How to calculate liquidation of ok contract?
- 王林Original
- 2024-07-03 16:17:18780browse
OK contract liquidation means that the position is forced to be liquidated when the profit or loss exceeds the margin, resulting in a total loss of the margin. The calculation method is: 1. Profit and loss = current price - opening price; 2. Margin rate = margin amount / number of positions; 3. Liquidation conditions: absolute value of profit and loss ≥ margin amount; 4. Liquidation loss = margin amount.
OK contract liquidation calculation method
- Profit and loss calculation
Profit and loss = current price - opening price
- Positive value means profit
- Negative value means loss
- Margin rate calculation
Margin rate = margin amount / number of positions
- Margin amount: risk resistance funds
- number of positions: current contract number
- liquidation conditions
absolute value of profit and loss ≥ margin amount
- liquidation loss
Liquidation loss = margin amount
When liquidation occurs, the entire margin is lost
Example:
Open 10 BTC contracts, the margin rate is 10%, and the margin amount is US$10,000.
Profit liquidation:
- Current price: 20,000 USD
- Opening price: 10,000 USD
- Profit and loss: 100,000 USD
- Margin rate: 100%
- Trigger liquidation
Loss liquidation:
- Current price: 5,000 USD
- Opening price: 10,000 USD
- Profit and loss: -50,000 USD
- Margin rate: 50%
- Trigger liquidation
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