Futures investment is a trading method relative to spot trading, which is developed on the basis of spot trading. An organized trading method for buying and selling standardized futures contracts on futures exchanges. The object of futures trading is not the commodity (subject matter) itself, but the standardized contract of the commodity (subject matter), that is, the standardized forward contract.
Basic introduction
Futures investment refers to the futures trading business for the purpose of obtaining the spread in the futures market, also known as speculative business. The futures market is a pricing market, and the ever-changing relationship between supply and demand will be reflected in the price changes. In the language of economics, the input material of futures market is information, and the output product is price. There will be different views on the future price trend at any time, which is the same as spot trading and stock trading. Some people buy when they are bullish, others sell when they are bearish. Finally, the market will give the answer whether the forecast is correct or not. Those who predict correctly will make a profit, and vice versa.