沙土手
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High-Frequency Trader
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Beginner's Must-Read Contract Trading Insights
#BNBChain爆发
**Contract Trading**
High risk, high reward, is an investment method that requires extreme caution.
**1. The Nature of Leverage: Amplifying Fluctuations, Not Returns**
- **Double-edged Sword Effect**：Leverage amplifies price fluctuations and human weaknesses (greed/fear), with 10x leverage making 1% fluctuation equal to 10% profit or loss, and 100x leverage making 1% fluctuation potentially lead to liquidation.
- **Correct Use of Leverage**：Capture trends with minimal margin, rather than blindly over-leveraging. New traders are advised to use ≤5x, while experienced traders adjust according to market conditions.
**2. Core Logic of Contracts: Game and Probability**
- **Zero-sum Game**：Your profits come from others' losses, with dealers and institutions holding the advantage.
**Contract Trading**
High risk, high reward, is an investment method that requires extreme caution.
**1. The Nature of Leverage: Amplifying Fluctuations, Not Returns**
- **Double-edged Sword Effect**：Leverage amplifies price fluctuations and human weaknesses (greed/fear), with 10x leverage making 1% fluctuation equal to 10% profit or loss, and 100x leverage making 1% fluctuation potentially lead to liquidation.
- **Correct Use of Leverage**：Capture trends with minimal margin, rather than blindly over-leveraging. New traders are advised to use ≤5x, while experienced traders adjust according to market conditions.
**2. Core Logic of Contracts: Game and Probability**
- **Zero-sum Game**：Your profits come from others' losses, with dealers and institutions holding the advantage.
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