In perpetual trading, by taking profit and stopping loss, you can effectively keep your positions safe from risks, which is also an essential skill for accumulating wealth in the crypto world. This tutorial will teach you how to take profit and stop loss in perpetual trading at CoinEx.
When users cannot pay prompt attention to the market information, the take-profit and stop-loss liquidation can be realized by pre-setting the stop price for a current position. When the market price (mark price / latest price) reaches the preset trigger price, the system will execute the market-price order to close all positions.
2) Stop price (Trigger price) has 2 different types: Mark Price (default) and Latest Price.
a. Mark Price: the order is to be triggered when the Market Price hits the Stop Price.
b. Latest Price: the order is to be triggered when the Latest Price hits the Stop Price.
Say, a user is holding one BTC long position with an average opening price of 40,000 USDT. He plans to close the position to stop loss when the price drops to 39,000 USDT. Here are the settings:
(1) Set [Price Type] as the Latest Price
(2) Set [Stop Prcie] at 39,000;
When the market price drops to 39,000 USDT, Stop-Loss will be triggered and all positions will be liquidated at the market price. If the user plans to close the position to take profit, the stop price should be higher than the opening price of 40,000 USDT.
2) One-side Stop Loss under Short Position
Say, a user is holding one BTC short position with an average opening price of 40,000 USDT. He plans to close the position to stop loss when the price rises to 41,000 USDT. Here are the settings:
(1) Set [Price Type] as the Latest Price
(2) Set [Stop Prcie] at 41,000;
When the market price rises to 41,000 USDT, Stop-Loss will be triggered and all positions will be liquidated at the market price. If the user plans to close the position to take profit, the stop price should be lower than the opening price of 40,000 USDT.
3) Two-side Take Profit & Stop Loss under Long Position
Say, a user is holding one BTC long position with an average opening price of 40,000 USDT. He plans to close the position to get profit when the price rises to 42,000 USDT and to stop loss when the price drops to 39,000 USDT. Here are the settings:
1. Take-Profit: Set [Price Type] as the Latest Price and [Stop Prcie] at 42,000;
2. Stop-Loss: Set [Price Type] as the Latest Price and [Stop Prcie] at 39,000;
When the market price rises to 42,000 USDT, the take-profit condition will be triggered and the position will be fully closed at the market price, so the stop-loss condition will be automatically cancelled. When the market price drops to 39,000 USDT, the stop-loss condition will be triggered and the position will be fully closed at the market price, so the take-profit condition will be automatically cancelled.
4) Two-side Take Profit & Stop Loss under Short Position
Say, a user is holding one BTC short position with an average opening price of 40,000 USDT. He plans to close the position to get profit when the price drops to 37,000 USDT and to stop loss when the price rises to 41,000 USDT. Here are the settings:
1. Take-Profit: Set [Price Type] as the Latest Price and [Stop Prcie] at 37,000;
2. Stop-Loss: Set [Price Type] as the Latest Price and [Stop Prcie] at 41,000;
When the market price drops to 37,000 USDT, the take-profit condition will be triggered and the position will be fully closed at the market price, so the stop-loss condition will be automatically cancelled. When the market price rises to 41,000 USDT, the stop-loss condition will be triggered and the position will be fully closed at the market price, so the take-profit condition will be automatically cancelled.
When users cannot pay prompt attention to the market information, the take-profit and stop-loss liquidation can be realized by pre-setting the stop price for a current position. When the market price (mark price / latest price) reaches the preset trigger price, the system will execute the market-price order to close all positions.
I. Enter the perpetual trading page at CoinEx, and find the entry of TP/SL
1) The entry of TP/SL is as follows:
2) Stop price (Trigger price) has 2 different types: Mark Price (default) and Latest Price.
a. Mark Price: the order is to be triggered when the Market Price hits the Stop Price.
b. Latest Price: the order is to be triggered when the Latest Price hits the Stop Price.
II. How to set Take-Profit and Stop-Loss? Here are four examples:
1) One-side Stop Loss under Long PositionSay, a user is holding one BTC long position with an average opening price of 40,000 USDT. He plans to close the position to stop loss when the price drops to 39,000 USDT. Here are the settings:
(1) Set [Price Type] as the Latest Price
(2) Set [Stop Prcie] at 39,000;
When the market price drops to 39,000 USDT, Stop-Loss will be triggered and all positions will be liquidated at the market price. If the user plans to close the position to take profit, the stop price should be higher than the opening price of 40,000 USDT.
2) One-side Stop Loss under Short Position
Say, a user is holding one BTC short position with an average opening price of 40,000 USDT. He plans to close the position to stop loss when the price rises to 41,000 USDT. Here are the settings:
(1) Set [Price Type] as the Latest Price
(2) Set [Stop Prcie] at 41,000;
When the market price rises to 41,000 USDT, Stop-Loss will be triggered and all positions will be liquidated at the market price. If the user plans to close the position to take profit, the stop price should be lower than the opening price of 40,000 USDT.
3) Two-side Take Profit & Stop Loss under Long Position
Say, a user is holding one BTC long position with an average opening price of 40,000 USDT. He plans to close the position to get profit when the price rises to 42,000 USDT and to stop loss when the price drops to 39,000 USDT. Here are the settings:
1. Take-Profit: Set [Price Type] as the Latest Price and [Stop Prcie] at 42,000;
2. Stop-Loss: Set [Price Type] as the Latest Price and [Stop Prcie] at 39,000;
When the market price rises to 42,000 USDT, the take-profit condition will be triggered and the position will be fully closed at the market price, so the stop-loss condition will be automatically cancelled. When the market price drops to 39,000 USDT, the stop-loss condition will be triggered and the position will be fully closed at the market price, so the take-profit condition will be automatically cancelled.
4) Two-side Take Profit & Stop Loss under Short Position
Say, a user is holding one BTC short position with an average opening price of 40,000 USDT. He plans to close the position to get profit when the price drops to 37,000 USDT and to stop loss when the price rises to 41,000 USDT. Here are the settings:
1. Take-Profit: Set [Price Type] as the Latest Price and [Stop Prcie] at 37,000;
2. Stop-Loss: Set [Price Type] as the Latest Price and [Stop Prcie] at 41,000;
When the market price drops to 37,000 USDT, the take-profit condition will be triggered and the position will be fully closed at the market price, so the stop-loss condition will be automatically cancelled. When the market price rises to 41,000 USDT, the stop-loss condition will be triggered and the position will be fully closed at the market price, so the take-profit condition will be automatically cancelled.
