What is a contract?
A contract is making larger trades with limited funds; however, it comes with greater risk.
What is spot trading?
Spot trading is making stable trades with large funds, but small capital cannot be utilized!
Large funds use leverage, while small funds engage in spot trading; you are getting it all backwards!
Most people understand the above, but what is trading? Do you really understand?
In my opinion, so-called trading is not about 'finding the bottom' or 'finding the top,' but rather 'position management' + 'risk-reward ratio' + 'strictly executing take profit and stop loss.'
No one can buy at the absolute bottom, and no one can sell at the absolute top. The trading we are all trying to figure out is just about more or less, so what is trading?
Making high-probability trades at high-probability positions, minimizing losses as much as possible and maximizing gains as much as possible, means you have already surpassed most people.
All FOMO and fear are due to the hypothetical goals you set for yourself in your mind.
When you are in floating losses, rationality tells you to cut losses, but emotion tells you to wait a little longer. When emotion overcomes rationality, you are destined to incur losses. Perhaps you can get lucky many times, but as long as you make one mistake, everything equals zero!
