In contract trading, markets are highly volatile and leverage can amplify losses, making risk management the core strategy to protect capital and maintain steady trading.
Using Stop Loss & Take Profit
Stop Loss
Automatically close your position when the price reaches a preset level to limit losses.
Example: If you open a long position on BTC and the price falls to the stop loss level, the system will automatically sell and close the position to prevent further losses.
Take Profit
Automatically close your position when the price hits a preset level to lock in profits.
Example: If you open a long position in BTC and the price rises to the take profit level, the system will automatically close the position and secure your gains.
Setting Tips
You may set stop loss and take profit by fixed price or percentage based on your entry price.
For long-term holdings, use a Trailing Stop to follow price trends and lock in more profits.
Function
It helps investors control risks amid market volatility, avoids emotional trading, and ensures profits are realized in a timely manner.