Friends who trade contracts, have you ever experienced this—correctly judging the direction, holding your position for several days, only to have your funds gradually eaten away by funding fees, and finally your account lacking enough margin to avoid liquidation? Then, right after selling out, the market takes off. Such incidents are replayed almost every day in the futures market.

Sounds heartbreaking, right? But this is the reality. What really kills you is often not wrong market judgment, but those invisible, intangible rules that you can't see or touch.

**Cost is the first hurdle**

Most people only focus on the candlestick charts, but are completely unaware of the real money-eating monsters like funding fees, slippage, and liquidation mechanisms. Funding fees are settled every 8 hours. If you go all-in and hold on stubbornly, you're essentially betting against time.

My approach is: if the funding rate remains high, I consider short-term trading, and I must be on the side that benefits from the fees. If you want to hold medium-term positions, never rely solely on willpower to hold on, because when your account shrinks, that superficial profit is meaningless.

**Liquidation line is much more aggressive than you think**

Some people calculate that using 10x leverage means a 10% loss will trigger liquidation. But this calculation is too naive. When you factor in trading fees and the requirements for maintenance margin, the liquidation line is actually much closer than you think. The real risk of liquidation is much more severe than in ideal scenarios.

**Leverage should match your holding period**

High leverage amplifies profits but also increases fee erosion and psychological pressure. The simple logic is: the longer you hold, the lower the leverage should be; only short-term trading justifies high leverage. Doing it the other way around is like setting a trap for yourself.

Ultimately, many people don't fail because they can't trade contracts, but because they start off on the wrong foot. Exchanges aren't really afraid of retail traders losing money; what they truly fear is someone mastering these rules. To survive longer in the futures market, don't just focus on betting on the right or wrong direction. First, thoroughly understand your cost structure. That is the first lesson for survival.