Contracts are something that come and go quickly $BEAT
Many people think contracts are very sophisticated, but to put it simply, they are just an enlarged version of spot trading games.
Money comes fast, but losses come even faster, so if you want to play, first understand the rules thoroughly.
Don't ignore the funding fee. A positive fee means the long positions are giving money to the short positions, so don't blindly chase highs at this time; a negative fee means the short positions are giving money to the long positions, which often indicates that the market is going to continue dropping.
Don't mess around with leverage; it's like a magnifying glass: when you profit, it doubles your gains, and when you lose, it also doubles your losses.
Newbies should honestly just use 3-5 times leverage; anything above 10 times is for professional players, not for you to gamble on luck.
How to play? I summarize it in four steps:
First, look at the overall direction. Don't get lost staring at one-minute candlesticks; at least start with daily charts, moving averages, and MACD can tell you where the trend is.
Second, find entry points. A four-hour pullback to the middle band of the Bollinger Bands, and RSI turning upward, these points are more reliable; if trading volume suddenly increases and breaks a pattern, that's even more stable.
Third, think about your stop-loss in advance. Don't hold onto fantasies; if you hit your preset loss point, run immediately, or a liquidation is just a matter of time.
Fourth, take profits. Leave when you make money, even if it's just 10% secured. Remember, there will always be another wave in the market; greed will only lead to giving back profits.
The last piece of solid advice: don't hold too much position; no single asset should move more than 30% of your capital.
Contracts are not about who makes money fast, but rather about who can survive longer.
There will always be market trends, and opportunities will always come; don't lose your capital in the rush for quick profits.