There are many spot trading markets in China, which mainly deal in all kinds of primary raw materials, including agricultural products, metals and building materials. Spot trading and futures trading are very similar. Both transactions are T+0, and there is a short-selling mechanism, so the transaction is very flexible, unlike stocks that can only be long. The difference between futures and futures lies in: futures are forward contracts, which can amplify transactions, so the risks are great; There are physical goods in the spot transaction, generally 2%~20% margin, and the transaction risk is small; Of course, the risk is small and the return is relatively small.
First of all, spot trading is a T+0 trading system, which can do many hands repeatedly every day. Using 3%~20% margin trading has leverage, which improves the utilization rate of investors' funds; With the two-way trading mechanism of buying up and selling down, there are investment opportunities regardless of price rise and fall. It combines the dual advantages of stock and futures trading and overcomes their shortcomings. The biggest advantage is that the risk is smaller, the market is easy to grasp, and there are more profit opportunities, which is most suitable for investors who pursue a stable style.