Futures trading is not for beginners. There's most chances that you will burn your hands as a beginner. In futures, your positions are leveraged 3 times to 7 times based on the stock or index and hence so are your losses and profits.

Disciplined traders will pick bullish stocks and go long when markets are bullish and keep rolling over their positions to make maximum returns. Similarly go short on bearish stocks in bearish markets. It requires a great degree of understanding, discipline and execution to master this.


For example, In bullish markets, pick a bullish stock like Titan Industries, go Long and roll your positions every month. Assuming Titan goes up by 50%, Futures long will give you 200%. In Futures, you can gain, if you can predict long term trend, assuming you have little more cash for MTM.

One needs to remember that a stock traded in Futures, will be volatile and will always provide opportunities. Stocks which are not traded in Futures will be more stable and will be good for safe long term investors.