curve-arrow-right curve-arrow-left fund2 trade2 secure2 powerful-2 simple2 user-friendly cost-effective-2 helpful-2 twitter-2 youtube facebook-2

How to Enter a Trade on Mobile

To enter a trade, you need to place an order. An order is an instruction given to the broker through the trading platform to buy or sell a particular cryptocurrency.

All cryptocurrency pairs available for trading are listed in the Market Watch window. For example, a trader can buy or sell BTC/USD by placing a new order. Similarly, a trader can buy or sell any other cryptocurrency pair, such as ETH/USD, LTC/USD, or XRP/USD by placing a new order.

When your order is filled, it will show in the Positions tab.

img

Once in your trade, your position will generate profit or loss. When you decide to close the position, the floating P&L becomes realized and your balance changes by the amount of realized P&L.

Order Types

You can enter a market by placing either a market order or a pending order.

Market Order

If you want to open a new position at a market price, which is the best price currently available on the market, you need to place a Market order.

To send a market order, you need to:

Step 1: Choose the cryptocurrency you want to trade

Step 2: Ensure that the Order Type is set to Market

Step 3: Specify the Size you want to trade

Step 4: Press the BUY or SELL button.

img

Pending Order

If you want to open a new position at a specified price in the future, which can be either below or above the current market price, you need to place a Pending order.

The following four types of pending orders are available:

Buy Limit – an instruction to buy at a particular price lower than the current market price.

Buy Stop – an instruction to buy at a particular price higher than the current market price.

Sell Limit – an instruction to sell at a particular price higher than the current market price.

Sell Stop – an instruction to sell at a particular price lower than the current market price.

Note that in all types of orders – both Market, Limit, and Stop orders – a particular cryptocurrency is bought at the Ask price (the higher one in the quote) and sold at the Bid price (the lower one in the quote).

To send a pending order, a trader needs to:

  • Step 1: Choose the cryptocurrency you want to trade
  • Step 2: Ensure that the Order Type is set to Limit or Stop
  • Step 3: Specify the Size you want to trade
  • Step 4: Specify the Order Price, at which you want to buy or sell the cryptocurrency
  • Step 5: Press the BUY or SELL button.

img

When placing a new order, please, remember that:

Order Type and Size must always be specified

Order Price applies to Limit and Stop orders only. It is not applicable to Market Orders, which are automatically executed at best bid/ask prices, currently available on the market.

Stop-Loss and Take-Profit prices are always optional. These values can be set, modified, and deleted at any time.

Monitoring P&L

Once you entered a trade, you should be able to track the state of your trading account. Your account information is located on the upper of the mobile trading platform:

img

The account summary window shows you the following:

  • How much capital you own at each point in time: Balance;
  • How much profit or loss is generated by your open positions: Floating P&L;
  • How much equity is reserved by the broker to maintain your open positions: Margin;
  • How much equity is available for opening new positions: Free margin.

Sending a Market Order: Trade Example

Assume, you decide to buy 5 lots of Bitcoin (BTC/USD) at a market price.

The following picture demonstrates how you should fill in a New Order Tab to place a Buy Market Order:

img

Once you click BUY and the order is executed (almost instantaneously), you will see a new market position opened in the Positions Tab, as shown in the picture below.

img

Note that in the Positions Tab the value in column Profit is floating and equal to the amount of profit, generated by a particular market position. In the example, presented above, the result is positive and is equal to 0.00451 BTC (rounded to five digits).

Sending a Pending Order: Trade Example

Buy Limit – a trade instruction to buy in the future when the market price declines to a specific level. The current price is higher than the price specified in the order.

For example, if the market price for BTC/USD is $3,500 and a trader anticipates that the price will decline first to $3,000 and then will begin increasing, he should place a Buy Limit order at $3,000.

img

Buy Stop – a trade instruction to buy in the future when the market price rises to a specific level. The current price is lower than the price specified in the order.

For example, if the market price for BTC/USD is $3,500 and a trader anticipates that, upon reaching a $4,000, which is above the current market price, the price will continue to grow even further, he should place a Buy Stop order at $4,000.

img

Sell Limit – a trade instruction to sell in the future when the market price rises to a specific level. The current price is lower than the price specified in the order.

For example, if the market price for BTC/USD is $3,500 and a trader anticipates that a price will increase first to $4,000 and then will begin to decline, he should place a Sell Limit order at $4,000.

img

Sell Stop – an instruction order to sell in the future when the market price declines to a specific level. The current price is higher than the price in the order.

For example, if the market price for BTC/USD is $3,500 and a trader anticipates that, upon falling to $3,000, which is below the current market price, the price will continue to fall even further, he should place a Sell Stop order at $3,000.

img

 

More Monfex tutorials:

1. Getting Started with Monfex

2. How to set up a Monfex account

3. How to fund your Monfex account

4. How to buy Bitcoin to trade on Monfex

5. How to buy Ethereum to trade on Monfex

6. How to buy Tether to trade on Monfex

7. How to analyze the market with Monfex

8. How to enter a trade on Monfex

9. How to exit a trade on Monfex

10. How to make trading decisions using Monfex tools

11. How to withdraw funds on Monfex

12. Account security on Monfex