One of the key aspects when trading in Binance Futures is to correctly select between Cross or Isolated margin mode. This decision can make the difference between good risk management or unnecessary liquidation.
Cross Mode:
Ideal for experienced traders who want to use the entire available balance in their margin account to sustain a trade. In case of unfavorable movements, all your balance in that asset can be used to avoid liquidation, but you also run the risk of losing it all if the market goes against you.
Isolated Mode:
Perfect for those who prioritize risk control. The margin you assign to a trade is limited to that position. If the market moves against you and the assigned margin does not reach the maintenance level, the position is liquidated, but your remaining balance is protected.
This is basic but essential knowledge for anyone looking to trade responsibly in Futures. As NómadaCripto, I am specializing in this sector and will soon offer Copy Trading and personalized consulting for those who want to improve their trading.
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