Can I deduct the losses I incurred in futures trading?

Yes. These are capital losses.

The deduction rules are detailed in this IRS article.

Futures contracts are Section 1256 contracts for the IRS.

For tax purposes, every Section 1256 gain or loss is treated as being 60% long term and 40% short term, no matter how long you own it.

Please read this TurboTax article on how to report income on Section 1256 contracts.

You'll need to complete form 6781.

To do this in TurboTax Online, please follow these steps:

1. Click on the magnifying glass icon on the top right of your screen
2. In the search box, type form 6781
3. In the search result page, click on Jump to form 6781
4. TurboTax will take you through a questionnaire where you can enter your information
5. TurboTax will then automatically split your gains between long-term and short-term to report them on your tax return.