Why do people still play contracts even when they face liquidation? The truth is here!

Leverage is not the key; the real core is risk control. Smart people rely on these 3 points when trading contracts:

1. True leverage calculation

It’s not about the 5x or 10x given by the platform, but rather calculating your actual risk.

Actual leverage = Position value / Acceptable loss

With a $10,000 account, can you open a $30,000 position with a maximum loss of $500?

The actual leverage is 60 times! Not the 5 times you think.

2. The essence of contracts is risk trading

Out of the 300% profit you earn, 200% comes from someone else's liquidation.

Professional players spend 70% of their time in cash, waiting for the best opportunity to strike.

3. To win, you must go against human nature

When others panic, you stay calm.

When others are greedy, you remain cautious.

Strict stop-loss (single loss < 5%)

Let profits run (profits > 2 times stop-loss)

Contracts are not gambling; they are a professional risk management game. Those who face liquidation are all "dreaming," while those who make money are all "calculating."