Contract Trading: The Veteran Trader’s Survival Guide to Playing with Fire

For those entering the crypto world wanting to trade contracts, nine out of ten are aiming for "small bets for big gains, getting rich overnight." I’ve been in the game for over ten years, made money and lost money, and I know this is a life on the edge. Want to play? First, memorize these life-saving rules below.
Leverage is the devil; beginners should not open it recklessly.
Jumping straight to 10x or 20x leverage isn’t trading, it’s gambling. I now use at most 1-3x, trading small positions to follow the trend; even if I’m wrong, it won’t hurt my bones.
Only take trend-following trades.
In a bull market, go long; in a bear market, go short; during sideways markets, either stay out or trade lightly. Trading against the trend is purely giving away money.
Stop-loss must be set; close your eyes and cut when it hits.
Never hold onto a contract during a reversal; the market turning can lead to instant liquidation. Set your stop-loss before entering, don’t hesitate when the time comes, act decisively.
Doing less is more important than doing more.
Trading aimlessly a dozen times a day is less effective than making one correct trade in a week. Be patient and wait for the best opportunity; a single accurate strike is enough.
The bottom line: only use idle funds. $LAB
Never borrow money or push leverage aggressively. Keep a steady mindset, only then can you survive in contracts.
Contracts can make quick money, but they can also wipe you out overnight. Respect the market, control your risks—that’s the long-term way.