#SpotVSFuturesStrategy . Understanding Spot and Futures

Spot Market: A market where transactions are made at the current price (spot price), and the asset is exchanged immediately (e.g. gold, stocks, or currencies). Settlement of transactions is usually done immediately or within 2 business days.

Futures Market: A derivative contract in which a buyer and seller agree to buy or sell a specified asset at a specified price in the future. Settlement occurs on the maturity date.