📈 Favourite Strategy 📈
The "buy the dip" strategy in futures trading involves purchasing a futures contract after its price has temporarily declined.
The expectation is that the price will recover, allowing the trader to sell at a higher price for a profit.
This strategy aims to capitalize on short-term price pullbacks within a potentially larger uptrend. However, it carries the risk that the dip might not be temporary, leading to further losses.
Effective risk management, including stop-loss orders, is crucial when employing this strategy.
