Hyper liquid - A Perpetual Trade From Margin to Exit
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Hyper liquid perpetual trades require enough available collateral for the selected position, with margin mode determining which funds support the exposure. An entry order creates exposure only as it fills; a closing instruction ends that exposure only through execution. Before submitting either, check position size, price conditions and available margin. During the trade, account for execution fees and funding payments. At exit, use reduce-only instructions and confirm the remaining position rather than relying on the submitted closing quantity.
Key takeaway: A reduce-only closing order limits new exposure, while the remaining position size shows whether the exit has actually finished.
Cross and Isolated Collateral
Collateral sharing depends on both position margin mode and account configuration, so a displayed balance alone does not establish how much money supports a particular trade.
Shared Cross Margin
Cross margin shares collateral among positions within the applicable collateral pool. Under unified accounts, positions across trading venues share cross margin when they use the same collateral asset. Standard accounts keep venue balances separate. Losses elsewhere in a shared pool can therefore affect another position’s available support. Account configuration also determines how spot balances interact with perpetual trading.
Allocated Isolated Margin
Isolated margin assigns collateral to a particular position. Its liquidation does not consume collateral allocated to other isolated positions or cross positions. Ordinary isolated positions permit margin adjustments, subject to withdrawal requirements. Strict isolated markets prohibit removing margin directly; closing position size releases margin proportionally. Market restrictions determine which choices are available.
Initial Margin and the Liquidation Boundary
Initial margin determines whether the account can open the intended exposure. For the documented perpetual calculation, required margin equals position size multiplied by mark price, divided by selected leverage. Increasing leverage reduces that opening requirement for an unchanged position. It does not reduce the position’s price exposure.
Maintenance margin governs whether an existing position can remain open. Liquidation becomes possible when the relevant equity falls below its maintenance requirement. Cross positions draw on their shared equity; isolated positions rely on their allocated margin. Liquidation uses mark price, which can differ from the price available in the order book. A displayed liquidation estimate can also move as funding changes the balance or other cross positions gain or lose value.
A stop order still needs execution before it removes exposure. Its trigger cannot reserve collateral or suspend liquidation.
Limit Order Instructions at Entry
A limit price controls the worst permitted execution price, while the accompanying order instruction determines whether the order may wait, execute immediately or add resting liquidity. These choices affect fill certainty and whether an entry consumes liquidity. They do not change the margin requirement for the resulting position.
| Limit Instruction | Execution Behavior | Unfilled Quantity |
|---|---|---|
| Good Til Cancel (GTC) | May execute immediately or rest at its limit | Can remain open until filled or canceled |
| Post Only (ALO) | Permits execution only as a resting order | Rests on the book; canceled if it would immediately match |
| Immediate or Cancel (IOC) | Attempts immediate execution within its limit | Cancels any remainder |
| Each instruction controls order handling; none guarantees a complete fill. | ||
Filled Exposure and Remaining Entry Orders
A partially filled entry with a resting remainder leaves both an existing position and a possible future increase in exposure. The filled size determines the position already open; the resting remainder can increase it later. Canceling the remainder leaves earlier executions intact. Position size therefore matters when choosing a closing quantity, even when the intended entry was larger.
Available margin can also change while an order rests. HyperCore checks margin when an order opens and again for the resting side during matching. An accepted order consequently does not reserve unconditional execution through later price movements. Order records and trade fills answer different questions: the order describes an instruction, while fills describe completed executions.
Adding exposure updates the displayed entry price using the existing entry and new trade prices, weighted by size. A partial close leaves the remaining position’s entry price unchanged.
Execution Charges and Holding Costs
A trade’s total cost depends on its executed value, applicable fee treatment and funding payments during the holding period. Collateral committed as margin is distinct from these charges.
Fees on Executed Trades
Opening and closing executions can incur trading fees. Applicable rates depend on account fee treatment and market configuration, including whether an execution adds or removes liquidity. A limit order can remove liquidity if it immediately matches a resting order. Consequently, the word "limit" alone does not establish maker treatment. Use the actual fill charges when measuring the completed trade rather than applying one assumed rate to every execution.
Funding During the Position
Funding transfers value between the long and short sides. Its direction and amount affect the account independently of entry and exit fees. The payment calculation uses position size, oracle price and the applicable funding rate. Funding rates therefore matter to the cost of holding a position even when its quantity stays unchanged.
Execution price adds another effect: an order crossing several price levels can produce a different average fill from the first quoted price.
Reduce-Only Exits and Triggered Orders
A closing instruction needs the opposite side to the existing position: a sell reduces a long, while a buy reduces a short. A reduce-only order cannot open a position in the opposite direction. The restriction controls exposure; liquidity and price conditions still determine execution.
Take-profit and stop-loss orders use mark price for their triggers. A triggered market exit seeks execution within its slippage tolerance. A triggered limit exit accepts only its limit price or better, so a fast move beyond that boundary can leave the position open. Trigger price and fill price perform different jobs. The first activates the instruction; the second determines the actual closing trade.
A Flat Position and Available Funds
A zero remaining position confirms the market exposure has ended. Pending entry orders remain relevant because an executable remainder can create fresh exposure after a close. A partially executed exit leaves residual exposure, regardless of the quantity originally requested.
The amount available to transfer also depends on obligations elsewhere in the account. Remaining positions can continue to require collateral, and transfer requirements apply separately from closing a trade. Closing one market therefore does not make the entire account balance withdrawable.
Displayed profit and loss figures summarize trading activity; underlying accounting uses margin and trades. Assess the financial result using the entry and exit prices, closed quantity and trade direction, together with execution charges and funding payments. A completed exit ends this position’s exposure, while other open positions retain their own costs and margin requirements.
Key questions about Hyper liquid
Does Lowering Leverage Automatically Move a Cross Position Farther From Liquidation?
Changing the selected leverage alone does not change a cross position’s actual liquidation price. Lower leverage reserves more initial margin for the same position, but liquidation depends on shared account equity, exposure and maintenance requirements.
Why Can an Entry Order Fail When Its Price Looks Valid?
Order size and price must satisfy the market’s permitted increments, and the account must pass margin checks. A price can look reasonable while violating the tick size, or the quantity can violate the lot size. Available margin provides a separate acceptance condition.
Will Attached Exits Survive Cancellation of a Partially Filled Entry?
Manually canceling a partially filled parent order also cancels its attached take-profit and stop-loss orders. The existing position then needs separately placed exits. Cancellation for insufficient margin has different behavior: attached exits are placed after a partial fill followed by that cancellation.
How Does Increasing Position Size Affect an Existing take-profit Order?
A fixed-size take-profit order retains its configured quantity when the position changes. Position-associated exits without a specified size instead attempt to close the entire position at trigger time. The distinction determines whether an existing exit covers added exposure.
Is an immediate-or-cancel Order Guaranteed to Fill Its Entire Quantity?
An immediate-or-cancel order can fill only part of its quantity and cancel the remainder. Available matching liquidity and the order’s price limit determine how much executes immediately. This instruction does not provide an all-or-nothing fill requirement.
Can a Profitable Position Close Automatically Without Its take-profit Triggering?
Auto-deleveraging can close profitable positions when an underwater account requires offsetting positions to preserve solvency. This mechanism operates separately from a trader’s take-profit instructions. A profitable mark-to-entry movement does not exempt a position from protocol risk management.