Chase the Dip — “Trailing Stop Buy” on cryptocurrency exchanges.
This Order Type is useful to buy any coin when it starts rising up again after hitting a Dip. It may be local minima or Global minima determined by the Offset value one sets while placing the Order.
Market: Base Coin / Quote Coin Select correct Trading Pair from dropdown. It is different for different exchanges. Eg. BTC/XRP.
Offset: Maximum Percentage gain from minimum reached price to trigger the buy order. Eg. 5%
Total: Amount of base coin. Eg. 0.05 BTC. Amount of XRP will be determined according to the current Ask price at the time of placing Market Buy order.
Description: Suppose a coin price at the time of placing Trailing Stop Buy Order is 110 satoshi. Then the Price fell upto 100 satoshi and starts rising again. Here minimum reached price is 100 satoshi. And if price rises upto 105 satoshi. Then its 5% deviation from minimum reached price and a Buy Order will be placed. In case it rises upto 3% then fallback again to 98 satoshi then the system will wait for the price to rise again by 5%. In this way the Stop price which is used to trigger the buy order is always moving as opposed to a fixed Stop Limit Buy Order. Let DMAX is current deviation from minimum reached price, when DMAX becomes 5% a buy order is placed.
Not all exchange supports Market Buy order. In order to Make sure that the coin gets sold once Stop Price is hit. We use following precedence order according to the availability of Order type at corresponding exchange.
- Market Buy (Binance, CEX.IO, HitBTC, etc.)
- Instant Buy (Bittrex, Cryptopia, etc.)
- Limit Buy (Kucoin, Poloniex, etc.)
Instant Buy/Sell is a Custom Order Type developed by us to make sure order is filled in a fast pumping/dumping market for the exchanges which doesn’t support Market Order. It works by placing a Limit Order at current Ask/Bid Price. Checking order status. If not filled or Partially filled then cancels the Order and place another order at current price. This happens in a loop till all volume is filled.
Once the Buy order is placed in Trailing Stop Buy order through any available order type, user will receive email notification if enabled in settings.
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