To help traders manage risk more efficiently, Toobit has introduced Fixed Risk — a brand-new futures order type.
Unlike traditional order placement, Fixed Risk lets you define your risk before your position size. Simply enter your loss amount, and the system automatically calculates the appropriate position size and configures your stop loss, making risk management more intuitive and efficient.
1. What is Fixed Risk?
Fixed Risk is an intelligent futures order type designed to help control the risk of each trade. Simply enter your entry price, stop loss price, and loss amount, and the system automatically calculates the appropriate order size and simultaneously configures the stop loss, eliminating the need for manual position sizing.
In other words, you define your risk first, and the system calculates your position size for you. The final order remains a standard limit order or market order, while Fixed Risk serves as an intelligent tool for position sizing and risk management, helping you plan your trades more efficiently.
Please note that Fixed Risk is intended to assist with position sizing and risk management. It does not guarantee that your realized loss will exactly match the loss amount you set. Actual trading results may vary due to market volatility, liquidity, slippage, rapid price movements, existing positions, or other market factors.
2. How does Fixed Risk work?
Using Fixed Risk requires only a few simple steps:
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Set the loss amount: Define the maximum loss you're willing to take on the trade.
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Set the stop loss price: Specify the price at which your position should be closed if the market moves against you.
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Set the entry price: Enter your intended entry price.
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Automatic position calculation: Based on your entry price, stop loss price, and loss amount, the system automatically calculates the appropriate position size and configures the corresponding stop loss.
By defining your risk before determining your position size, Fixed Risk reduces manual calculations and helps establish a more disciplined and consistent approach to risk management.
3. Key features
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New order type
Select Fixed Risk from the futures trading panel to enable a risk-focused order mode.
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Intelligent position sizing
The system automatically calculates the appropriate position size based on your entry price, stop loss price, and loss amount, eliminating manual calculations.
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Automatic stop loss configuration
Your stop loss is configured automatically when placing the order, reducing the risk of missing stop loss protection.
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Improved trading efficiency
Spend less time calculating position sizes and more time executing your trading strategy.
4. How to use Fixed Risk
Step 1: Open the Futures trading page
Open the Toobit app or web platform, navigate to the [Futures] trading page, and select [Fixed Risk] from the order panel.
Step 2: Enter your trading parameters
Choose your trading direction (Long or Short) and enter your entry price, stop loss price, and loss amount. The system will automatically calculate the corresponding position size.
Step 3: Confirm and place your order
After verifying your order details, click [Open long] or [Open short], then confirm your order to place the trade.
You can also visually review the corresponding entry, TP, and SL levels on the chart to further validate your trading plan.
Notes
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Entry price, stop loss price, and loss amount are required fields. The system cannot calculate your position size unless all required parameters are provided.
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The stop loss price must comply with current trading rules and order requirements.
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Fixed Risk is intended solely as a position sizing and risk management tool and does not guarantee trading profits.
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The entry, TP, and SL levels displayed on the chart are for reference only. Actual execution prices may differ due to market liquidity and slippage.
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Your realized loss may differ from the loss amount you set due to market volatility, liquidity conditions, slippage, existing positions, or other market factors.
Risk Warning
Digital asset and derivatives trading involves significant risk. Market prices may fluctuate dramatically and may result in the partial or total loss of your principal. Please ensure that you fully understand product mechanics and associated risks before trading, and make trading decisions responsibly based on your own risk tolerance.
