What are the potential risks or challenges of trading e-mini futures during non-peak cryptocurrency trading hours?
Prajjwal DohareDec 27, 2021 · 3 years ago3 answers
What are the potential risks or challenges that traders may face when trading e-mini futures during non-peak cryptocurrency trading hours?
3 answers
- Dec 27, 2021 · 3 years agoDuring non-peak cryptocurrency trading hours, the liquidity of e-mini futures may be lower, which can result in wider bid-ask spreads and increased slippage. Traders may find it more difficult to execute trades at their desired prices, leading to potential losses.
- Dec 27, 2021 · 3 years agoOne potential risk of trading e-mini futures during non-peak cryptocurrency trading hours is increased price volatility. With lower trading volume, even small buy or sell orders can have a larger impact on the market, causing prices to fluctuate more rapidly. Traders need to be prepared for sudden price movements and potential losses.
- Dec 27, 2021 · 3 years agoTrading e-mini futures during non-peak cryptocurrency trading hours can be challenging due to the lack of market participants. This can result in lower trading activity and reduced market depth, making it harder for traders to enter or exit positions. It is important to carefully consider the potential impact of low liquidity on trade execution and overall market stability.
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