Basics of Trading

Basics of Trading

Trading Basics

  • Can bid on both Yes and No shares
  • Hedge positions
  • Cannot place orders exceeding wallet funds
  • Event outcome based on "Source of Settlement"
  • No current leverage provision

Deciding Whether to Bid on TradeX

TradeX is a skill-based platform where success depends on your understanding of the specific category you're trading in. Here's how to approach bidding:

Evaluating Your Bid Potential

Before placing a bid, consider the following:

  • Assess your knowledge of the event's category
  • Evaluate your ability to predict the potential outcome
  • Ensure you have a reasonable basis for your prediction

Bidding Strategies

If you feel confident in your understanding and prediction, you can:

  • Match existing open bids
  • Create a new bid that you consider reasonable
  • Bid strategically by taking multiple positions

Flexible Positioning

One unique feature of TradeX is the ability to bid on both Yes and No shares for the same event. This approach allows you to:

  • Hedge your positions
  • Manage risk by maintaining flexibility
  • Exit unfavorable positions as you gain more certainty about the event's outcome

The key is to approach each bid thoughtfully, leveraging your knowledge and adapting your strategy as new information becomes available.

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