How to close a contract in MEXC

Closing a contract in MEXC involves selecting the desired order type (Market or Limit), specifying closing parameters, and carefully reviewing the order before placing it, ensuring alignment with your trading strategy and risk appetite.

Nov 18, 2024 at 07:54 pm

How to Close a Contract in MEXC

Closing a contract in MEXC is a crucial step in managing your risk and securing profits or minimizing losses in futures trading. Understanding the process thoroughly is essential for effective contract management. This comprehensive guide will provide a step-by-step explanation of how to close a contract in MEXC, ensuring a smooth and efficient execution.

Step 1: Log in to Your MEXC Account

• Access the MEXC website or mobile app and sign in using your registered email or mobile number and password.
• Once you have successfully logged in, you will be directed to the MEXC dashboard.

Step 2: Navigate to the Trading Terminal

• On the MEXC dashboard, navigate to the "Trade" tab located at the top navigation bar.
• Select the "Contracts" option to access the contracts trading terminal.
• You will be presented with a list of available trading pairs for futures contracts.

Step 3: Select the Contract You Want to Close

• From the list of trading pairs, identify the contract you wish to close.
• Click on the contract's name or ticker symbol to open the contract details page.

Step 4: Choose the Desired Order Type

• On the contract details page, you will see two options for closing a contract: "Market Order" and "Limit Order."
• Market Order: This order type closes the contract immediately at the current market price, ensuring a swift execution.
• Limit Order: This order type places a sell order at a specified price. The contract will only be closed if the market price reaches the predefined price level.

Step 5: Specify the Closing Parameters

• Order Qty: Enter the number of contracts you want to close.
• Order Margin: Displayed automatically based on the selected contract and order quantity.
• Trigger Price (for Limit Order Only): Specify the price level at which you want the contract to be closed if using a Limit Order.
• Price (for Market Order Only): The current market price is automatically displayed for Market Orders.

Step 6: Review and Confirm the Order

• Carefully review the order details, including the order quantity, order margin, and order type.
• Ensure that the selected contract, order parameters, and order execution method align with your trading strategy and risk appetite.

Step 7: Place the Closing Order

• Click the "Sell" button to place the closing order.
• If using a Market Order, the contract will be closed immediately at the current market price.
• If using a Limit Order, the order will be placed and remain active until the market price reaches the specified trigger price.

Step 8: Monitoring the Order Status

• Track the status of your closing order in the "Open Orders" section of the contract details page.
• Your order status can be "Open," "Partially Filled," or "Filled."
• Once the order is filled, your contract will be closed, and the margin held for that contract will be released.

Additional Tips for Closing Contracts in MEXC

• Use Market Orders for Quick Execution: Market orders are generally recommended for traders seeking to close a contract swiftly without any slippage.
• Set Limit Orders for Price Assurance: Limit orders allow traders to specify a target closing price, ensuring that the contract is closed only when the market price reaches or exceeds that level.
• Monitor Market Conditions: Pay attention to market volatility and liquidity when determining an appropriate closing price for your contract.
• Manage Risk Wisely: Determine a predetermined closing strategy based on your risk tolerance and trading goals.
• Use MEXC's Advanced Trading Tools: Explore MEXC's advanced trading tools, such as "Conditional Orders" and "Take-Profit/Stop-Loss" orders, to enhance your contract management strategies.