Bitget Futures: Scaled orders
1. What are scaled orders?
A scale order involves splitting a large order into several smaller ones, each with a different price. As the market fluctuates, these smaller orders are filled gradually until the entire order is executed.
2. When to use scaled orders?
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Scaled orders are often used for large trades to minimize market impact and reduce position opening costs. By placing multiple small orders, traders can conceal their trading activities and avoid alerting their counterparties.
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When the market appears to be near its bottom but the exact lowest price is uncertain, a scaled order can be used to place buy orders at different low prices, helping to capture bottom fishing opportunities.
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Conversely, when the market is near the top, a scaled order can be used to place sell orders at different high prices to maximize profit.
3. What are the advantages of scaled orders?
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Lower slippage: Splitting a large order into smaller ones helps mitigate the effects of sudden price fluctuations and slippage caused by high market volatility.
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Controlled execution: Scaled orders allow for the flexible adjustment of order size and timing based on market changes, enabling traders to capitalize on short-term fluctuations while keeping risk under control.
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More entry points: Scale orders allow you to enter the market at different price levels, covering a wider price range. This approach can optimize trading performance by better capturing market trends.
4. How to use scaled orders?
You can find Scaled Orders in the Order Type drop-down menu on the trading interface.
Lowest price: The lowest limit of the price range for the scaled order.
Highest price: The upper limit of the price range for the scaled order.
Number of orders: The number of smaller orders the original order is split into.
Total quantity: The overall amount of the scaled order.
Size distribution: The method for distributing the order, available in three modes:
Flat: The quantity is evenly distributed across all price levels.
Ascending: The higher the price, the larger the quantity.
Descending: The higher the price, the smaller the quantity.
5. Notes on the immediate execution of scaled orders
If the price range you set for the scaled order exceeds the counterparty's price, the order may be filled immediately. Such orders will be highlighted on the confirmation page.
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