Use Strategy Trading on Binance Futures to Trade Like a Pro | CoinCodex (2023)

Key takeaways:

  • Binance, the number 1 ranked cryptocurrency exchange in terms of trading volume, provides several trading tools, including Strategy Trading
  • Futures Grid Trading is an automated trading feature on Binance that can be strategically used by traders to make lucrative trades
  • Binance Strategy landing page is an excellent platform that houses several trading features, including Grid Trading, Time-weighted Average Price (TWAP) trading, Volume Participation algorithmic trading

Cryptocurrency trading can be highly rewarding. However, you need to understand several things to make it big. There are many services and products that allow users to trade crypto and potentially turn a profit. One of the most popular ones in terms of trading volume, according to our cryptocurrency exchange tracking software that tracks hundreds of CEX and DEX platforms, is Binance Futures.

Are you familiar with Strategy Trading? Do you want to learn more about it? In this article, we will discuss the important things you need to know about Binance Futures Grid Trading and related concepts. We will also guide you on how to use Binance Strategy Landing Page.

About Binance

Binance is a cryptocurrency exchange that is ranked number one and the largest crypto exchange in the world. The crypto exchange platform was founded in 2017 by Changpeng “CZ” Zhao and is registered in the Cayman Islands. Presently, Binance supports over 50 fiat currencies, over 365 coins and more than 1432 trading pairs. The crypto exchange has over 30 million registered users in over 180 countries across the globe. Millions of users visit the platform weekly. Recent estimates put Binance’s valuation at $300 billion. In 2021, the crypto exchange facilitated $7.7 trillion in crypto trading volume.

Trade Crypto Futures on Binance

Why you should use Binance

Binance has earned itself a household name in the cryptocurrency world. As the number one crypto exchange, Binance sets the pace for others to follow. Some of the features/reasons that make Binance stand out are:

  • Has the largest daily trading volume of cryptocurrencies in the world
  • Solid structures and subsidiaries such as the Binance Coin (BNB) and the Binance Smart Chain. The BNB is the world’s third crypto with a market cap of over $100B
  • Has the fastest processing speed, up to 1.4 million transactions per second.
  • Offers zero trading fees on four Bitcoin spot market pairs
  • Binance has one of the lowest fees, with a spot trading fee of 0.01%.
  • An easy and interactive platform that can be used by both beginners and professionals
  • 24 hours trading
  • Has Secure Asset Fund for Users (SAFU), an emergency reserve that protects investors' assets on Binance
  • Strong security modalities using 2-factor authentication and anti-phishing measures
  • 24/7 – Customer support
  • Users can earn passive income through saving crypto and staking rewards.
  • Supports multiple trading platforms like P2P, Futures, Spot, and Margin trading. Users utilize different trading strategies to make higher profits on these trading platforms.

What is Strategy Trading?

A trading strategy is a plan of action intended to increase profits while trading. It includes activities that are implemented to eliminate risks or reduce them to the barest minimum, thereby increasing the rate of success. Different users in the crypto space use different trading strategies to increase their profit rates. Some of the trading strategies that users explore include:

(Video) $100 to $70,000 Binance Future Trading - Easy Profitable Strategy

  • Hodl: Some users may choose to simply buy and hold digital assets, thereby accruing profits as their prices increase.
  • Copy Trading: This strategy allows users to simply lift the best trading opportunities used by other users and trade the same. In this case, the user does not do any analysis because the users they are copying from have done all that.
  • Day Trading: Users enter and leave trading positions with high frequency, typically not holding their assets for more thana day. It is a short-term trading strategy that enables users to make a quick profit.
  • Scalping: Scalpers trade with lesser timeframes than day traders, usually 5, 10, or 50 minutes but typically below one hour. Scalping as a trading approach allows investors to profit from brief price fluctuations that occur frequently. The idea is to gradually build up little daily profits to a substantial sum. Scalpers typicallyuse leverage and stop losses to manage risks.
  • Arbitrage: Arbitrage is the practice of purchasing cryptocurrencies in one market and then reselling them in a different market at a higher price. Sometimes in the crypto space, users are allowed to list their assets at a price they want. This can avail good profits when the price they bought at is compared with the selling price.

Why You Should Have Trading Strategies

The need to have a trading strategy cannot be overemphasized, a good trading strategy will help you to:

  • Reduce risk
  • Understand the market better
  • Be aware of the cost of mining
  • Reduce energy
  • Saves time
  • Achieve higher profit
  • Guard against spontaneous decisions and emotional breakdown
  • Consistently making better profits as a good trading strategy helps the trader to make profit more often and reduces loss.
  • Make informed changes and adjustments
  • Good asset management
  • Good entry and exit positions

What is Futures Grid Trading?

Futures Grid Trading is an automated trading feature that buys and sells Futures contracts at a pre-set time and price, on behalf of the user. The system uses a collection of lines that intersect to create a series of squares or rectangles.

