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Perpetual Contract Trading Process

Mini
Updated

I. Preparations

  1. Choose Mini Exchange: https://www.mini-ex.com
  2. Account Registration and Verification
  3. Transfer Funds to Perpetual Contract Account
    • Be sure to distinguish between "Cross Margin" and "Isolated Margin" modes.

II. Trading Execution Process

  1. Select Perpetual Contract Trading Pair
    • For example, BTC/USDT perpetual contract; monitor the price.
  2. Set Order Type
    • Limit Order: Execute at a specified price.
    • Market Order: Execute immediately at the market price.
  3. Determine Leverage and Position
    • Choose leverage multiplier (e.g., 100x, 200x).
    • Calculate opening quantity to avoid excessive leverage leading to liquidation.
  4. Opening Direction
    • Buy Long: Expecting the price to rise.
    • Sell Short: Expecting the price to fall.
  5. Risk Control Settings
    • Set Stop-Loss and Take-Profit levels.
    • Monitor the maintenance margin ratio to prevent liquidation.

III. Position Management

  1. Real-time Monitoring
    • Track the mark price (not the latest transaction price to avoid liquidation).
  2. Adjust Positions
    • Add margin or partially close positions to reduce risk.
    • Adjust Stop-Loss and Take-Profit levels.

IV. Closing and Settlement

  1. Manual Closing
    • Select the “Close Position” button and sell long or buy to close short at market or limit price.
  2. Automatic Closing
    • Triggered Liquidation: The system forcibly closes positions when the margin falls below the maintenance margin.
    • Stop-Loss/Take-Profit executed automatically.
  3. Profit and Loss Settlement
    • Profit and loss displayed in the settlement currency (e.g., USDT) in real time.

V. Risk Warnings

  • High Leverage Risk: Leverage amplifies both profits and losses, potentially resulting in the loss of the entire margin.
  • Slippage Risk: During high market volatility, actual execution prices may deviate significantly from expectations.
  • System Risk: Extreme market conditions may lead to outages or inability to close positions.