#TradingTypes101 Spot, Margin, and Futures trading differ mainly in complexity, risk, and purpose. Spot trading involves buying assets for immediate ownership and is best for beginners and long-term investors. Margin trading uses borrowed funds to amplify gains or losses, allowing traders to go long or short. It's suitable for more experienced traders who understand risk management. Futures trading involves contracts that speculate on an asset's future price, often with high leverage. It's commonly used for hedging or short-term speculation.

Beginners should start with Spot trading due to its simplicity and lower risk. Avoid leverage until you're confident with market movements and risk control. Always use a stop-loss, stay informed, and never trade more than you can afford to lose. Practice with a demo account before moving to Margin or Futures. As you gain experience, consider advanced strategies for active trading or hedging, but focus first on mastering the basics.