Futures Trading
Futures are a contract between two parties speculating on the future price of a cryptocurrency. Derivatives of an underlying asset with specific requirements like units, pricing, and settlement.
Getting Started with Futures Trading
Deposit Funds: Add USDT to your KoinBay Futures account.
Leverage Selection: Choose your desired level of leverage.
Order Placement: Decide whether to buy (go long) or sell (go short) and specify the number of contracts.
Viewing Trading Activity
Orders and Positions Panel: Displays all trading activities including open positions, margin ratios, and profit/loss.
Order History: Shows filled and unfilled orders with details like time, symbol, and price.
Trade History: Records all executed trades and their details.
Transaction History: Logs all futures account activities including transfers and fees.
Transferring Funds to Futures Wallet
Navigate to Assets: Go to the Assets section in the Futures trading interface.
Transfer Funds: Choose the asset type, enter the amount, and confirm.
Selecting Future Trading Pairs
Search for Contracts: Use the search box to find USDⓈ-Margined or Coin-Margined Futures contracts.
Contract Selection: Choose the specific contract you want to trade based on volume or price change.
Calculating Unrealized PNL and ROE%
Formula: Unrealized PNL = Position Size * Order Direction * (Mark or Latest Price - Entry Price). ROE% is calculated based on the unrealized PNL and entry margin.
Close-All Positions and Loss Calculations
Profit and Loss Calculations: Based on the last price for better trade management.
Close-All Function: Allows exiting all positions simultaneously in extreme market conditions.
Understanding Liquidation in Futures
Purpose: Prevents traders from falling into negative equity in volatile markets.
Mechanism: Liquidates positions at a specific price (liquidation price) to prevent losses exceeding the maintenance margin.
Insurance Fund and ADLs: Used to cover losses in cases where liquidation doesn't prevent negative equity.
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