Market Cap: $2.7965T 0.480%
Volume(24h): $121.5102B -17.520%
Fear & Greed Index:

20 - Extreme Fear

  • Market Cap: $2.7965T 0.480%
  • Volume(24h): $121.5102B -17.520%
  • Fear & Greed Index:
  • Market Cap: $2.7965T 0.480%
Cryptos
Topics
Cryptospedia
News
CryptosTopics
Videos
Top Cryptospedia

Select Language

Select Language

Select Currency

Cryptos
Topics
Cryptospedia
News
CryptosTopics
Videos

Upbit perpetual contract stop-profit and stop-loss tutorial

On the Upbit platform, stop-profit and stop-loss orders can be accessed through the "Perpetual Contract" interface, allowing traders to automate profit-taking and loss mitigation strategies.

Nov 15, 2024 at 11:34 am

Upbit Perpetual Contract Stop-Profit and Stop-Loss Tutorial

What is a Stop-Profit and Stop-Loss Order?

In cryptocurrency trading, a stop-profit order is an order that is placed above or below the current price of an asset, which triggers a trade when the price reaches a designated target price. It helps traders secure profits by closing their positions automatically once a desired price is reached.

A stop-loss order, on the other hand, is an order placed below (for long positions) or above (for short positions) the current price of an asset that triggers a trade when the price reaches a designated stop-loss price. This allows traders to mitigate losses by automatically closing their positions if the market moves against them beyond a predetermined level.

Why Use Stop-Profit and Stop-Loss Orders?

Stop-profit and stop-loss orders are essential risk management tools for traders. They provide several advantages, including:

  • Automated Execution: These orders can be placed and executed automatically, even when the trader is away from their trading platform.
  • Risk Management: They limit the potential losses and capture target profits by automatically closing the positions at predefined prices.
  • Emotions Control: By automating the closing process, traders can eliminate impulsive decisions driven by fear or greed.

How to Use Stop-Profit and Stop-Loss Orders on Upbit

Upbit, one of the leading cryptocurrency exchanges in South Korea, offers various order types, including stop-profit and stop-loss orders. Here's a detailed guide on how to use these orders on the Upbit platform:

  1. Access Perpetual Contract Interface: Log in to your Upbit account and navigate to the "Perpetual Contract" tab. Select the desired trading pair from the available options.
  2. Create Order: Click the "Create Order" button. You will be presented with the order window.
  3. Select Contract Type: On the left side of the order window, choose "Stop-Profit and Stop-Loss" order type.
  4. Configure Target and Stop-Loss Parameters: Enter the target profit or stop-loss price. You can also set the leverage ratio for your trade.
  5. Enter Position Size: Specify the desired position size in the "Amount" field. You can enter the amount in either the trading pair's base currency or quote currency.
  6. Submit Order: Carefully review the order details and click the "Submit" button to execute the trade.
  7. Monitor Order Status: Once the order is placed, you can monitor its status under the "Orders" tab. The order will remain active until it is triggered or canceled.

Additional Tips for Using Stop-Profit and Stop-Loss Orders:

  • Research and Plan: Before placing stop-profit or stop-loss orders, thoroughly research and analyze the market conditions.
  • Set Realistic Targets and Stops: Ensure your targets and stop-loss prices are realistic and reflective of market fluctuations.
  • Consider Volatility: Take into account the asset's volatility when setting your stop-loss and target prices.
  • Manage Risk: Use stop-profit and stop-loss orders as part of a comprehensive risk management strategy.
  • Monitor Positions: Regularly monitor the status of your active orders and make adjustments as needed.

Disclaimer:info@kdj.com

The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research!

If you believe that the content used on this website infringes your copyright, please contact us immediately (info@kdj.com) and we will delete it promptly.

Related knowledge

What are the risk control methods in Bitcoin contract trading?

What are the risk control methods in Bitcoin contract trading?

Feb 28,2025 at 06:07am

What are the Risk Control Methods in Bitcoin Contract Trading?Key Points:Understanding Leverage and Position Sizing: Proper leverage utilization and precise position sizing are fundamental to risk management in Bitcoin contract trading. This involves understanding your risk tolerance and capital allocation strategies.Stop-Loss Orders: Your First Line of...

How to choose leverage in Bitcoin contract trading?

How to choose leverage in Bitcoin contract trading?

Feb 28,2025 at 01:06am

How to Choose Leverage in Bitcoin Contract Trading?Key Points:Understanding Leverage and its Risks: Leverage amplifies both profits and losses. A higher leverage multiplies gains but equally magnifies potential losses, potentially leading to liquidation. This section will delve into the mechanics of leverage and its impact on your trading capital.Assess...

What does liquidity mean in Bitcoin contract trading?

