Opening a position on Strike Finance is straightforward, but there are factors that you will need to know. There are variables that you need to be aware of regarding each contract.
- Max Position Size: The maximum position size allowed on the platform. This limit helps maintain market stability and manage risk.
- Entry Price: The price at which your position will be opened. This is the current market price of the asset.
- Open Fee: The fee charged to open a position. This is calculated as 1% of your position size in ADA or 2 ADA, whichever is greater.
- Liquidation Price: The price at which your position will be automatically closed to prevent further losses. This is determined by your leverage and position direction.
- Position Value: The total USD value of your position, calculated as your collateral amount multiplied by the current price plus any unrealized profit or loss.
- Position size: The total size of your position in ADA, calculated as your collateral amount multiplied by your chosen leverage.
How to Open a Long or Short Perpetual Position
Follow these steps to either open a long or short position on Strike Finance.
Connect your wallet
Click “Connect Wallet” and choose your Cardano native wallet to start interacting with Strike Finance.
Choose Long or Short Position
From the top navigation menu, choose “Perpetuals” and choose Long or Short contract type.
Enter the amount of ADA you wish to put up as collateral for the contract.
Set the amount of leverage you wish to have on the contract.
Check the contract details
Check the contract details.
– Entry price
– Open Fee
– Liquidation Price
– Position Value
– Position size
If you’re happy with all the details, proceed with signing the transaction.
Check your open positions
Once you have submitted your order, you can check the lower half of the Perpetuals screen to see your open positions.
Here is where you can close a position, set a stop loss, and take profits for your contracts.
Congratulations. At this point, you have successfully created your first perpetual and are officially part of the Strike Finance ecosystem.
