#BreakoutTradingStrategy

Spot trading and futures trading are two distinct approaches to trading in financial markets. Here's a breakdown of the key differences:

*Key Differences*

- *Settlement Time*: Spot trading involves immediate settlement, where assets are exchanged for payment within a short timeframe. Futures trading, on the other hand, involves contracts for future delivery at a predetermined date.

- *Ownership*: In spot trading, ownership of assets transfers immediately after a buy or sell transaction. In futures trading, ownership is based on a contract for future delivery.

- *Risk and Leverage*: Spot trading typically doesn't involve leverage, limiting potential gains and losses. Futures trading allows for substantial leverage, amplifying potential returns but also increasing risk.

- *Regulation*: Spot trading is generally less regulated compared to futures trading, which operates on regulated exchanges with standardized contracts.

- *Flexibility*: Spot trading offers flexibility as transactions occur in real-time without future obligations. Futures trading involves contracts with fixed terms and expiration dates, limiting flexibility