#SpotVSFuturesStrategy
*Spot Trading:*
- Involves buying or selling assets for immediate delivery
- Prices are determined by current market rates
- Suitable for investors who want to own the asset or use it for transactions
*Futures Trading:*
- Involves buying or selling contracts that obligate the buyer to purchase the asset at a predetermined price on a specific date
- Prices are determined by market expectations of future price movements
- Suitable for investors who want to hedge against price risks or speculate on future price movements
Some common strategies for spot and futures trading include:
- *Arbitrage*: Exploiting price differences between spot and futures markets
- *Hedging*: Reducing price risk by taking opposing positions in spot and futures markets
- *Speculation*: Betting on future price movements to profit from potential gains