#DayTradingStrategy Understanding the difference between spot trading and futures trading is essential for building an effective investment strategy in cryptocurrencies or stocks. Spot trading means buying an asset at the current market price with immediate settlement. It is simple and suitable for long-term investors. On the other hand, futures trading allows you to speculate on price movements using leverage, without owning the underlying asset. This trading offers the potential for higher profits, but it also comes with higher risks. A smart trader combines both strategies: using spot trading for stability and futures trading for short-term gains. Always be sure to manage your risks and set your goals before entering any trade.
