank

 

[Sotherefore]

Trading is a risky business. Many people have lost a great deal of money in the stock market, and many more people have decided to not invest their money at all because they are afraid of the risks involved.

To evaluate these risks, we must first ask why stock prices can fluctuate so much. The answer is that there are a number of factors that can lead to changes in price. Some of these are internal factors and some are external factors, but it's important to note that when determining risk we only need consider external factors.

There are three basic external factors: the overall state of the economy, government policy, and the actions of competitors. The economy is easy to understand: when economic activity slows down or fails altogether, stock prices will fall because businesses tend to perform poorly in an economic downturn. Government policy can be either indirect (for example, taxation) or direct (for example, limiting imports), but in either case it has an effect on companies' ability to make money, so stock prices will drop if government policy makes it more difficult for companies to do business profitably. Government action can also take the form of loan guarantees, bailouts, and so on; essentially any time the government injects money into an organizational structure—be it a bank

Thank you for your write-up, this is what most people are not likely to understand because they just consider it as something they can really make a quick money from without having to learn and understand everything , at the end of the day they will even lose more than what they expected.

The only way a newbie can not be able to lose in cryptocurrency is just when the person is only ready to invest for long-term purposes and hold . if the person is having the cryptocurrency for long-term purposes the possibility of losing will be very low.

But a newbie should not for any reason make any attempt to trade the volatile market because that will be a complete disaster ,

There are lot of things an expect have to consider when generating signal and it is not just about the movement of a particular cryptocurrency, they consider government policies , action of competitors just like you have just .

Without proper learning and understanding a newbie won't be able to use all these factors effectively to generate the required result.

Understand what trading is all about that is why you will hear me say.learning is much more better than trading alone.

 

[funmi]

If there is anything they call get rich quick or get poor fast is all embedded in the future trading market. I could remember when I was introduced Into the cryto currency business I was so naive initially as my worries were why is the price always rising and falling, so each time I buy a coin and the value of the coin begins to drop it truly affects me psychologically, and I will be worried as I keep seeing my funds reduce, sometimes out of fear I will place a panic sell. And make some loses and wait again to see if it was going to slide a little further down but in most situations it just bounces up again and then I may want to to rush back in again but now at a more higher proce . hence making me to suffer loses. Not until one day, when I accidentally stumble on the future zone i was thinking it is the usual spot trade. As I clicked on buy and the market was set at 20x and I discovered that my profit was so massive I was so suprised I sold and later made more research Tk understand it better. Future market is very risk because you can win all or lose all.

 

[btaliat]

Future trading is the fastest way of making money and the surest way of losing money. It is not difficult to amass more than enough in future trading neither does it take you a second to become a pauper on the same platoform.

What's future trading and why is it too risky? Future trading is predicting the prices of coins in the future. That's it, you may either predict that a coin may rise or fall in the future based on the trend of the coin. Why is it risky? Mostly, crypto traders don't really like to go into future trading because of the risk involved which may he due to the following.

Using of high leverage. The very funny thing about this is that $10 is capable of becoming$100000 if the price goes the right direction and the leverage is high, the same way $100000 can become$ 10 if there is wrong prediction. To be on a saver side, leverage should be used averagely. Not too high and not too low.

Improper monitoring of the trend or position. It is not a doubt that crypto is too volatile. Many people however do not monitor their positions very well due to many factor. This makes them lose more because they would have stopped the loss if they notice on time that the market is not going in their direction.