I would like to hedge long and short positions using the isolated margin trading feature by having both long and short position on the same coin that I know well.

edit: for some reason i can’t reply to individual comments. u/[**chunkyasparagus**](https://www.reddit.com/user/chunkyasparagus/) reason to have both positions is to try a strategy of setting stop loss on both and allowing one or the other to remain open and potentially in profit for a while.

the idea is to accept the small losses from the SL as they would be recouped by a strong open position.

➔ Visit Binance now and start trading


  1. chunkyasparagus on 31. March 2022 at 11:44

    Why would you want to have long and short positions in isolated margin? In this case you would have offsetting positions: a profit on one side cancels out the same amount of the loss on the other side, and this is why binance nets it off into a single position for you. The other commenter mentioned straddles etc, but be aware that these are options derivatives, and not the same as your simple directional isolated margin trades. I think it’s best if you can articulate (to yourself) why you would need short and long positions and think about what product is best for you.


  2. gautm939 on 31. March 2022 at 11:44

    I don’t have knowledge like the guy eho commented above me , but you can do both long and short in futures using hedge mode, you have ro change the settings to one way mode to hedge mode


  3. CryptographicPanic on 31. March 2022 at 11:44

    I know Binance offers this through options called a **Straddle**

    Vol Options, commonly known as ‘Straddle’, are a neutral options strategy that involves simultaneously buying both put options and call options of an underlying asset, with the same strike price and expiration date, i.e. two transactions done in one by the system.
    By buying a Vol Option, you can catch the market’s move regardless of its direction, with the opportunity to gain unlimited profits as long as the underlying asset moves sharply above the breakeven point (strike price +/- premium), and the maximum loss is only the premium paid for the options.
    However, Vol Options have a relatively higher premium cost than a call or a put option, and you may face the risk of losing the premium if the market does not move much.
    Vol Premium = (Call Premium + Put Premium) * 0.95

    For example, if you expect extreme volatility in the price of Bitcoin, you can buy a 1-day BTC Vol Options, i.e. you are buying both a call and a put option with the same strike price of $40,000 and a premium of $100 each. If Bitcoin moves sharply beyond both options’ combined breakeven price, you can exit the trade profitably. To make a profit, you simply need to predict the magnitude of the market’s volatility instead of its direction.


  4. No_Needleworker_193 on 31. March 2022 at 11:44

    Yes you can if you use a sub-account
    Dont dont it in the same account or your position will close. Just ooen a sub account you can create up to 50 with binance


  5. oneotherlurkerperson on 31. March 2022 at 11:44

    Yes you definitely can


  6. Striking-Clothes-189 on 31. March 2022 at 11:44

    no,This makes it difficult to choose


  7. siglawoo on 31. March 2022 at 11:44

    Both your positions will get liquidated for sure