Advanced Order Types - Derivatives

Information about Stop Limit / Take Profit Limit and Stop Loss / Take Profit on the Crypto.com Exchange

Advanced Order Types: Stop Loss & Take Profit

Stop Loss and Take Profit are conditional orders that will automatically place a limit or market order when the underlying mark price reaches a trigger price specified by the user. If the market price reaches or exceeds the trigger price, then the stop loss or takes profit order will be converted into a market or limit order and be placed into the order book. If the marked price does not reach the trigger price, then the order will remain active until it is canceled or triggered.

The trigger price has to be set within the below range:

Asset minimum tick size < Trigger Price < 200% of current asset mark price

If the user is placing a stop loss or take a profit limit order, then the limit price will need to be within the bandwidth below:

Aggressive bandwidth: +/- 5% of the Trigger Price

Passive bandwidth: +/- 50% of the Trigger Price

Stop Loss

Stop loss orders can help traders mitigate risk by automatically closing a long/short position if the price moves unfavorably. A stop loss order can also be placed if the user does not have an open position.

A user can only place a “sell” stop loss order if the trigger price is below the current mark price, and a “buy” order if the trigger price is above the current mark price.

Sample Stop Loss Orders:

Advanced Order Type

Side

Mark Price

Limit Price

Trigger Price

Triggering Condition

Stop Loss-Limit

Sell

35,000

28,500*

30,000

If Mark Price <= 30,000

Stop Loss-Market

Buy

35,000

n.a.

70,000

If Mark Price >= 70,000

* aggressive limit price: 30,000 x (1 - 5%) = 28,500

Take Profit

Take profit orders can help traders lock in a profit by automatically closing a position if the price moves favorably. A take-profit order can also be placed if the user does not have an open position.

Users can only place a “buy” order if the trigger price is below the current mark, and a “sell” order if the trigger price is above the current mark.

Sample Take Profit Orders:

Advanced Order Type

Side

Mark Price

Limit Price

Trigger Price

Triggering Condition

Take Profit Limit Buy

Buy

35,000

15,000*

30,000

If Mark Price <= 30,000

Take Profit Market

Sell

35,000

n.a.

70,000

If Mark Price >= 70,000

* passive limit price: 30,000 x (1 - 50%) = 15,000

Post Only

Post-Only orders will only be placed if it is allowed to enter the order book. If a user submits a Post-Only order that would cross the book (i.e. a buy order that is higher than the last price), it will be canceled. This feature is useful if the user only wants to pay maker fees.

Time In Force

Good Till Cancel (GTC)

GTC orders remain in the order book until they are filled or canceled by the user.

Fill or Kill (FOK)

FOK orders allow the user to specify the price to take at, and will only be executed if it can be fully filled.

Example: If a user sends a FOK to buy order for 1 BTC at USD 35K, the order will only be executed if there is a sell order for at least 1 BTC at USD 35K or less. If there is a sell order for 0.8 BTC at USD 35K, the FOK order will not be executed since it will be partially filled.

Immediate or Cancel (IOC)

IOC orders allow the user to specify the price to take at and will be executed against any available orders in the order book. If the order is partially filled, any residual amount will be canceled.

Example: If a user sends an IOC to buy for 1 BTC at USD 35K, and there is an existing sell order in the order book for 0.8 BTC at USD 35K, then the 0.8 BTC will be filled for the IOC order and the remaining 0.2 BTC will be canceled.

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