Futures are mainly not commodities, but standardized tradable contracts with cotton, soybeans, oil and other bulk products and financial assets such as stocks and bonds as the targets. Therefore, the subject matter can be commodities (such as gold, crude oil and agricultural products) or financial instruments.

The delivery date of futures can be one week later, one month later, three months later or even one year later.

A contract or agreement to buy or sell futures is called a futures contract.

The place where futures are bought and sold is called the futures market.

Investors can invest or speculate in futures. Most people think that improper speculation in futures, such as short selling without goods, will lead to financial market turmoil, which is not correct. Going long and shorting at the same time is a healthy and normal trading market.

Before futures trading, we should make clear and reasonable futures operation methods. This futures operation method scheme should include market analysis, risk control, fund management and emergency handling.

The first is market analysis, which is the basis of our transaction. Whether we are long or short, we must have a judgment. Novices in futures can make a simple analysis plan without referring to too many things, mainly focusing on simple technical indicators such as K-line, moving average, trend line and KD.

Then there is the plan for the allocation and management of funds. Whether the allocation and management of funds are appropriate is directly related to whether the risk of the transaction is reasonable.

Here are three suggestions for futures operation methods.

First, establish the concept of stop loss;

Second, remember the first one;

In other words, whether futures trading can be done well depends on stop loss.

Risk control principles in futures operation methods;

First, set a stop loss;

Second, don't Man Cang operation, even if you are 90% sure;

Third, don't grab the rebound at will;

Fourth, don't trade in the day.