What does liquidity mean in Bitcoin contract trading?

Feb 27,2025 at 08:19pm

What Does Liquidity Mean in Bitcoin Contract Trading?Key Points:Liquidity's Core Meaning: Liquidity in Bitcoin contract trading refers to the ease with which a trader can buy or sell a Bitcoin contract without significantly impacting its price. High liquidity means orders are filled quickly at the current market price, while low liquidity implies diffic...

How to set up stop-profit and stop-loss for Bitcoin contracts?

How to set up stop-profit and stop-loss for Bitcoin contracts?

Feb 28,2025 at 02:49am

How to Set Up Stop-Profit and Stop-Loss for Bitcoin Contracts?Key Points:Understanding Leverage and Risk: Bitcoin contracts utilize leverage, magnifying both profits and losses. Stop-loss and stop-profit orders are crucial for risk management in this high-volatility market. Incorrectly setting these orders can lead to significant financial losses. Under...

Is Bitcoin contract suitable for beginners?

Is Bitcoin contract suitable for beginners?

Feb 28,2025 at 04:25am

Is Bitcoin Contract Suitable for Beginners?Key Points:Understanding Bitcoin Contracts: Bitcoin contracts, primarily referring to Bitcoin futures and options, are complex financial instruments that involve significant risk. Beginners lack the necessary experience to accurately assess and manage this risk.Leverage and Risk: The high leverage offered by Bi...

What is the forced liquidation mechanism of Bitcoin contracts?

What is the forced liquidation mechanism of Bitcoin contracts?

Feb 28,2025 at 03:43am

What is the Forced Liquidation Mechanism of Bitcoin Contracts?Key Points:Understanding the concept of margin trading and leverage in the context of Bitcoin contracts.Detailing how liquidation prices are calculated based on position size, leverage, and the current market price.Exploring the different types of liquidation mechanisms employed by various cr...

What are the risk control methods in Bitcoin contract trading?

What are the risk control methods in Bitcoin contract trading?

Feb 28,2025 at 06:07am

What are the Risk Control Methods in Bitcoin Contract Trading?Key Points:Understanding Leverage and Position Sizing: Proper leverage utilization and precise position sizing are fundamental to risk management in Bitcoin contract trading. This involves understanding your risk tolerance and capital allocation strategies.Stop-Loss Orders: Your First Line of...

How to choose leverage in Bitcoin contract trading?

How to choose leverage in Bitcoin contract trading?

Feb 28,2025 at 01:06am

How to Choose Leverage in Bitcoin Contract Trading?Key Points:Understanding Leverage and its Risks: Leverage amplifies both profits and losses. A higher leverage multiplies gains but equally magnifies potential losses, potentially leading to liquidation. This section will delve into the mechanics of leverage and its impact on your trading capital.Assess...

What does liquidity mean in Bitcoin contract trading?

What does liquidity mean in Bitcoin contract trading?

Feb 27,2025 at 08:19pm

What Does Liquidity Mean in Bitcoin Contract Trading?Key Points:Liquidity's Core Meaning: Liquidity in Bitcoin contract trading refers to the ease with which a trader can buy or sell a Bitcoin contract without significantly impacting its price. High liquidity means orders are filled quickly at the current market price, while low liquidity implies diffic...

How to set up stop-profit and stop-loss for Bitcoin contracts?

How to set up stop-profit and stop-loss for Bitcoin contracts?

Feb 28,2025 at 02:49am

How to Set Up Stop-Profit and Stop-Loss for Bitcoin Contracts?Key Points:Understanding Leverage and Risk: Bitcoin contracts utilize leverage, magnifying both profits and losses. Stop-loss and stop-profit orders are crucial for risk management in this high-volatility market. Incorrectly setting these orders can lead to significant financial losses. Under...

Is Bitcoin contract suitable for beginners?

Is Bitcoin contract suitable for beginners?

Feb 28,2025 at 04:25am

Is Bitcoin Contract Suitable for Beginners?Key Points:Understanding Bitcoin Contracts: Bitcoin contracts, primarily referring to Bitcoin futures and options, are complex financial instruments that involve significant risk. Beginners lack the necessary experience to accurately assess and manage this risk.Leverage and Risk: The high leverage offered by Bi...

What is the forced liquidation mechanism of Bitcoin contracts?

What is the forced liquidation mechanism of Bitcoin contracts?

Feb 28,2025 at 03:43am

What is the Forced Liquidation Mechanism of Bitcoin Contracts?Key Points:Understanding the concept of margin trading and leverage in the context of Bitcoin contracts.Detailing how liquidation prices are calculated based on position size, leverage, and the current market price.Exploring the different types of liquidation mechanisms employed by various cr...

See all articles

User not found or password invalid

Your input is correct