#SpotVSFuturesStrategy

In trading, "buy or sell" is the main question that a trader decides based on his market analysis and expectations regarding the change in the asset price. Buying (long) is justified if the trader expects the price to rise, and selling (short) is justified if he expects the price to fall.

In more detail:

Buying (long):

A trader buys an asset in the hope that its value will increase, and he will be able to sell it for more, making a profit. This is the main strategy for those who believe in market growth.

Selling (short):

A trader sells an asset that he does not have, borrowing it from a broker, with the aim of buying it back later at a lower price. If the price actually falls, the trader makes a profit from the difference between the selling price and the buying price. This strategy is risky, but allows you to earn money on a falling market.

To decide whether to buy or sell, a trader uses various methods of analysis:

Technical analysis:

Studying price charts and trading volumes to identify patterns and determine future price movements.

Fundamental Analysis:

Analysis of economic, financial and other factors that affect the value of an asset.

Mathematical Models:

Using mathematical models to predict prices.

Sentiment Analysis:

Assessing the mood of market participants.

Important to remember:

Trading involves risk and there is no guarantee of profit.

It is important to thoroughly research the market and assets before making trading decisions.

It is important to manage risks properly and not invest more than you can afford to lose.

Emotional factors can negatively affect decisions, so it is important to keep a cool head.