Skip to main content
This guide walks you through the process of opening a leveraged trading position on Limora.

​
Prerequisites

Before opening a trade, ensure you have:
Wallet connected to Limora
Base network selected
ETH for gas fees (~$0.10)
USDC deposited to trading balance

​
Step-by-Step Guide

1

Select Trading Pair

On the Trade page, click the pair selector dropdown and choose your desired trading pair (e.g., BTC/USDC).The current oracle price and 24h price change will be displayed.
2

Choose Direction

Select your trade direction:
  • Long: You profit when the price goes up
  • Short: You profit when the price goes down
The interface will update to show relevant calculations for your chosen direction.
3

Enter Collateral Amount

Input the amount of USDC you want to use as collateral:
  • Minimum: 10 USDC (varies by pair)
  • Maximum: Your available trading balance
This is the maximum amount you can lose on the trade (excluding fees).
4

Set Leverage

Adjust the leverage slider to your desired multiplier:
LeverageRisk LevelPosition Size (on 100 USDC)
2xLow200 USDC
5xMedium500 USDC
10xHigh1,000 USDC
25x+Very High2,500+ USDC
Higher leverage means higher potential profits but also higher risk of liquidation.
5

Configure Risk Management (Optional)

Set stop-loss and take-profit levels:Stop-Loss: Automatically close if price moves against you
  • For longs: Set below entry price
  • For shorts: Set above entry price
Take-Profit: Automatically close when target is reached
  • For longs: Set above entry price
  • For shorts: Set below entry price
6

Review Order Details

Before confirming, review the order summary:
  • Position Size: Collateral × Leverage
  • Entry Price: Current oracle price
  • Liquidation Price: Price at which position closes automatically
  • Opening Fee: Fee charged to open the position
  • Estimated Interest: Hourly cost while position is open
7

Submit Trade

Click “Open Trade” to submit your order. Your wallet will prompt you to sign the transaction. Review the details and confirm.
8

Wait for Matching

Your trade enters the pending queue while waiting for a matcher to provide liquidity.
  • Most trades are matched within minutes
  • Large positions may take longer
  • You can cancel pending trades if not yet matched

​
Order Summary Explained

Before submitting, understand each field in the order summary:

​
Position Size

Position Size = Collateral × Leverage
Example: 100 USDC collateral at 10x leverage = 1,000 USDC position

​
Entry Price

The oracle price at the moment your trade is matched. Note that this may differ slightly from the price shown when you submit, depending on how quickly matching occurs.

​
Liquidation Price

The price at which your position will be automatically closed: For Longs: 
Liquidation Price ≈ Entry Price × (1 - 0.9/Leverage)
For Shorts: 
Liquidation Price ≈ Entry Price × (1 + 0.9/Leverage)
If the market price reaches your liquidation price, your position will be closed and you will lose most or all of your collateral.

​
Fees

Fee TypeRateWhen Charged
Opening Fee0.1% of position sizeOn trade open
Closing Fee0.1% of position sizeOn trade close
InterestVariable (hourly)While position is open

​
Example Trade

Let’s walk through a complete example:

Example: Long BTC at 10x

Setup:
  • Trading Pair: BTC/USDC
  • Direction: Long
  • Collateral: 100 USDC
  • Leverage: 10x
  • Entry Price: $50,000
Calculations:
  • Position Size: 100 × 10 = 1,000 USDC
  • Liquidation Price: ~$45,500 (-9% from entry)
  • Opening Fee: 0.1% × 1,000 = 1.00 USDC
Scenarios:If BTC rises to $55,000 (+10%):
  • Profit: 1,000 × 10% = 100 USDC
  • Return: 100% on collateral
If BTC falls to $47,500 (-5%):
  • Loss: 1,000 × 5% = 50 USDC
  • Return: -50% on collateral
If BTC falls to $45,500 (-9%):
  • Position liquidated
  • Loss: ~90 USDC (most of collateral)

​
Setting Stop-Loss and Take-Profit

Protect your capital with automated exit orders:

​
Stop-Loss

A stop-loss order closes your position when the price moves against you by a specified amount.
Set your stop-loss below the entry price. Example: Entry at 50,000,Stop−Lossat50,000, Stop-Loss at 48,000 - If price falls to $48,000, position closes automatically - Maximum loss limited to 4% of position size

​
Take-Profit

A take-profit order locks in gains when the price reaches your target.
Set your take-profit above the entry price. Example: Entry at 50,000,Take−Profitat50,000, Take-Profit at 55,000 - If price rises to $55,000, position closes automatically - Profit of 10% of position size is locked in

​
Tips for Opening Trades

Open small positions initially to understand the platform mechanics before committing larger amounts.
Higher leverage means smaller price moves can liquidate your position. For most traders, 5-10x provides good upside while managing risk.
Protect your capital by setting a stop-loss on every trade. Decide your maximum acceptable loss before entering.
Factor in opening fee, closing fee, and interest when calculating potential profits. These costs add up, especially for short-term trades.
Larger positions may take longer to match. If you’re trading size, be patient or split into multiple smaller trades.

​
Common Issues

  • Large positions may take longer to find matching liquidity - During high volatility, matchers may be cautious - You can cancel and retry with a smaller size
The entry price is determined at the moment of matching, not when you submit. During fast markets, this can result in slightly different execution.
Ensure you have enough USDC in your trading balance (not just wallet balance). You also need ETH for gas fees.

​
Next Steps

Closing Trades

Learn how to close positions and realize profits.

Leverage Guide

Deep dive into leverage and risk management.