Can you make money by trading AscendEX contracts?

Trading AscendEX contracts can yield profits, but it's essential to assess risk tolerance, gain trading experience, and monitor market conditions before engaging in this high-risk activity.

Nov 29, 2024 at 01:26 pm

Can You Make Money by Trading AscendEX Contracts?

Introduction

AscendEX is a leading cryptocurrency exchange that offers a wide range of trading products, including spot trading, margin trading, and futures trading. Futures contracts are a type of derivative that allows traders to speculate on the future price of an asset. They can be used to hedge against risk or to try to profit from price movements.

Can You Make Money Trading AscendEX Contracts?

Yes, it is possible to make money by trading AscendEX contracts. However, it is important to remember that futures trading is a risky activity, and you can lose money as well as gain money.

Factors to Consider Before Trading AscendEX Contracts

Before you start trading AscendEX contracts, you should consider the following factors:

• Your risk tolerance: Futures trading can be a very risky activity. You should only trade with money that you can afford to lose.
• Your trading experience: If you are new to futures trading, it is important to learn about the basics of the market before you start trading.
• The market conditions: The market conditions can have a significant impact on the profitability of futures trading. You should research the market conditions before you start trading.

How to Trade AscendEX Contracts

To trade AscendEX contracts, you will need to open an account with the exchange. Once you have an account, you can deposit funds into your account and start trading.

There are a few different types of futures contracts that you can trade on AscendEX:

• Perpetual contracts: Perpetual contracts are futures contracts that do not have an expiration date. This means that you can hold a perpetual contract for as long as you want.
• Monthly contracts: Monthly contracts are futures contracts that expire on a monthly basis. This means that you will need to close out your position before the contract expires.

When you trade futures contracts, you will need to specify the following:

• The underlying asset: The underlying asset is the asset that the contract is based on.
• The contract size: The contract size is the number of units of the underlying asset that the contract represents.
• The leverage: The leverage is the amount of money that you are willing to risk on the trade.

Once you have specified the above information, you can place your order.

There are two main types of orders that you can place:

• Market orders: Market orders are executed at the current market price.
• Limit orders: Limit orders are executed at a specific price.

Tips for Trading AscendEX Contracts

Here are a few tips for trading AscendEX contracts:

• Start with a small amount of money: When you are first starting out, it is important to start with a small amount of money. This will help you to minimize your losses if the market moves against you.
• Learn about risk management: Risk management is one of the most important aspects of futures trading. You should learn about different risk management techniques before you start trading.
• Use a stop-loss order: A stop-loss order is an order that will automatically sell your contract if the market moves against you. This can help you to limit your losses.
• Don't overtrade: Overtrading is one of the biggest mistakes that new traders make. You should only trade with money that you can afford to lose.