❔How to Trade (Cross Margin Mode)
Last updated
Last updated
Link to trade: https://beta.pear.garden/trade?app=cross
Now inside the app, every trader needs to follow a few steps before being able to place a trade.
Once inside the app, traders will notice a sign-up request. Because the cross margin mode relies on user authentication to interact with the engine and database, traders have to sign a single on-chain message from their wallet. This is a gasless transaction and standard on DEXes (like Vertex).
A user arriving at our Cross Margin product for the first time will notice an onboarding window.
The first step is to deposit some USDC they can use as margin for their account before being able to open a position.
This process takes no longer than one minute.
Because the cross margin product interacts directly with Vertex's Orderbook, traders can use One-Click Trading to open and close pair trades with fewer wallet confirmations, saving time and effort.
Once these two steps are complete, a trader then has USDC in their Margin Account and can begin to trade. This process requires the user to select a LONG and a SHORT token. In this case, a BTC/LINK position.
To enter a trade, users must specify
a) how much margin from their Available Funds they wish to use
b) how much leverage they wish to apply.
Combined, these numbers constitute the total notional exposure a trader is looking to achieve.
The position info below will tell the trader the minimum amount of size they can open a trade for, as well as the maximum amount of size. And more importantly, the margin required to open the trade - taken directly from their available funds.
SIZE = MARGIN REQUIRED * LEVERAGE
Here, the position size here is only $233 despite the user asking to do $250 USDC * 1x leverage. This is because the underlying perp markets have minimum SizeIncrements to trade in, and so the trader's total exposure may sometimes be rounded down. More details on that can be found here.
A little tooltip will appear next to Min. Position Size and Max. Position Size. These are based on your Available Funds. To place a larger trade (in this case $283) the trader would need to deposit more in order to have more Available Funds.
Once all details have been confirmed, traders can open trades at any time. This requires only one click (if activated).
Once a trade is placed, a confirmation notification will appear in the lower right of the screen, and the position will reflect in the position list.
To Close a position is a one click solution, and users are encouraged to review the key details about their Profit and Loss, Fees and how much Margin they will receive back.
Once the position is closed, the position list will update and the MARGIN used in the position will go back to available funds, adding or subtracting the PnL of the trade.
In this case, the total they will receive is $17.42 - coming from the $17.25 used margin and $0.17 total PnL when closed.
Traders can deposit more funds to trade at any time. This option is located on the Available Funds section below the input.
Depositing more funds follows the same process as in the onboard process.
If a trader decides to take their all or part of their Available Funds into their wallet, the Withdraw Funds option, below the Deposit Funds option, makes that possible.
Every withdraw has a cost of $1 - which is why traders should input $1 less than their available funds if they want to withdraw everything possible.
This process is also straightforward, and only requires a few seconds. Once an order to withdraw has been sent, a notification will appear in lower right. This will confirm once the order has been confirmed and funds withdrawn from engine.
