How to Start Grid Trading on BingX?
Grid trading is a quantitative trading strategy that can help users to automatically buy low and sell high according to the set grid interval within a certain price fluctuation range.
Specifically, grid trading is based on one price, placing a certain number of buy/sell orders at the upper and lower price levels in the form of equal ratio or equal difference, and profit by selling high and buying low in the fluctuating price range.
2. Types of grid trading
Spot Grid: Automatically buy low and sell high to capture arbitrage opportunities in volatile market conditions
Futures Grid: An upgraded version of the grid that uses leverage to amplify principal and returns
3. Spot Grid Guidelines
Step 1: APP version: Home->Grid Trading->Spot Grid; WEB version: Home->Grid Trading->Spot Grid
Step 2: Select “Spot Grid” and click “+Create”
Step 3: Select a trading pair, such as BTC/USDT
Step 4: Create grid parameters, you can choose “one-click creation” or “manual creation”
One-click establishment: the best parameters calculated by the system based on historical data, which can be used directly
Manual establishment: You need to set it according to the interval judgment of the oscillating market, set the price range and the number of grids
Step 5: Set the investment amount
Step 6: Build a Strategy
4. Futures Grid Guidelines
Step 1: APP version: Home->Grid Trading->Futures Grid; WEB version: Home->Grid Trading->Futures Grid
Step 2: Select “Futures Grid” and click “+Create”
Step 3: Select a trading pair, such as BTC/USDT
Step 4: Create grid parameters, you can choose “one-click creation” or “manual creation”
One-click establishment: the best parameters calculated by the system based on historical data, which can be used directly
Manual establishment: You need to set it according to the interval judgment of the oscillating market, set the price range and the number of grids
Step 5: Set the leverage multiple and investment amount. You can set the stop loss ratio according to your trading habits. After setting, you can automatically stop and close the position according to the stop loss strategy.
Step 6: Build a Strategy
Description of terms
7-day back-test annualization: According to the back-test of the currency pair’s historical 7-day market data, the system gives suggested parameters for strategy execution, which are not used as real income commitments and guarantees.
Highest price: the upper limit of the order price. When the price exceeds the highest price of the interval, the system will no longer execute the ordering operation outside the grid interval (the highest price of the interval must be greater than the lowest price of the interval).
Lowest price: the lower limit of the order price. When the price is lower than the lowest price of the interval, the system will no longer execute the ordering operation outside the grid interval (the lowest price of the interval should be less than the highest price of the interval).
Number of grids: Indicates the number of pending order ranges divided in the oscillating range.
Investment Amount: The amount of digital assets that the user will invest in the grid strategy.
Single-grid rate of return (%): After the user sets the parameters, after deducting the handling fee, calculate the income that each grid will generate.
Arbitrage profit: the profit obtained by the grid strategy after completing a buy and sell arbitrage.
Floating profit and loss: The floating profit and loss generated by the position that has not yet completed the trading arbitrage and is still being held.
Please check BingX official website or contact the customer support with regard to the latest information and more accurate details.
BingX official website is here.
Please click "Introduction of BingX", if you want to know the details and the company information of BingX.
Comment by Hans
April 24, 2024
as I am trading here various assets, for me it's the most important feature. i mean, flexibility in tradable markets. i alternate trading styles, meaning that sometimes I trad...