AI Summary
This video is a beginner's guide to executing futures trades on Binance. The host explains the risks of futures trading, walks through the Binance interface, and demonstrates how to set up a trade, including leverage, margin, and order types. He also briefly promotes the Open Ledger project as an example of a promising new token.
Chapters
The host addresses viewers who have mastered spot trading and want to learn futures. He warns that futures are highly volatile and can lead to liquidation.
The video is educational; crypto trading is risky. Viewers must do their own research.
Use the link in the description to create an account. A tutorial video is available on YouTube.
Open Binance, click on 'Futures' option. Select 'USD-M' futures.
Default pair is ETH/USD. Click the arrow to choose other pairs like BTC, BNB, etc.
Click on the chart to see the graph. Select timeframes like 1 minute.
Click the plus/minus button to open the calculator. Choose Long (buy) or Short (sell). Set margin, entry price, and quantity to estimate profit/loss.
Isolate mode limits loss to the margin of that trade. Cross mode uses entire wallet balance as margin, raising liquidation price.
Leverage multiplies both profit and loss. Beginners should start with low leverage.
Single Asset Mode is recommended for beginners. Multiple Asset Mode allows trading multiple assets with one margin.
Transfer funds from Spot wallet to Futures wallet via the 'Transfer' button.
Limit order executes at a specified price. Market order executes immediately at current price.
Stick to top coins like Bitcoin, Ethereum, BNB. New tokens with strong fundamentals, like Open Ledger (OPEN), can be considered.
Enter amount in dollars or percentage of wallet. Choose Long or Short based on market analysis. Set Take Profit and Stop Loss.
View open positions and orders. Close a trade by clicking the close button.
Futures trading on Binance involves selecting a pair, choosing leverage, and placing orders with proper risk management. Beginners should start small, use stop losses, and avoid over-leveraging.
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85% Legit"Title promises a beginner's guide to futures trading and delivers step-by-step instructions, though it also includes a project promotion."
Mentioned in this Video
Tutorial Checklist
Study Flashcards (6)
What is the difference between Isolate and Cross margin mode?
easy
Click to reveal answer
What is the difference between Isolate and Cross margin mode?
Isolate limits loss to the margin of that trade; Cross uses entire wallet balance as margin.
04:36
What does leverage do in futures trading?
easy
Click to reveal answer
What does leverage do in futures trading?
Leverage multiplies both profit and loss. For example, 10x leverage means a 1% price move results in 10% profit or loss.
05:41
How do you transfer funds from Spot to Futures wallet on Binance?
easy
Click to reveal answer
How do you transfer funds from Spot to Futures wallet on Binance?
Click on 'Transfer' and select 'Spot' to 'Futures', then confirm.
06:50
What is the difference between a Limit order and a Market order?
medium
Click to reveal answer
What is the difference between a Limit order and a Market order?
Limit order executes at a specified price; Market order executes immediately at current market price.
07:15
What is the recommended leverage for beginners?
medium
Click to reveal answer
What is the recommended leverage for beginners?
Beginners should start with low leverage, such as 2x or 3x, to minimize risk.
05:41
What is the purpose of setting a Stop Loss?
easy
Click to reveal answer
What is the purpose of setting a Stop Loss?
A Stop Loss automatically closes a trade at a predetermined price to limit losses.
12:09
💡 Key Takeaways
Futures as a Double-Edged Sword
Highlights the high risk and potential for both profit and liquidation.
00:40Isolate vs Cross Margin Explained
Clarifies a key risk management concept for futures traders.
04:36Leverage Multiplies Risk
Emphasizes the importance of choosing leverage carefully.
05:41Stick to Top Coins or Strong Projects
Advises beginners to avoid risky altcoins and focus on established coins or projects with solid fundamentals.
07:54Always Use Stop Loss
Reinforces the necessity of risk management to protect capital.
12:09Full Transcript
[00:01] friends, I am getting a lot of comments from you people. As if you people have crossed the beginner stage. Spot trading has come to you. Now you want to learn how to trade futures as well. Recently as you all know, I made a video in which I
[00:14] Explained the difference between future trading. Along with that, I also taught you spot trading. Now as you all have crossed the first stage. If you want to learn more about futures trading , today a dedicated video is being made for beginners
[00:28] so that you can know how to execute a futures trade. But a small disclaimer here is that futures trading is highly volatile. trading will avoid it
[00:40] because it is like a double-edged sword. It can also make you profit. Along with that, it can also liquidate you. So, we will tell you each and every thing from the absolute beginner level as to how this trade is executed so that if you also want to
[00:52] step into the world of future trading, then you should know at least the basics of how to execute a future trade. I must mention this here. This is an educational video. Crypto trading is highly volatile and
[01:04] risky. There is risk involved in this. So, you must do your research. Only then you have to trade in any crypto currency. If there is profit, you will get it, if there is loss, you will get it. Our job is to educate you. You have to explain. It is
[01:17] your own choice to take further steps and further decisions. First step: mobile. If you do n't have an account on Binance, link in the description. I have given the link in the description of this video. Simply go over it and click.
