However, when we buy and sell stocks, we are actually buying and selling stocks.Futures trading: a financial contract in which two parties agree to buy or sell a specific asset at a current price for future delivery.It’s basically buying a product that the seller is not producing at a certain rate.It’s basically hedging risk and speculation, not actual physical trading.Therefore, futures trading is dominated not only by buyers and sellers, but also by speculators.This type of trading is highly risky and highly liquid.At one stage, you can get income from small investments, and at another stage, you can become more relaxed.The trading process is complex and difficult for ordinary people to understand.

Transaction assets: transaction assets can be either physical commodities or financial assets.Physical commodities include agricultural products, livestock and poultry meat, energy, precious metals, rare metals, industrial metals, minerals, environmental commodities and so on.Financial assets sold in futures trading may be currencies, securities, and intangible assets.

Types of futures traders: there are two main types of futures traders: hedgers and speculators.Hedgers are producers of commodities who protect themselves from frequent price changes by setting trades.In addition to physical commodities, Banks, insurance companies, mutual funds and pension funds also belong to the trading framework of hedgers.Speculators are independent traders and investors who agree on their strong forecasts to benefit from future contracts.

Some of the facts about futures trading are that markets are too complex to predict accurately.Price and trend changes are small and frequent.These are the basis of futures trading.One can easily understand the basic facts of this trading trend.People who are interested in such deals can invest.One can also keep a broker who is fully owned in the field.There is a risk of loss in futures trading.Past performance is not indicative of future results.

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