✅ 1. Understand What Futures Trading Is
Definition: Futures trading involves buying/selling contracts that speculate on the future price of an asset (e.g., BTC, ETH).
You don’t own the actual crypto, but are trading based on price movements.
Can use leverage, which magnifies both gains and losses.
🧠 2. Learn the Key Terms
Margin: Collateral needed to open/maintain a position.
Leverage: Borrowed funds (e.g., 10x means a 1% move = 10% profit/loss).
Long: Betting price will go up.
Short: Betting price will go down.
Liquidation: When your margin is too low to maintain your position.
Funding Rate: Periodic payment between long/short holders to keep futures price aligned with spot.
📲 3. How to Use Futures on Binance App
Open Binance App.
Tap Futures at the bottom tab.
Choose USDT-M Futures or COIN-M Futures.
Select a trading pair (e.g., BTC/USDT).
Adjust leverage (start low: 2x–5x is safer).
Choose order type: Market, Limit, Stop Limit, etc.
Enter amount, tap Buy/Long or Sell/Short.
⚠️ 4. Risk Management is Key
Start Small: Trade with small amounts or use the testnet.
Set Stop-Loss: Protect against large losses.
Don’t Overleverage: Beginners should avoid more than 5x leverage.
Use Isolated Margin: Limits your loss to that position only.
📚 5. Learn to Read Charts
Use TradingView on Binance to:
Spot trends
Identify support/resistance
Use indicators like RSI, MACD, MA
💡 6. Use Educational Resources
Binance Academy: academy.binance.com
Futures Quiz in the Binance app before activation
YouTube tutorials (search: "Binance Futures Trading for Beginners")
Practice on Binance Futures Testnet (testnet.binancefuture.com)
🧘 7. Stay Emotionally Disciplined
Don’t chase losses (revenge trading).
Stick to a trading plan.
Avoid high-leverage FOMO trades.
🛑 8. Know When Not to Trade
Avoid trading during high volatility news events if you're not experienced.
Don't trade when emotionally upset, tired, or rushed.