Futures Grid Tutorial
Futures Grid Creation Steps
1. Strategy Creation
• Lowest or Highest Price: The price range within which the strategy operates.
• Number of Grids: The number of grids within the price range (affects the profit per grid).
2. Strategy Operation
• When the price falls to a buy price of a grid and a transaction occurs, the strategy will place an order to close the long position in the grid above.
• When the price rises to a sell price of a grid and a transaction occurs, the strategy will place an order to open a long position in the grid below.
3. Strategy Termination
• All orders will be canceled when the grid is terminated.
• "Close Position at Termination" is enabled by default, meaning all positions opened by the Futures strategy will be closed at market price when the grid stops.
Tutorial (Using the BTCUSDT Pair as Example)
Setting Parameters
Grid Type: Long Grid
Lowest Price Range: 30,000 USDT
Highest Price Range: 40,000 USDT
Number of Grids: 10
Grid Mode: Arithmetic
Leverage: 10x
Investment Amount: 5000 USDT
Open Base Position: Yes
BTC/USDT Price at Strategy Creation: 30,322 USDT
Strategy Operation
First Stage - Initial Orders: The system calculates each tier price as 30,000 USDT, 30,100 USDT, 30,200 USDT… 30,300 USDT, 30,900 USDT, 40,000 USDT, then places buy orders with 10x leverage at these prices. If market depth is good, buy orders above the market price will be filled to open positions, and sell orders to close positions will be placed at the next higher tier.
Hence, after the strategy starts, there will be buy orders at each price point from 30,000 to 30,300 USDT and sell orders to close positions at each price point from 30,500 to 40,000 USDT.
Second Stage - Strategy Operation: If the market price falls below 30,300 USDT, the buy order at that position is filled, and the system automatically places a sell order at the corresponding upper position (i.e., at the 30,400 USDT price point) of the 30,300~30,400 USDT grid. If the price rises, after the sell order is filled, a buy order is placed at the corresponding lower position.
As such, with the market fluctuations, the process of placing and filling orders is repeated, continuously earning profits from the fluctuations in the oscillating market.
Disclaimer: Futures grid trading is a tool and not financial or investment advice from BYDFi. Profits can be affected by unilateral markets or improper price interval settings. Adjust strategies according to market conditions. Users accept all terms and risks when using this tool on BYDFi.com. Users should recognize the risks of cryptocurrency investment and operate cautiously. All investment actions on BYDFi.com represent the user's true investment intentions, and they accept the potential risks and rewards of their investment decisions.