[01:30] Create your account. If you don't know how to create an account. Simply go to YouTube and type 'How to create Binance account by 90 minutes' and a dedicated video will appear in front of you. Simply create your account by looking at it.
[01:43] see a window like this. Now look as if Binance has opened. Look here, you can see the options below. Can you see it? Here an option of futures is visible. Ok? You have to click on future. As soon as you
[01:56] click on Future, you will see a dashboard like this. Look here, the first option is USD M, you have to click on it. Ok? You have to live on this. We will look at the remaining options later because future
[02:08] this is visible in front of you: Ethereum USD. This means that trading for this pair is open here. If you want to trade any other pair of futures in any other crypto then you simply have to click on the arrow button above it.
[02:20] All the trading pairs will be visible to you. Look here, BTC will be available, BNB will be available, Ethereum will be available or if you want to search any other pair, you will get them here also. So, we go over to Ethereum here. Look at the first option here,
[02:33] you understood that first of all you have to select your pair here. After that you will see some options here. Ok ? You should leave the first option. This is graphs. As soon as you click on it, see here,
[02:46] inside the future trade, this graph of Ethereum USD pair will open here. Here you can select the time frame. For example, I have done 1 minute here. Goes above the back button. After that, look here, the option of plus minus
[03:00] As soon as you click on it, this window will appear in front of you above the plus minus. This means that you are looking to execute a trade. But before placing a trade, you want to do your own calculations as to how much
[03:15] For example, see here, the first option is long key and short key. A long position means that you want to open a buy position. Short means that you want to open a sell position. We go over to Long.
[03:27] After that, you will see the margin option as to how much margin you want to take from the market. That is, how much do you want to borrow. Ok? This means that if you have $10 and want to open a trade for $, you will need to
[03:41] take 10x. That means if you have $10 in your wallet and you want to open a position here by borrowing the remaining ₹90 from the market, and you want to open a position here by borrowing the remaining ₹90 from the market, your margin here. Now look at the entry price here, for example, we look at it here.
[03:55] This is the entry price of Ethereum we are looking to take. Ok? Right now we are just doing calculations. The trade is not getting executed and we want to exit. not getting executed and we want to exit. When its price is above 4200. Ok
[04:08] ? We will open a long position. After that, how much Ethereum do you want to open a trade for half Ethereum here. I click on the calculate button. Look here it said that if you open this trade and the market
[04:22] goes in your favor then you will make a profit of $16. Your ROI will be 7.68%. This was just a calculation for estimation. This means that before you execute any trade, you can get an estimation from it. ok sir.
[04:36] explored this button. Look here there is a plus minus button. Look, first of all, look here, all your windows have been cleared. Now here we come to the main window where the trade is executed. It's okay, sir. Now first of all
[04:49] see here, the option of isolate is visible. What does it mean? Look here, isolate is visible, after that a cross is visible. Ok? There are two options: isolate and cross. If you click on it, a cross will appear. If you click on it, isolate will appear.
[05:01] Isolate means that if you have $ 50 or $54 in your wallet and you take a trade of only $10, then if the trade goes into loss, only $10 of yours will be
[05:13] executed. There will be a loss of only $10. The cross means if you have opened a trade of $10. If that position starts incurring losses, So mostly we go to the cross only. This increases your liquidation price.
[05:26] you can also go for isolate. Want to take low risk. That means you become a little expert here then the cross position is the best. And again see here the margin has come, how much margin you want to borrow.
[05:41] For example again I am telling you that if you have $10 then 10 * 10 means 10 if you have $10 then 10 * 10 means 10 * 10 your trade of $100 will be open. So if you are in the beginning then you have to start with low margin. This means that when
[05:54] you make a profit, it will be 10x and if you incur a loss, your loss will be 10x. So you have to select this leverage very carefully. We Click on it. Here you can see Single Asset Mode and Multiple Asset Mode, that is,
[06:09] if you want to trade within one asset then you will you want to open a trade of multiple assets i.e. BTC or Ethereum together go over single assets only. See single asset here. Now the question arises
[06:25] that how do you place a trade here? Look here, look here, this is what is visible here. Now before that, look here, a chart is visible below. You simply have to click on it. You have to analyze the market properly.
[06:37] Here, go above 1 minute and see whether the market is going up or down. What are the fundamentals? Is there any technical analysis here? You have to execute it properly. After that you have to place your trade here. Now to place a trade, first of all, there should be
[06:50] balance in your wallet in the Look here, as soon as you click on it, the So where do you want to shift it
[07:02] ? Inside the Future. ok sir. Click on the confirm button and it will how will this balance come into it? Obviously, you will get it Binance exchange, only then will the balance come in it and you have to transfer it to future wallets.
