The principle of the futures market is nothing, it is to set a standard thing and guess the future price. For example, men and women used to meet each other on blind dates, then set a bride price, set a good date, and then get married at the wedding. As for whether the buyer's husband's family earned it or the seller's family earned it, it was not clear at that time, and it will be known later. That is the uncertainty of the future of the transaction. As for fundamental analysis or technical analysis, it is only analysis, and it is uncertain about the future. Some people say that the market is like a battlefield. If it is a battlefield, the most important and basic thing for an individual is to survive.
A good trading method must take the research of trading behavior as the core, integrate comprehensive factors such as fundamentals and technology, take fundamentals as the internal cause and technology as the carrier, and form a rigid and operable trading system, so as to reach the state of over-the-counter trading. If there is no futures market, both parties will suffer losses due to price fluctuations. Due to the poor liquidity of spot contracts, they will be extremely passive when repricing is not conducive to themselves, and they have to deliver and watch their interests suffer.
Futures is a concept opposite to spot. Futures is a trading method of period payment, and spot is a trading method of spot payment. For example, a domestic manufacturer imports a batch of crude oil, which is spot. But this month, the warehouse is full, and he plans to import another batch of crude oil next month, but he is worried about the price increase of crude oil next month, so he agreed with foreign merchants to finalize the price of crude oil at the current price, and then he will deliver crude oil at the current finalized price regardless of the price increase or decrease next month. This is a forward contract. Most futures contracts are developed from forward contracts, and futures exchanges standardize contracts in a unified way, so that traders from all directions can easily match transactions on the same platform.