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What does futures trading mean?
Futures trading is a financial transaction in which the buyer and the seller agree to buy or sell a specific commodity or financial asset at a pre-agreed price and date.

These commodities or financial assets can be crude oil, gold, stock index, currency, agricultural products and so on. The purpose of futures trading is to earn profits from price fluctuations by buying and selling contracts.

Futures trading is conducted in an exchange. Traders buy and sell various futures contracts and control their positions by paying margin.

Futures trading has the characteristics of high risk and high return, which requires investors to have certain market analysis ability and risk management ability.