How to close position with DigiFinex leverage

To close a position with DigiFinex leverage, you need to log in to your account, go to the "Leverage Trading" section, select the position you want to close, click on "Close," enter the close amount, and confirm the transaction.

Nov 27, 2024 at 04:30 pm

How to Close Position with DigiFinex Leverage

Trading cryptocurrencies on margin, also known as leverage trading, can amplify both profits and losses. Therefore, it's crucial to understand the process of closing a leveraged position to manage risk effectively. This comprehensive guide will provide a step-by-step explanation of how to close a position with DigiFinex leverage.

Understanding Leverage Trading on DigiFinex

Leverage trading allows traders to borrow funds from DigiFinex to increase their trading positions. This can potentially magnify profits, but it also amplifies the risk of loss. DigiFinex offers leverage of up to 100x, which means a trader can trade with 100 times the amount of their actual account balance.

Steps to Close a Position with DigiFinex Leverage

1. Log in to Your DigiFinex Account

Access the DigiFinex website or mobile app and log in to your account using your credentials. Ensure you have a funded account and understand the risks involved in leverage trading.

2. Navigate to the "Leverage Trading" Section

Once logged in, hover your cursor over the "Trade" menu and select "Leverage Trading" from the dropdown options. This will redirect you to the leverage trading interface.

3. Identify the Position You Want to Close

The leverage trading interface will display all your open leveraged positions. Locate the position you intend to close and click on it. It will open a detailed view of the position.

4. Select the "Close" Option

On the position details page, you will find a "Close" button. Click on this button to initiate the process of closing your position. DigiFinex allows you to close positions partially or fully.

5. Specify the Close Amount

If you choose to close the position partially, you will be prompted to specify the amount you want to close. Enter the desired amount and click on the "Close Position" button to confirm the transaction.

6. Confirm the Position Closure

Once you confirm the close amount, DigiFinex will initiate the process of closing your position. You will receive a confirmation message once the position is successfully closed.

7. Track Your Closed Position History

You can view the history of your closed positions in the "Order History" section under the "Leverage Trading" tab. This history provides a record of your closed leveraged trades, including the profit or loss incurred.

8. Understand the Implications of Closing a Position

Closing a leveraged position has several implications. You will need to pay back the borrowed funds to DigiFinex, along with any interest accrued during the trade. If the position is closed at a loss, the loss will be deducted from your account balance. If the position is closed at a profit, the profit will be credited to your account.