What is a Take Profit /Stop Loss Order?
A Take Profit /Stop Loss order is to pre-set a trigger price and the order size to close/reduce a position. When the latest price or mark price reaches the trigger price, the system will place a market order with the pre-set order size, thus achieving a stop loss or stop gain on the position.
Terms
Take Profit Price/Stop Loss Price
When the index price or mark price reaches the Stop Loss / Take Profit price set by the user, the Take Profit /Stop Loss order will be triggered and a market order will be placed to reduce the position.
Quantity
The size of order placed after the trigger.
Please note a TP/SL order will only reduce or close a current position you hold, and will not open an opposite position
Take Profit / Stop Loss Order Mode
BIT supports two Take Profit /Stop Loss (TP/SL) modes: apply TP/SL on Selected Position or Entire Position. You can choose between two TP/SL modes in the trading settings on the top-right corner of the trading panel. You can pre-set a TP/SL when placing a limit or market order, or add/edit TP/SL in the position tab.
Selected Position - Up to 10 pairs of TP/SL orders are supported for a certain position. Each TP/SL applies to a portion of the position.
Entire Position - Only one pair of TP/SL orders is supported for the entire position. A new TP/SL order will overwrite all previous TP/SL orders.
The below table highlights the key differences between the two TP/SL modes.
|
|
TP/SL applied on Selected Position (default) |
TP/SL applied on Entire Position |
|
Trigger Type |
Mark(default) or Index |
Mark(default) or Index |
|
Number of TP/SL Orders that can be Placed |
Up to 10 pairs of TP/SL orders on a certain position |
Only 1 pair of TP/SL order that is applied on the entire position
|
|
Increase the size of an existing position |
The TP/SL set on the new order will correspond to the increased size of the position after the new order is executed. Note if the position already has 10 pairs of TP/SL set, the newly added TP/SL will not take effect . |
The new TP/SL price set on the new order will replace the existing position TP/SL price after the new order is executed. |
|
Close the entire existing position |
Cancel associated TP/SL orders |
Cancel associated TP/SL orders |
A market order is triggered when the stop price is reached to close a portion of a position(Selected Position mode), or the entire position of a certain instrument (Entire Position mode). Market orders of BIT are IOC (immediate-or-cancel) orders, which attempt to execute immediately and cancel any unfilled portion. Therefore the market order triggered from a TP/SL may not get fully executed, or even get rejected under certain scenarios. Such scenarios include but not limited to:
- There are not enough orders on the orderbook to be matched with
- The available collateral within your account is not sufficient if the order gets executed
- The order size exceeds the max market order quantity limit
You will receive an email notification once a TP/SL order is triggered. In the case of the above situations, we recommend you follow the TP/SL execution outcome.
Take-Profit and Stop-Loss are OCO(One-Cancels-the-Other) - when either TP or SL is triggered, the untriggered one of the same TP/SL pair will be automatically canceled. Closing the position also cancels associated TP/SL orders.
The "Retry" feature in the TP/SL (take-profit / stop-loss) function
In market TP/SL, if the take-profit or stop-loss is triggered, the system will place a market order to close the specified position. As the market order is IOC (Immediate or Cancel), there is a risk of partial execution when market depth is limited. If "Retry" is enabled, the system retries the unfilled quantity (if any) every 1.5s. If 0 fill persists for 4 consecutive retries, the process stops.
How to use Stop Loss/Profit orders?
Enter the [USDT-M futures] page, select [Buy/ Long] or [Sell/ Short], and then click the [TP/SL] box.
Enter the size of BTC contracts you want to open and the order price, and enter a take profit price and a stop loss price, then click on the confirm, then click [Buy/ Long] to complete the order.
1
After the order is successfully placed, you can view the order in [Positions].
Please note: If you tick and set the TP/SL when placing an order, the TP/SL order will only take effect when the order reaches the following status: 1) the order is completely filled; 2) the order is partially filled and then the unfilled portion is cancelled
You can also add or edit the stop profit/stop loss order of a specified position on the position page.
Click [View TP/SL], then enter the order size of take profit/stop loss, take profit/stop loss price or percentage in the pop-up window, and click [Confirm] to place the order.
After placing the order, you can continue to click [View TP/SL] to manage the current take profit/stop-loss order.