How to Set Take Profit in Futures Trading

1. Definition

2. Take Profit Methods

2.1 Fixed Amount Take Profit

2.2 Percentage Take Profit

2.3 Technical Indicator Take Profit

2.4 Progressive Take Profit

3. User Guide (MEXC Website)

3.1 Flash CLose

3.2 [Close Long] / [Close Short]

3.3 [One-Click Close]

[Reminder]

3.4 [Limit Order]

• Since closing long/short positions with [Limit Orders] can only be completed at the last price or at a price better than the last price (i.e., in a profitable scenario)

• From the figure below, you can see that after completing the [Limit] order, your order type is categorized as [Limit Order], and it can only be triggered at the last price or a price better than the last price.

3.5 [Trigger Order]

• You can precisely set the [trigger price], [price], and [quantity] (adjustable ratio);

• [Limit Orders] for closing long/short positions can be executed at the last price or at a price better than the last price (i.e., in a profitable scenario), or at a price worse than the latest price (i.e., in a loss scenario);

• As shown in the diagram below: when opening a long position in BTC/USDT, using a [trigger order] allows you to set both long and short [closing positions]; therefore, when the [average execution price] is less than the [average opening price], the order can also be triggered to achieve the predetermined [Stop Loss].

3.6 [Trailing Stop Order]

• [Trailing stop orders] allow precise settings for [Trail Variance] ([ratio] or [price distance]) and [quantity] (adjustable ratio);

• [Trailing stop orders] for [close long]/[close short] positions can only be completed at a price worse than the last price (i.e., in a loss scenario);

• Therefore, after opening a position, using [trailing stop orders] to close positions cannot achieve the purpose of Take Profit;

• As demonstrated in the figure below, when opening a long position in BTC/USDT, using a [Trailing Stop Order], existing positions will be closed at a price around 10% lower than the last price (67158.7 USDT).

3.7 Post Only

• [Post Only] orders are similar to [Limit Orders] for closing long/short positions: they can only be completed at the last price or at a price better than the last price (i.e., in a profitable scenario);

• As shown in the figure below: After completing a [Post Only] order, your order type will be classified as a [Limit Order], and it can only be triggered at the last price or a price better than the last price.

3.8 [Take Profit] / [Stop Loss]

4. Summary