⚠️⚠️⚠️A Beginner's Must-Read Series: Cross Margin & Isolated Margin
Isolated margin and cross margin are two common trading strategies, each with its own advantages and disadvantages, suitable for different investment goals and risk preferences.
Margin:
In cross margin mode, all available funds are used as margin, and the funds in the account are closely linked to the positions.
In isolated margin mode, each position has its own independent margin account, and the margin is only used for that position's trading, isolated from other positions.
Risk Resistance:
Cross margin mode has stronger risk resistance because all funds are used as margin, able to withstand larger price fluctuations.
Isolated margin mode has weaker risk resistance, but losses are limited to the margin range of a single position, spreading the risk relatively.
Loss Control:
In cross margin mode, once a position incurs a significant loss, it may lead to all holdings being forcibly liquidated, resulting in larger losses. Stop losses must be strictly followed!
In isolated margin mode, each position's losses are limited to the initial margin range and will not affect other positions.
Investment Duration and Applicable Scenarios:
Cross margin mode is suitable for long-term investments, suitable for experienced investors for hedging or quantitative trading.
Isolated margin mode is suitable for short-term speculation, suitable for novice investors, with lower risk, making it easier to flexibly adjust strategies.
Profit Potential:
In favorable market conditions, cross margin mode may yield higher profits because all funds are in trading.
Isolated margin mode's profits also depend on market conditions and trading strategies, suitable for diversified and flexible trading strategies.
"Bull Market Margin Trading Plan" is selecting quality partners to challenge 1×10 together. If you have ideas, feel free to contact
#非BTC板块市场走势 #聚焦比特币 #BTC再创新高96K #孙宇晨购得喜剧演员 #BTC何时突破10万? $BTC $ETH $SOL