How to Start Trading on Binance Futures
Step 1: Open a Binance Futures Account
Sign up on Binance and complete KYC verification if required.
Go to Binance Futures and click "Open Futures Account."
Read the Risk Agreement and confirm your understanding.
Step 2: Transfer Funds to Your Futures Wallet
Go to Wallet > Futures Wallet.
Transfer USDT (for USDT-margined contracts) or BTC/ETH (for coin-margined contracts).
Step 3: Choose a Futures Contract
Perpetual Contracts (e.g., BTCUSDT, ETHUSDT) – No expiry date, funding fees apply.
Quarterly Contracts (e.g., BTCUSD Quarterly) – Expire every 3 months.
Step 4: Select Your Leverage
Click on the leverage amount (e.g., 20x) and adjust it as per your risk tolerance.
Higher leverage increases potential gains but also the risk of liquidation.
Step 5: Place an Order
Market Order – Executes instantly at the best available price.
Limit Order – Executes at a specified price when the market reaches it.
Stop-Loss & Take-Profit – Helps manage risk automatically.
Step 6: Monitor & Manage Your Trade
Track your Margin Balance, Unrealized PnL, and Liquidation Price in the dashboard.
Adjust your Stop-Loss and Take-Profit to protect your profits.
Basic Trading Strategies for Binance Futures
1. Trend following
Identify an uptrend (buy/long) or downtrend (sell/short) using moving averages or trendlines.
Use Relative Strength Index (RSI) to avoid overbought/oversold conditions.
2. Scalping
Open and close trades within minutes to capture small price movements.
Works best with low leverage and tight stop-losses.
3. Breakout Trading
Identify key support/resistance levels and enter a trade when the price breaks out.
Confirm breakouts using volume indicators.
4. Hedging
If you hold spot Bitcoin but expect a short-term drop, you can short BTCUSDT to protect your assets.