Short explanation for dummies or newbies like me 😁

Well, it's simple. You open a market in the futures tab (whatever), it turns out that when you open said market the currency will have a price, it could be $1 for example. Ready, when you review the options you will see a buy button (green - LONG) and another sell button (red - SHORT). If you choose the buy option (LONG) then you are saying that in the next few minutes, hours or days (depending on the time you define after technical analysis) the value or price of the cryptocurrency will rise. In that case, when opening the position, for the example, your entry price will be $1. To start making money then the price will have to be higher than $1 onwards.

If, on the other hand, you choose the option to sell (SHORT) after having analyzed the market you chose, then you are saying that in the next few minutes, hours, days, depending on the chosen time frame, the value or price of the cryptocurrency will go down. To start making money with this option then the price will have to be less than $1 (for the example) onwards.

This is basically how the matter works.

How does leverage work?

You already have a post on my profile explaining that topic. However, if it is your first time entering that market I recommend leaving the leverage at X1 and checking the "Isolated" tab instead of "Crossed".

How do you know when to buy or when to sell?


You also have posts on my profile about it. Despite this, I will never tire of telling you to study a lot about technical analysis and fundamental analysis. Stop wasting time!

What are SL and TP options?

SL: Stop Loss - Stop losses...This, in case the price goes in the opposite direction to your prediction, will allow you to set a loss limit.

TP: Take Profit - Take profits... This, if the price is favorable to your prediction, will allow you to take profits when a certain target price is reached.

There are two options to configure these parameters. The first option will allow you to configure several SL points and several TP points in which little by little you will take profits or reduce losses. The second will allow you to configure only one point or price of SL or TP at which *the entire position will be closed*, that is, you will sell all of the cryptocurrencies that you bought when opening the position and depending on whether it is favorable or not, you will lose/win certain amount of money.

I hope this content has been useful. If it helped you and you want to support me, you can leave your tip below. If it's not enough for you, you can help me by claiming the Binance Red Envelopes 🎁🎁🎁🎁 (post posted on my profile).

Good vibes! 👊