⚖️ #SpotVSFuturesStrategy: decisions that define the risk structure 🧠
Understanding the difference between spot and futures is not just a technical matter. It is a strategic decision that defines how a trade is constructed, what risks are taken, and what degree of control is held over each component of the account.
🔹 In spot trading, one works with actual ownership of the asset. Management focuses on clean entries, with no liquidation risk, and with a more flexible horizon. It is ideal for strategies based on accumulation, staggered entries, and position building.
🔹 On the other hand, futures contracts (especially perpetual ones) introduce the element of leverage and liquidation risk. Here, every decision must be precise. It’s not just about being right, but about being right on time. A poorly sized good entry can lead to losses if the system does not consider sufficient operating margin.
📌 Choosing between spot and futures is not a preference: it is a response to the question “What does your strategy seek?”:
Accumulate and hold? Spot.
Capitalize on micro-fluctuations? Futures.
Reduce the risk of extreme volatility? Spot with stops.
Maximize a short hypothesis? Well-managed futures.
🎯 Professional evolution consists of integrating both worlds. A mature system does not choose just one: it uses them based on market structure, liquidity, and operational hypothesis.
🔍 Key reflection: not every drop should be traded with futures. Not every rise deserves a spot buy. The strategy defines the instrument, not the other way around.