Why do people still line up to jump into contracts, even though everyone knows it's a meat grinder?

To put it simply: low entry barrier, quick money.

You can open a position with just a few hundred bucks, and if you're lucky, you could double or triple your money in a day. But the problem is, most people rush in without even understanding the basic logic—so who do you think ends up losing money?

The funniest part is that many people can't even figure out leverage. If you have $10,000 in your account and use 10x leverage on 10% of your position, or 20x leverage on 5% of your position, there’s actually no difference—either way, if the price moves 100%, you’re liquidated, or you double your money.

But some people still think "low leverage = safety," so they go all in with 10x leverage on 30% of their position. As a result, if the price moves just 34%, they get liquidated. With moves like that, who else is supposed to get rekt if not you? And you still think you’re being careful?

People who really understand contracts know one thing: the essence of this game is risk hedging. Every penny you make is someone else’s loss. It’s not about luck; it’s about the math.

So what do pros spend 70% of their time doing? Waiting. They won’t make a move until the market is right, and when they do, it’s a precise strike. Retail traders, on the other hand, are rolling around in the market every day—long today, short tomorrow, cutting losses more often than opening positions.

If you want to win with contracts, the core principle is this: go against human nature.

Stay calm when others panic, be cautious when others get greedy. Stop-losses must be strict—keep losses under 5%. But when you’re in profit, you have to be even more decisive than anyone else; don’t exit unless your profit is at least double your stop-loss.

A lot of people are still confused after reading this: "Isn’t this just gambling?"

No, my friend. You get liquidated because you’re gambling on luck, while those who make money are playing the odds and managing risk.

If you’re still trading based on "gut feeling," maybe you should just get some sleep and call it a night. In your dreams, you can have it all—and you’ll never get liquidated.