Orders
Orders vs Positions
Order – an instruction you place to open or close a trade under specific conditions. Orders can remain pending until the conditions are met.
Position – an active trade that is already open. Once an order is filled, it becomes a position.
Example: You place a limit order to long BTC at $119,000. Until the market reaches that price, it remains only an order. Once the order executes, it becomes a position.
Maximum Order Size Formula
Maximum Order Size = min(Max Volume Limit ; (Account Equity – (Account Maintenance Margin – Current Position Margin)) × Leverage) – Current Side Margin × Leverage
Where:
Max Volume Limit – the maximum allowed order size for this instrument (configuration).
Account Equity – total account balance including unrealized PnL.
Account Maintenance Margin – the current amount of maintenance margin required to keep all open positions.
Current Position Margin – margin already reserved for your existing position in this instrument.
Leverage – the leverage multiplier you selected.
Current Side Margin – margin already used for positions on the same side (long or short).
This formula shows the maximum size of a new order you can place, considering risk limits, your available equity, and the margin already tied up in other positions.
Equity = Account Balance + Unrealized PnL.
Estimated Liquidation Price Formula (for a new order)
Estimated Liquidation Price = (Account Maintenance Margin + New Order Margin – Account Equity + Mark Price × Current Position Size + Order Price × New Order Size) / (Current Position Size + New Order Size)
Where:
Account Maintenance Margin – the current amount of maintenance margin required to keep all open positions.
New Order Margin – the additional margin required to open the new order.
Account Equity – total account balance including unrealized PnL.
Mark Price – the current fair (index) price of the instrument.Current Position Size – size of your existing position (positive for long, negative for short).
Order Price – the entry price of the new order.
New Order Size – the size of the new position to be added.
This formula calculates what the liquidation price will be once the new order is executed.
For longs, liquidation happens if the mark price falls to this level.
For shorts, liquidation happens if the mark price rises to this level.
When creating an order you can add Take Profit and Stop Loss levels in two ways:
By Price (USDT) – enter a specific target price.
By ROI (%) – enter a target return in percentage.
ROI Formula
ROI% = (Unrealized PnL / Initial Margin) × 100%
Note: If you already have an open position and then place an order in the opposite direction, TP/SL will not be available for that order.
Example: If you are holding a BTC long and try to open a short order, you will not be able to set TP/SL on that short.
Last updated