[07:15] look here, the next option visible is of limits. Meaning that the market here of limits. Meaning that the market here is currently running at 4152. You can estimate that the limit will come above 4150. Then this trade should be executed. But as we are taking trades at smaller levels.
[07:28] So we'll go over the markets. We will select the markets position and see here the market has arrived. Market means that the Market means that the
[07:40] But here some people might be wondering that apart from Ethereum or Bitcoin, in which coins can we take our trades. For example, over Ethereum. Look here, many more coins are coming. I would
[07:54] top three coins if you are a complete beginner. But some projects, even new projects, have very good fundamentals. The use cases are very As I tell you a
[08:06] project is a recently launched one. Open on Binance. Its token has been listed. Its price is running above 38. If we talk about its use case, the Ledger. Open Ledger has also launched its own token named OPEN. This is the next
[08:20] generation blockchain network for AI, which means it helps new developers a lot in creating AI agents. And along with this, you will know about the famous chatboard Chat GBT. What happens in it is that you people
[08:32] search for Curie in it. You people only take results. But Chat GBT does not give Open Ledger is one such infrastructure, a model that also builds AI trend models on top of Web3. But it also rewards the people whose data it uses, the
[08:46] specialized people whose data sets it uses. For example, you are a photographer. Is an animal photographer. I will give you an example. You take pictures of different animals and maintain your own database. If
[08:59] Open Ledger creates an AI agent using your database, then the benefit you will get from it is that if someone creates an AI agent using that model, that is, creates a model of AI pictures on this platform, then you will
[09:14] definitely get credit for it. You will get rewards in the form of open tokens. 2.1 million transactions done on it and 2105 smart contracts have been built and
[09:28] 9477 wallets are connected. Look here, all their data sets Look here, you will also see the models who have developed these models. Look, as I told you earlier, if you are a photographer,
[09:41] your photos are used to train this model, you will also benefit from that. Go inside their projects. See here Open Letter AI Studio is also theirs. Look here, it is very easy. Their model fact itself is very simple. You are
[09:53] given a prompt, fine tuned and your result will be presented to you in the form of an AI agent. result will be presented to you in the form of an AI agent. Decentralized AI Agents Specialized AI Agents You can create a specialized AI agent for each niche or category. This
[10:07] means that even if you are a developer, you will benefit from the fact that you can create your own AI models here. If you are a data set provider, a data provider, then you will still benefit from working on this project.
[10:20] want to go into new tokens, then always select those tokens which have a use case and have a future. Otherwise these are regular coins like Ethereum , Bitcoin, BNB. You have to trade within this.
[10:34] front of you that how many dollars worth of trade you want to open. For example, let's say I want to place a trade of $10 here. So your trade So your trade will be opened for 0.002 Ethereum. You
[10:46] look here, if the balance in your wallet is 100$14, then from here, as per the percentage, you say that 10% of the balance of my wallet should be executed for the trade. Now after that scroll down. Look here, you
[11:01] see here, no liquidation price is visible right now. The maximum position you can open is $1000 because I had $ in my wallet so this is the maximum position I can open. But I am investing only 10% right now. My position will cost only 10%. It will
[11:14] My position will cost only 10%. It will cost $10. The trade will open here at a cost of $10 and $. Now see here whether you want to open or short. It depends on whom? Look at your market analysis here.
[11:27] Look here you have to analyze the market. Is the market going up or down? I am not flukes. You have to do proper technical analysis and fundamental analysis. Only after that you can decide here. If you place it randomly,
[11:40] you will incur a loss. You must be reading the market to see what is going on in the market. not announce any new policy today. Accordingly, you have to execute the trade here. For example, now look here, the market trend is going up here.
[11:54] opened a long position. Look here my position has been opened. In this way, if you look here, the market will go upwards in the positive direction. profit will start coming. Look here my entry price was Rs 4158. Currently
[12:09] running 4161 is running. So see, it is going positive. If you open the position then look here for TPA Stop Loss, you have to click on it. If you and look here you have to go above the positions. You say that
[12:23] if any position I have opened makes a profit of $10, then my trade should be automatically closed here. Ok? And similarly, if you want to place a stop loss, then look here, by going inside the stop loss, you can put $10 or look here, $5, that is, I can bear the loss for $5.
[12:39] You must place a stop loss above $5. Whether to place stop loss or take profit. You must place a stop loss so that the balance in your wallet does not get exhausted. One should proceed after calculating the risk. Click on the confirm button.
[12:53] Confirm again. Look here, my position is open here and look here, I minimize it in front of you. live. Along with that I have also placed open orders here. That means if the
[13:07] price goes up in the market then there will be take profit. If you go here then stop loss will be done. This is how you can manage your trades here. If you want to close an ongoing trade, you simply have to click on the close button.
[13:20] Click on the confirm button. Your trade will be closed. In this way, you have to execute your future trade in simple steps. I hope friends, you found the video valuable. So please give it a thumbs up. Share it with your friends.
[13:33] Please subscribe to this channel 90s Mentor. Thank you.