Trailing Stop-Loss Feature Usage Instructions (App)

To help users more flexibly manage futures position risks and lock in more profits when market conditions are favorable, NewCoin futures trading now supports the Trailing Stop-Loss feature.

Below is the feature description and detailed usage guide.


I. Feature Overview

Trailing Stop-Loss is a dynamic stop-loss method. When the market moves in a favorable direction, the system automatically adjusts the stop-loss trigger price upward (for long positions) or downward (for short positions). When the market retraces and reaches the set retracement threshold, the system will automatically execute a market order to close the position, helping users to:

  • Maximize locking in unrealized floating profits

  • Reduce the burden of manual monitoring

  • Automatically take profit or cut losses when the market trend reverses


II. Feature Access (App)

  1. Open the NewCoin App and navigate to the 【Futures】 trading page.

  2. In your open positions list, tap 【Take-Profit/Stop-Loss】.

  3. Select the 【Trailing Stop】 tab.

  4. Configure the parameters as needed and confirm to submit.


III. Trailing Stop-Loss Parameters

1. Activation Price The Activation Price is the trigger condition for the Trailing Stop-Loss order to become active.

  • The order is activated when the market's latest traded price reaches or exceeds the Activation Price.

  • After activation, the system begins dynamically calculating the actual trigger price.

  • If no Activation Price is specified, the order is activated immediately upon submission.

2. Retracement Ratio The Retracement Ratio is used to calculate the actual take-profit/stop-loss trigger price and is the core parameter of the trailing stop.

  • Long Positions: Calculated based on the highest historical price since activation.

  • Short Positions: Calculated based on the lowest historical price since activation.

Example (Long Position):

  • Retracement Ratio: 5%

  • Highest Historical Price: 50,000

  • Actual Trigger Price = 50,000 × (1 − 5%) = 47,500

3. Quantity

  • Once triggered, the system will close the position using a Market Order.

  • Currently, Trailing Stop-Loss orders are only supported for the full position size.


IV. Activation Rules

Scenario
Activation Rule

Activation Price = Latest Price at order time

Activated immediately after order placement.

Activation Price > Latest Price at order time

Activated when the latest price Activation Price.

Activation Price < Latest Price at order time

Activated when the latest price Activation Price.


V. Example Scenario

Assume you hold a Long Position with the following settings:

  • Activation Price: 1,000 USDT

  • Retracement Ratio: 5%

Market Progression:

  1. The market price rises to 1,000 USDT, and the Trailing Stop is activated.

  2. The price continues to rise to 1,100 USDT.

  3. The stop-loss price is automatically adjusted upward to 1,045 USDT (1,100 × (1 - 5%)).

  4. When the price falls back to 1,045 USDT...

  5. The system automatically triggers a market order to close the position, locking in profits upon exit.


VI. Important Notes

  • Once a Trailing Stop-Loss order is successfully placed, the system continuously monitors the market and dynamically adjusts the stop-loss price.

  • If you manually close the position, reduce its size, or modify the position before the order is activated or triggered, the Trailing Stop setting will be automatically canceled.

  • Trailing Stop-Loss orders use a market order trigger mechanism.

  • Under extreme market conditions or insufficient liquidity, the actual execution price may deviate from the expected price.

  • Please set the Activation Price and Retracement Ratio appropriately, taking market volatility into account.

For further assistance, please contact NewCoin Online Customer Support.

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