# Trading Guide This guide explains how to trade on HPDX Hashprice Futures, from placing your first order to managing positions. > **Contract `3.3.1`.** Orders carry signed whole-contract quantity. Positions are unilateral > aggregates per `(user, expirationAt)`. Matching is a per-maturity limit order book (walk to > limit, fill at maker price). `createOrder` / `createOrders` take an explicit time in force > (GTC / IOC / FOK). Each side's net updates independently — no bilateral lots. --- ## Prerequisites Before trading, ensure you have: 1. **Settlement Tokens**: USDC or the configured token in your wallet 2. **Wallet Connection**: Connected to the correct network (Base) 3. **Margin Deposit**: Collateral deposited in the Collateral Vault used by Futures --- ## Understanding Order Types ### Long Orders (Buy) ``` createOrder(price, expirationAt, +qty, tif) // positive = buy / long ``` - Long exposure to hashprice, cash-settled at maturity - Profit if settlement (or exit) is above entry ### Short Orders (Sell) ``` createOrder(price, expirationAt, -qty, tif) // negative = sell / short ``` - Short exposure to hashprice, cash-settled at maturity - Profit if settlement (or exit) is below entry One placement creates **one** FIFO order node with `|qty|` contracts. Later placements at the same price do **not** merge into the earlier node. --- ## Order Matching Each maturity has its own book. An incoming limit order walks the opposite side from best price toward its limit: - **Buy**: match asks while `askPrice <= limit`; fill at each ask's price - **Sell**: match bids while `bidPrice >= limit`; fill at each bid's price - Unfilled size rests at the taker's limit (FIFO at that level) ```mermaid flowchart LR subgraph book [Order book at one maturity] direction TB A1[Ask 0.15 Seller A] A2[Ask 0.14 Seller B] A3[Ask 0.12 Seller C] B1[Bid 0.12 Buyer X] B2[Bid 0.11 Buyer Y then Z] B3[Bid 0.10 Buyer W] end N1[New buy @ 0.14] -->|walks asks| A3 N1 -->|then| A2 N2[New sell @ 0.11] -->|FIFO at bid| B2 ``` ### FIFO Priority ```mermaid flowchart LR Q1[Buyer A
10:00] --> Q2[Buyer B
10:05] --> Q3[Buyer C
10:10] S[New sell @ 0.10] -->|fills first| Q1 ``` ### Self-trade (net-out) If the next maker is yourself, quantities cancel against each other — no `OrderMatched`, no fees. Any leftover on either side stays (or rests) as usual. ### Time in force Every placement carries one: `createOrder` takes it as the last argument, and each leg of a `createOrders` / `updateOrders` batch carries its own. | TIF | Behavior | | --- | -------- | | **GTC** | Unfilled size rests on the book | | **IOC** | Fill what is available now; cancel remainder (never rests); revert `TimeInForceNotFilled` if nothing fills | | **FOK** | Fill entire size now or revert `TimeInForceNotFilled` | GTD is not supported. --- ## Positions (aggregates) After fills, each user holds at most one aggregate per maturity: | Field | Meaning | | ----- | ------- | | `netQuantity` | Signed whole contracts (+long / −short) | | `netEntryValue` | Sum of `price × signedFillQty` for open exposure | ``` unrealized / settlement pnl = mark × netQuantity − netEntryValue ``` There is **no** duration multiplier — one contract settles one unit of price. --- ## Closing Positions ### Method 1: Offset Before Maturity Place an opposite order to reduce `netQuantity` toward zero: ``` Open: +1 @ 4.10 Close: −1 @ 4.12 pnl = 4.12 − 4.10 = +0.02 USDC per contract ``` ### Method 2: Cash Settlement at Maturity Hold until `expirationAt`. Anyone may call `settlePosition(user, expirationAt)` (typically a keeper). See [Settlement](./05.Delivery-Settlement.md). --- ## Order Limits & Fees ### Maximum Orders Each address may have up to `MAX_ORDERS_PER_PARTICIPANT_PER_EXPIRATION` (100) resting orders for each delivery date. Expired orders are outside this cap and the active-order views without requiring cleanup. There is no per-order max qty of 127 — quantity is a signed `int256` of whole contracts. ### Fees Maker/taker fees are charged on fills (not on resting placements). Defaults may set maker fee to 0. --- ## Read next - [Settlement](./05.Delivery-Settlement.md) — cash settlement at maturity - [Event Design Spec](./06.Event-Desing-Spec.md) — `OrderMatched` / `PositionSettled`