A futures order without leverage – this becomes a buy/hold?
a limit order for 100, a take profit order for 120,
no leverage
This beomes a normal buy/hold with no chance of liquidation?
a limit order for 100, a take profit order for 120,
no leverage
This beomes a normal buy/hold with no chance of liquidation?
It is close to a normal buy/hold, but you pay/receive funding fees every 8 hours.
If those fees happen to systematically be against you, you will effectively:
* pay more than holding spot.
* have a chance to be liquidated down the road, as your capital gets wasted in funding fees.
Yeah. But with futures you don’t actually hold anything.
You are right. Process is the same. I use futures when I want to place buy orders, take profites and stop loss and I don’t want to keep watching it. I also use it to short.