FAQ

trading faq dca (dollar cost averaging) trading general questions an exchange is a platform where you can trade cryptocurrencies, including buying, selling, or exchanging one cryptocurrency for another long strategy buys assets expecting their value to increase over time short strategy sells assets expecting their value to decrease base order amount in dca is the initial order amount you specify for your trades you can set it in two ways as a percentage of your total capital as a fixed (absolute) amount for futures trading specifically, the base order amount represents your margin balance (without leverage) for example, if you input 100 usdt as your base order amount and select 5x leverage, your final trade size would be 500 usdt an extra order is opened when the price moves unfavorably it matches the initial order type (buy/sell) to help mitigate potential losses and potentially improve the trade's outcome for short trades you sell at a higher price and buy back at a lower price to gain more assets for long trades you buy at a lower price and sell at a higher price to gain more quote currency example (short) you sold 1 btc at a price of 25000 usdt when the price drops to 24000 usdt (your take profit price), you buy btc using 25000 usdt as a result, you receive 1 04 btc, which means you have made a profit of 0 04 btc example (long) you buy 1 btc at a price of 25000 usdt, and your desired take profit price is 25500 usdt once the market price reaches 25500 usdt, you sell 1 btc your profit is 500 usdt it's an order type that helps lock in profits by adjusting the take profit level as the price moves favorably it maintains a set percentage distance from the current price market order executes immediately at current market price, with no guaranteed price limit order executes only at specified price or better in dca, profit currency refers to the currency in which you want to receive your trading profits you have two options quote currency your profits will be collected in the quote currency (e g , usdt in a btc/usdt pair) base currency your profits will be collected in the base currency (e g , btc in a btc/usdt pair) locked funds funds in your wallet locked by sagemaster for open trades reserved funds sum of all open limit orders created by dca assists, locked on exchange smart take profit smart take profit is a feature that allows you to set multiple take profit levels in your trading strategy, where you can specify both the percentage and specific amount for each level to automate your profits for each take profit level, you need to set two parameters take profit % the profit percentage you want to achieve amount to sell the percentage of your order to use for that specific take profit level the system executes take profit orders sequentially based on your configured levels for example, if you set tp1 1% profit with 50% amount tp2 2% profit with 50% amount each level will be executed when its price target is reached, using the specified amount of your position smart trailing smart trailing is a feature that provides dynamic stop loss adjustments as each take profit level is reached it offers options to set stop loss at breakeven or move it to the previous take profit level, enhancing risk management in trading let's say you have 3 tp levels at 1%, 2%, and 3% profit when this option is enabled after first tp is hit the stop loss is adjusted to breakeven level (0 + fee ≈ 0 1%) after second tp is hit stop loss moves to the first tp level after third tp is hit stop loss moves to the second tp level this ensures that profits are progressively secured as each tp level is reached extra orders when dca is enabled, you can configure extra order size the amount to be used to place extra orders price deviation the percentage from the initial price that triggers extra order creation price deviation compound step defines the distance from the last extra order for next eo max active extra orders count maximum number of active extra orders at the same time max extra orders total number of extra orders that will be placed extra order volume compound step multiplier for calculating the volume of each new extra order price deviation compound step affects the distance between each extra order extra order volume compound step affects the size of each extra order dca futures trading spot trading involves direct ownership of the cryptocurrency ideal for long term investors who want to own the actual asset generally lower risk due to no leverage immediate settlement of trades futures trading contract based trading with no direct ownership suitable for experienced traders speculating on price movements offers high leverage options allows profit from both rising and falling markets has specific expiration dates base order amount (margin) the initial amount you input without leverage leveraged amount (final order amount) the total position size after applying leverage example if you input 100 usdt as base order amount and select 5x leverage, your final trade size would be 500 usdt leverage allows you to control a larger position with a smaller amount of capital for example 5x leverage for every $1 you have, you can control $5 of a trading position 10x leverage for every $1 you have, you can control $10 of a trading position the exchange provides the leverage as a service, allowing traders to amplify potential profits or losses the liquidation price is the price level at which your position will be automatically closed by the exchange to prevent further losses it occurs when your margin balance falls below the maintenance margin requirement the liquidation price calculation long positions 100/leverage% short positions +100/leverage% example with 20x leverage, a 5% price movement against your position would trigger liquidation more info https //docs sagemaster io/dca assist/dca faq grid trading grid trading basics a bullish grid assist is a trading strategy that sets up buy and sell orders within a specific price range, expecting an upward market trend key features include trailing up capability downward price protection profits from price fluctuations as market rises a bearish grid assist is designed to profit from downward trending markets key features include trailing down capability upward price protection profits from price fluctuations as market falls ai setup uses artificial intelligence to analyze historical market data and automatically set up grid parameters, including price range and intervals between orders it's ideal for new traders or those preferring an automated approach manual setup allows traders to personally define all grid parameters, including price range and intervals it offers more control but requires deeper market understanding grid configuration arithmetic mode each grid has equal price difference (constant absolute price difference) geometric mode each grid has equal price ratio difference (constant percentage difference) example in a geometric grid with range 1000 1500 and 10 grid lines, the percentage difference remains constant at 4 14% between each level, while the absolute difference increases with price upper stop price automatically stops and closes the grid when price reaches a specified upper level lower stop price works similarly but for downward price movements start conditions instant (default) grid starts immediately after creation price trigger grid activates when the asset reaches a specified price tradingview alert grid initiates when receiving a specific signal from tradingview stop conditions manual stop (default) you stop the grid manually tradingview alert grid stops when receiving a sell/close signal from tradingview grid performance metrics current value = investment + total pnl investment = total funds initially committed to the grid realized profit is the sum of all closed transactions the percentage is calculated as realized profit % = (realized profit × 100) / investment for bearish grid cancel all buy orders and buy profit currency at market price + the amount of all canceled sell orders then compare this value with investment for bullish grid cancel all sell orders and sell the base currency at market price + the amount of canceled buy orders then compare this value with investment the grid assist will automatically pause and wait for the cryptocurrency to return within the grid's range before resuming trading you can wait for the price to return to range stop the grid assist and reassess your strategy switch to a new range or cryptocurrency pair yes, you can edit certain parameters after starting a grid assist trailing up/down settings take profit levels stop price levels when stopping a grid assist, you have several options cancel all open orders and stop the grid sell at the limit price (breakeven by default) sell at the market price yes, all profit statistics shown are net profits with exchange fees already factored in a transaction is only created when both buy and sell orders are executed if only buy orders or only sell orders have been executed, no transaction will be created yet more info https //docs sagemaster io/grid assist/grid faq "trading is not about being right or wrong it's about having a systematic approach with proper risk management and consistency in execution " — trading systems engineer happy trading, the sagemaster team