What is a margin trigger order? – Bitvavo Help Center

Summary

This article explains how margin trigger orders work and how to set them in the Bitvavo app. You will learn how to place and manage trigger orders, how margin is reserved, and how orders are executed.

Prices can move at any hour. A trigger order lets you plan your entry in advance, so you don’t have to watch the market to open a position at the right moment.

Note: This feature is currently being rolled out and may not be available to all users yet.

What is a trigger order?

A trigger order lets you set a target price for opening a margin position.

You set up the whole position in advance. Choose long or short, your position size and your leverage. Then set a trigger price.

When the asset’s price reaches your trigger price, your position opens automatically.

When you place a trigger order, the margin it needs is moved from your available balance and reserved. That way the margin is ready when your trigger price is reached. Reserved margin still counts towards your portfolio value.

A trigger order stays active until it’s triggered or you cancel it.

How does a trigger order work?

A trigger order is a stop-market order. When the asset reaches your trigger price, we submit a market order to open your position.

Because the position opens at the market price, your entry price can differ from your trigger price. The final price depends on the order book when your order is triggered and on the size of your position. It can end up higher or lower than your trigger price.

Example

ETH trades at € 2.500,00. You expect the price to drop a little before going up.

You set a long trigger order at € 2.375,00, which is 5% below the current price. You use € 100,00 of margin with 3x leverage, for a position size of € 300,00.

€ 100,00 is reserved from your available balance.

A few hours later, ETH drops to € 2.375,00. This triggers your order, and a market order opens your € 300,00 long position.

Depending on the order book at that moment, your entry price may be € 2.376,10, € 2.374,20 or similar.

You get a notification once your order has been executed.

How can I set a trigger price to open a position?

Trigger orders are currently only available in the Bitvavo app.

Open the asset you want to trade and go to the trade screen.
Select "Long" or "Short".
Tap the order type selector in the top right and choose "Trigger order".
Choose one of the preset price changes (for example -5% or -10%), or tap "Set custom price" to enter your own trigger price. Your trigger price must be at least 1% away from the current price.
Tap "Set trigger price".
Enter your margin amount and choose your leverage.
Tap "Preview position" to check the details. You can add auto-close levels here if you want.
Tap "Confirm trigger order".

View or cancel a trigger order

Your trigger order shows up under "Open orders" with the status "Awaiting trigger". To cancel it, open the order and tap "Cancel order". When you cancel, the reserved margin goes back to your available balance.

Good to know

You can have one active trigger order per asset. It can be long or short.
You can only set a trigger order on an asset where you don’t have an open position.
While your trigger order is waiting, you can still open a position on the same asset at the market price. Opening that position cancels your active trigger order.

Frequently asked questions

How is a trigger order for margin executed?

It’s a stop-market order. When the asset reaches your trigger price, a market order is submitted to open your margin position.

My position was opened at a different price than my trigger price.

Your trigger price isn’t a guaranteed entry price. The position opens through a market order, so your entry price depends on your position size and on the order book for that asset at that moment. That means your entry price can be better or worse than your trigger price.

My trigger order was activated but my position didn’t open.

This can happen for a few reasons:

Price protection stepped in to stop a large impact on your opening P&L.
One of the steps needed to open your position timed out.

If you have push notifications turned on, we notify you when a trigger order doesn’t open your position. In that case you need to act yourself. You can open the position manually or set a new trigger order.

My trigger order was activated but my position is smaller than I intended.

Sometimes an order to open a position is only partly filled. In that case you need to act yourself. You can add to the position manually, or close it and open a new one for the full amount.

Can I set auto-close levels with a trigger order?

Yes. When you preview the position before confirming your trigger order, you can set "Take Profit" and "Stop Loss" levels. Each level needs to be at least 1% away from your trigger price.

What fees apply to a trigger order?

When a position is opened through a trigger order, regular trading fees and borrowing fees apply when the position is opened. While the trigger is active, no fees are charged. See Fees for more information.

Trading digital assets involves significant risks. Digital assets are highly volatile and you may lose some or all of your investment. The information on this page does not constitute advice, and should not be relied upon as such.