How to open leverage in ProBit Global mobile version

To open leverage positions in ProBit Global's mobile app, traders must first enable leverage trading and set their desired leverage amount before selecting a trading pair and placing an order.

Nov 25, 2024 at 02:50 pm

How to Open Leverage in ProBit Global Mobile Version

Understanding Leverage

Before delving into the steps of opening leverage, it is crucial to understand the concept of leverage. Leverage is a trading mechanism that enables traders to amplify their potential profits by borrowing funds from a third party. This borrowed capital, known as margin, allows traders to control a larger position with a smaller initial investment. However, leverage also magnifies potential losses, which must be carefully considered before employing this strategy.

Steps to Open Leverage in ProBit Global Mobile Version

1. Create a ProBit Global Account:

To access the leverage trading feature, you must first create a ProBit Global account. This involves providing personal and contact information, verifying your email address and mobile number, and setting up two-factor authentication (2FA) for enhanced security.

2. Fund Your Account:

Before you can open leverage positions, you need to deposit funds into your ProBit Global account. ProBit Global supports a wide range of fiat and cryptocurrency deposit methods, including bank transfers, credit/debit cards, and crypto wallets.

3. Enable Leverage Trading:

Once your account is funded, you need to enable leverage trading. To do this:

a) Tap the "Trade" tab on the home screen of the ProBit Global mobile app.

b) Select the "Leverage" option from the top navigation menu.

c) Tap the "Enable Leverage Trading" button and follow the on-screen instructions.

4. Set Leverage Amount:

After enabling leverage trading, you can set the amount of leverage you want to use. Leverage is typically expressed as a ratio, such as 5x, 10x, or 20x. The higher the leverage, the greater the potential profits and losses. It is important to choose a leverage level that aligns with your risk tolerance and trading strategy.

5. Open a Leverage Position:

To open a leverage position, follow these steps:

a) Select the trading pair you want to trade, such as BTC/USDT or ETH/USDT.

b) Enter the amount of the base asset (e.g., BTC or ETH) you want to buy or sell using leverage.

c) Choose the type of order you want to place, such as a market order or a limit order.

d) Confirm the order and monitor its performance from the "Active Orders" section.

6. Manage Leverage Positions:

Once you have opened a leverage position, it is important to monitor and manage it effectively. This includes setting stop-loss and take-profit orders to limit potential losses and lock in profits, as well as adjusting the leverage amount as market conditions change.

7. Exit Leverage Positions:

To close a leverage position, simply place an opposite order to the one you originally used to open the position. For example, if you opened a long position by buying BTC with leverage, you would close the position by selling BTC.

Risks of Leverage Trading

While leverage can amplify potential profits, it also carries significant risks. Here are some of the main risks associated with leverage trading:

• Liquidation: If the market moves against your position and you fail to meet the margin requirements, your position may be liquidated, potentially resulting in the loss of your entire investment.
• Increased Volatility: Leverage positions are more susceptible to market volatility, which can lead to rapid and significant price swings.
• Emotional Trading: Leverage can lead to emotional trading decisions, such as holding losing positions too long or chasing profits beyond reasonable levels.

It is essential to approach leverage trading with caution and develop a comprehensive risk management strategy to minimize potential losses. Always trade within your risk tolerance and limits, and never invest more than you can afford to lose.