Futures trading is commonly used in various markets, such as commodities, currencies, and financial instruments. In this trading style, contracts are established to purchase or sell an underlying asset at a future date at a specific price. This allows traders to hedge against price changes or speculate on market movements without the need to own the underlying asset. Futures contracts are standardized agreements traded on exchanges, with each contract specifying the quantity and quality of the asset, the delivery date, and the price.