Order Types

Market Orders

In Root DEX, market orders are opened and closed based on the price the Keeper retrieves from the oracles. Given the time it takes for the order to be confirmed on the blockchain, the position is typically opened within 1-5 seconds.

Limit Orders

Limit orders in Root DEX are essentially trigger orders. Traders can set a predetermined price for a limit order. If the set price crosses the current market price, the limit order will be executed as a market order. Please note: Limit orders may not necessarily be triggered due to potential delays on the blockchain. With each limit order, the initial margin is collected when the order is placed. When the limit order is executed, if the position size increases, the initial margin of the limit order will be added to the position margin; if the position size decreases, the profit or loss will be settled, and the initial margin of the limit order will be refunded.

Take-profit and Stop-loss Orders

Take-profit and stop-loss orders apply to the entire position, and when the market price reaches the set trigger price, the entire position will be closed. If the direction of the overall position changes—for instance, if a long position becomes a short position—the original take-profit and stop-loss orders will become invalid. After a trader successfully opens a position, they can set up take-profit and stop-loss orders by specifying two prices for taking profit and stopping loss. They can edit these prices under the "Position Panel." Note: Take-profit and stop-loss orders are not guaranteed to be triggered due to potential delays on the blockchain.

For example:

1. Bob holds a long position in BTC. The current price is 40,000. Bob can set a take-profit order priced at 40,010 and a stop-loss order priced at 39,990.

2. Alice holds a short position in ETH, and the current price is 4,000. Alice can set a take-profit order priced at 3,990 and a stop-loss order priced at 4,010.