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Closing Trades

Learn how to close your leveraged positions on Limora, whether to take profits, cut losses, or simply exit the market.

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Ways to Close a Position

Positions can be closed in several ways:

Manual Close

Close at any time by clicking the close button on your active position.

Stop-Loss

Automatically closes when price hits your stop-loss level.

Take-Profit

Automatically closes when price hits your take-profit level.

Liquidation

Automatically closes if margin falls below maintenance level.

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Manual Close

To manually close an open position:
1

Navigate to Trade Page

Go to the Trade page where your active positions are displayed.
2

Find Your Position

Locate the position you want to close in the Active Positions section.
3

Click Close

Click the “Close” button on the position row.
4

Confirm Details

Review the closing summary: - Current P&L - Closing fee - Final amount to receive
5

Sign Transaction

Confirm the transaction in your wallet.
6

Settlement

Once confirmed, funds are returned to your trading balance:
  • Collateral ± P&L - Fees

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Understanding Settlement

When you close a position, the settlement calculation is: 
Final Amount = Collateral + P&L - Closing Fee - Accrued Interest

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P&L Calculation

For Long Positions: 
P&L = Position Size × (Exit Price - Entry Price) / Entry Price
For Short Positions: 
P&L = Position Size × (Entry Price - Exit Price) / Entry Price

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Example Settlement

Closing a Profitable Long

Position Details:
  • Entry Price: $50,000
  • Position Size: 1,000 USDC
  • Collateral: 100 USDC
  • Exit Price: $55,000 (+10%)
Calculation:
  • P&L: 1,000 × 10% = +100 USDC
  • Closing Fee: 1,000 × 0.08% = 0.80 USDC
  • Interest (24h): ~0.50 USDC
Final Amount: 100 + 100 - 0.80 - 0.50 = 198.70 USDC

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Automatic Closes

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Stop-Loss Execution

When price reaches your stop-loss level:
  1. Oracle price triggers stop-loss condition
  2. Position is queued for closure
  3. Close executes at next available oracle update
  4. Settlement processed automatically
In fast-moving markets, the actual close price may slightly differ from your stop-loss level due to oracle update timing.

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Take-Profit Execution

When price reaches your take-profit level:
  1. Oracle price triggers take-profit condition
  2. Position is queued for closure
  3. Close executes at next available oracle update
  4. Profits settled to your trading balance

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Liquidation

When your margin falls below the maintenance requirement:
  1. Position flagged for liquidation
  2. Liquidator bot executes the close
  3. Remaining collateral (if any) returned minus liquidation penalty
  4. Matcher receives their funds plus any owed P&L
Liquidation typically results in loss of most or all of your collateral. Always use stop-losses to avoid liquidation.

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Partial Close

Currently, Limora supports full position closure only. To reduce position size:
  1. Close the entire position
  2. Open a new smaller position
Partial close functionality may be added in future updates.

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Closing Fees

Closing a position incurs a fee:
Fee TypeRateApplied To
Closing Fee0.08%Position Size
Example:
  • Position Size: 1,000 USDC
  • Closing Fee: 1,000 × 0.0008 = 0.80 USDC
This fee is deducted from your final settlement.

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What Happens to the Matcher

When you close your position:
  1. Your matcher’s funds are unlocked
  2. Matcher receives:
    • Their original collateral
    • Interest earned during the position
    • P&L (opposite of your P&L)
If you profited, the matcher lost (and vice versa). This is the fundamental mechanic of the peer-to-peer matching system.

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Viewing Closed Positions

After closing, find your trade in:
  • Trade History: Complete record of all past trades
  • Analytics: Performance metrics and statistics
Export your trade history for tax reporting or analysis.

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Best Practices

Consider closing part of a winning trade to lock in profits while letting the rest run. (When partial close is available)
If a trade is profitable, consider moving your stop-loss to break-even to protect against reversal.
If a trade goes against you, don’t average down with leverage. Accept the loss and preserve capital.
Analyze your closed trades to learn and improve. What worked? What didn’t?

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Troubleshooting

  • Ensure you have ETH for gas fees - Try increasing gas limit - Wait for network congestion to clear
  • Check the exact entry and exit prices - Account for fees and interest - Oracle prices may differ slightly from exchange prices
  • Wait for transaction confirmation - Refresh the page - Check Trade History for settlement details

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Next Steps

Leverage Guide

Understand leverage and risk management.

Stop-Loss & Take-Profit

Master automated exit orders.