Position Actions

Add Margin

You can add margin to a position to decrease its leverage and push away its liquidation price. When adding margin, your position's leverage cannot drop below 1.

Example

You have a 1000 MON sized position at 10× leverage. Your margin is 100 MON. You add 100 MON in margin. Your position now has 1000 MON in size with 200 MON in margin. Its leverage was decreased to is 5×.

Remove Margin

You can also remove margin from a position. This will increase its leverage and pull forward its liquidation price.

When removing margin, your position's leverage cannot exceed the market's maximum allowed leverage. If the current P/L of your position is negative, the remaining margin tied to your position must be able to cover the negative P/L + a 10% buffer.

Example

You have a 10,000 USDC sized position at 5× leverage. Your margin is 2,000 USDC. The position's P/L is -500 USDC. To cover the negative P/L, the remaining margin must be at least 500 USDC + 10% = 550 USDC. You can therefore remove a maximum of 2000 - 550 = 1450 USDC.

Close Position

To close a position, simply submit an order in the opposite direction. To ensure the order does not result in the creation of a new position, you can select Reduce-Only.

The trading interface provides a handy way to close a position (e.g. submit a market reduce-only order in the opposite direction) by clicking on the X next to your position in the Positions panel. This will bring up a modal where you can select you much of the position you want to close.

Once your order is submitted, it will be picked up by the DON and executed like a regular market order against your position, reducing its size and sending the executed margin plus profits or losses directly to your wallet.

Take-Profit

To close (or partially close) a position when it reaches a certain amount of profit, submit a reduce-only limit order in the opposite direction.

Example

You have a 10 ETH sized long position entered at a market price of $1000.

To add a take-profit, you submit one or more limit, reduce-only sell orders. You can choose the size and price of these orders to close your position partially or at different prices.

Stop-Loss

To close (or partially close) a position when it reaches a certain amount of loss, submit a reduce-only stop order in the opposite direction.

Example

You have a 10 ETH sized short position entered at a market price of $100.

To add a stop loss, you submit one or more stop, reduce-only buy orders. You can choose the size and price of these orders to close your position partially or at different prices.

Take-profit and stop-loss orders are not automatically cancelled if your position is closed through other means. You can cancel them manually.