Margin trading refers to the practice of trading using borrowed assets. It lets traders pay only a fraction of the total cost of an asset.
All margin trading includes increased risk, but that is especially true for cryptocurrency margin trading. We do not recommend trying it out if you are not an experienced trader. If you’re just starting out, we recommend trading small sums first.
To learn more about margin trading and the risk associated with it, read our article on it or our FAQ.
- Creating an account
- In order to trade on a margin, you will need to create an account first.
- Go to https://pro.changelly.com/.
- Click on “Sign up” in the upper left corner of the screen.
- Enter your email and password, then click Register.
- A confirmation email will be sent to your inbox (don’t forget to check your spam folder if you can’t find it!).
- You will have to agree to our Privacy Policy and Terms of Use to proceed. Please read them carefully. You can also opt to subscribe to our newsletter by checking the third box.
- That’s it, you have a Changelly PRO account now. Welcome!
- If it’s your first time using Changelly PRO, you will have to deposit money to your account.
- It has to be done in the “Trade” tab. Click on “Deposit” in the upper right corner of the screen.
- When you click on the plus sign corresponding to your desired crypto, you will be shown a wallet address that you need to transfer your money to.
- You can also withdraw funds from your trading account on this screen.
- To access margin trading, click on the “Margin” tab in the upper right corner of the screen.
- 2FA
- The only thing you need to do to access margin trading is to enable 2-factor authentication.
- Upon clicking on “Turn on 2FA” you will be redirected to the Security tab in your account.
- There, you have two options, you can either use Google Authenticator (GAuth), or Yubikey. We recommend the former, and it’s what we will use in this guide.
- When you click on “Add GAuth” a pop-up window will appear. It will have your back up code, write it down somewhere as it will let you sign in to your account if you lose your phone.
- A QR code will be displayed, you can scan it or manually search for the “Google Authenticator” app on the App Store or Google Play.
- The screen will also display your name and secure private key?
- Click on next. You will be asked to enter the code displayed in the app you have just downloaded.
- To learn more about Google Authenticator, you can read this guide.
- Add Margin
- To carry out your first trade, you will have to add a margin.
- On Changelly PRO, you add margin separately for each currency. It is called Isolated margin mode, and it protects you from risk.
- Click on “Add margin”, then choose a currency pair on the left side of the pop-up window, enter the amount you want to transfer, and click “Transfer”.
- You can also retrieve the margin in the same window. Just click on that tab, enter the amount you want to retrieve, and click “Transfer”.
- Long/Buy – description
- In order to buy crypto on a margin, choose one from the list on the right side of the screen, then find the “Long / Buy [crypto]” window. The three usual order types are available for margin, too: market, limit, and scaled. You can read more about each of them by hovering your mouse over the question sign next to the specific order type’s name.
- Choose the order type you want to use. We will use Market in this guide.
- You can also tick the box “Stop” if you want to use a Stop-Loss order. To learn more about it, hover over the “?” next to the word Stop.
- In this guide, we will be buying 1 ADA.
- If you see “off” next to “Buy Market”, then it means you will have to confirm your order. You can press on it to switch it to “on” thus turning on one-click mode.
- This is the screen you will see after placing your order.
- Let’s take a look at the various tabs and information displayed on this screen.
- The “Positions” tab will show all your active positions.
- “Active orders” will show your buy/sell orders, your order will appear there if you decided to use Limit/Scaled order types and your order wasn’t filled immediately.
- “Filled and Cancelled Orders” is where your cancelled and filled orders in the last 24 hours will go.
- “My trades” shows your trading history for this pair.
- There are a few things you have to pay attention to:
- Liq. Price – liquidation price – if the price of an asset reaches this point, your position will be automatically liquidated.
- Risk – you can hover over the question sign to check the tooltip at any time. If this number reaches 80%, you will receive a margin call, meaning you will have to either add more margin or liquidate. At 50%, you will lose the ability to increase your position size.
- Unr. PnL – unrealized profit and loss – this is the profit or loss you will receive if you close your position now. It shows your profit/loss both in Bitcoin (or another currency) and percentage.
- If you see that you’re making a profit, and are afraid that the price may fall, you can Close your position. Just click on the greyed out “Close” button.
- You will see an overview of your position. Click on “Place Sell Market Order” to close your position.
- That’s it! You can go to either the “Filled and Cancelled Orders” or “My trades” tab, or go to your reports if you want to review your trade.
- We would once again like to remind you about the risk associated with margin trading. If you don’t fully understand it, or margin trading itself, please take the time to do some research. Additionally, if it is your first time trading on margin, we advise you to start small and gain some experience first.
