Take Profit and Stop Loss

   

Take Profit and Stop Loss are commonly used risk management tools in futures trading that help users automatically lock in profits or limit losses.

  

  

1. What Is Take Profit?

  

A Take Profit order automatically closes a position when the market reaches a predefined price level, helping users lock in profits.

  

For example:

• BTC Long Entry Price: 80,000 USDT
• Take Profit Price: 85,000 USDT

When the market price rises to the Take Profit price, the system will automatically close the position to lock in profits.

  

  

2. What Is Stop Loss?

   

A Stop Loss order automatically closes a position when the market reaches a predefined price level, helping users limit losses.

  

For example:

• BTC Long Entry Price: 80,000 USDT
• Stop Loss Price: 78,000 USDT

When the market price falls to the Stop Loss price, the system will automatically close the position to help prevent further losses.

  

  

3. Types of TP/SL Orders

   

Hotcoin Futures supports both Market TP/SL and Limit TP/SL orders.

  

I. Market TP/SL

Users only need to set a trigger price.

Once the market reaches the trigger price, the system will automatically close the position at the current market price.

  

II. Limit TP/SL

Users need to set both a trigger price and an order price.

Once the market reaches the trigger price, the system will place a limit order at the specified order price.

  

  

Notes

   

• During periods of high volatility, the actual execution price may differ from your preset price.
• In extreme market conditions, TP/SL orders may not be executed.
• Limit TP/SL orders are not guaranteed to be filled. Sufficient market liquidity is required for execution.

   

We recommend setting your TP/SL levels with your risk tolerance in mind and adjusting them as market conditions change.