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Have you ever heard of buying or selling a product in the future? It is not actually planning to buy or sell a product or something in the future. It is actually buying or selling something at a fixed date and fixed price. There are actually a lot advantages in getting a futures trading. First is in leverage. You are control larger quantities with smaller amounts of money involved. The investor on the other hand can pay a fraction of the price and still having a hundred percent access for the trade,
For the seller the prices are very competitive that they can raise or lower the product’s price minimally but still getting the average or maximum profit for each trade. But one of the disadvantages that most buyers of futures trading experienced is that when they have already purchased the product when suddenly the price would go done for about 50% to 75%