The Futures Grid is either arithmetic or geometric. Arithmetic grids have equal prices but geometric grids have different prices. The bigger the trade, the higher the price. Using the grid parameters, grid trading places orders above and below a predetermined price, resulting in a grid of orders at progressively higher and lower values. This results in the creation of a trading grid. For instance, a trader can place an order to buy Ethereum whenever it hits $5000 above the market price and sells anytime it is $5000 below the market price. The Futures Grid Trading will help you to:

  • Buy and sell at top and lower price range borders
  • Make little profits from many trades
  • Take the stress off you and does the trading for you
  • Can trade as many times and as long as possible
  • Manage market unpredictability and price fluctuations

The TWAP Algorithmic Trading

The Time-weighted Average Price (TWAP) trading is a trading algorithm that works based on a weighted average price and a time criterion. The TWAP Algorithmic Trading manages the market liquidity factors by splitting up the trade during the specified time and ensuring a uniform distribution of trade.

TWAP Algorithmic Trading is used when you want to:

  • execute large trade orders
  • disperse a large order into a few small orders
  • execute larger orders with minimal market price impact
  • when high price volatility is expected without an explicit upward or negative trend

Volume Participation Algorithmic Trading

Volume Participation Algorithm Trading is a trading strategy that traders use to focus on a particular order execution volume that is consistent with the market volume. The beauty of volume participation algorithm trading is that it allows users to have an influence on how much of their orders are really executed based on the real market volume.

(Video) $100 to $10,000 Binance Futures Day Trading Strategy Guide For Beginners

Volume participation trading uniquely minimizes the influence of the market on orders. It works by observing an intended volume participation level and executing trades in the close estimation of that volume in the real-time market. This strategy allows users to aim at the average market trading price.

The Volume Participation algorithm is best used when users want to execute order strategies that make substantial notational orders greater than available market liquidity and reduce market effects simultaneously.

How to Use Strategy Trading Landing Page: Step-by-Step Guide

The Binance Strategy Landing Page is a centralized platform that houses Grid Trading, Time-weighted Average Price (TWAP) trading, Volume Participation, and other automated algorithm trading features. It is a one-stop platform where users can get a full view of Spot and Futures trading strategies. It permits copy trading and shows which of the trading strategy is most used per time.

Step 1

Log in to your Binance account and select "Strategy Trading" from the "Trade" drop-down menu on the homepage.

Use Strategy Trading on Binance Futures to Trade Like a Pro | CoinCodex (1)

Step 2

The Strategy Trading dashboard features a wide range of trading strategies. You can use each of the listed strategies by clicking on the "Use Parameter" button located next to each separate strategy.

(Video) Binance futures trading for beginners (Crypto trading tutorial)

Use Strategy Trading on Binance Futures to Trade Like a Pro | CoinCodex (2)

Step 3

After clicking on one of the strategies presented in the main menu, you can customize the order with different paraments, as shown in the image below.

Use Strategy Trading on Binance Futures to Trade Like a Pro | CoinCodex (3)

To learn more about how to use the Binance Strategy Landing Page, check out this helpful article from Binance.

Using the Mock Trading Environment to Practice Strategy Trading

The Binance Mock Trading is a prototype knowledge acquisition tool that enables users to learn how to trade at their own convenient time. It is positioned to teach users the tricks involved in Futures trading in order to enable them to trade more knowledgeably as if they have prior experience.

Here, users are allowed to carry out experiments on how to trade without risking the digital assets and investments on their main account.

(Video) Binance Futures Trading: How to Turn $50 into $5000

What You Should Know About the Mock Trading Environment

  • It is a trial/error platform used to learn the best ways to trade with minimal risk(s).
  • The Mock Trading feature cannot be used to carry out real commercial transactions like on the main Binance space.
  • You must register to use the Mock Trading Environment.
  • You will register assets, distribute assets and execute contracts.
  • Upon registration, Binance gives a $3000 trial trading fund.
  • The Money and coins in the Mock Trading Environment are not real.
  • Losses incurred in the Mock Trading Environment are not real losses and do not affect the main account.

How to Access Mock Trading in Binance Futures

First, head to the Binance Futures page. Then click on the user icon located in the top right corner of the screen. Proceed by clicking on "Mock Trading".

Use Strategy Trading on Binance Futures to Trade Like a Pro | CoinCodex (4)

Once confirming your email address for the purposes of using the Mock Trading platform, you will be presented with the main features of the demo trading product. Each account starts off with 3000 units of fake USDT that can be used to test out different strategies, utilize various leverage levels, and more.

Use Strategy Trading on Binance Futures to Trade Like a Pro | CoinCodex (5)

Alternatively, to access Mock Trading Environment, you can:

Click on Futures on the Binance App → Click on Menu → Click on Mock Trading Faucet → Click on Coin → Click on Add Assets to add testnet funds, then you start experimenting

(Video) Binance futures Trading Strategy | Top Losers Strategy| 100% wins

Once you're ready to try out real money trades, click on Back to Live to get backto the main Binance Futures platform.


Different trading strategies are used to achieve different goals. It is not advisable to choose trading strategies spontaneously. Rather, settle for a strategy after conducting research, studying the market and the charts, and following the news.

Here, we have discussed Binance Strategy Trading in a manner that will help you understand the benefits and start using it. As you can tell, it is easy to get started and benefit from the feature. You can also research further and use the mock trading environment before investing real money.


1. Binance SPOT Trading Strategy: How to Spot Trade in Binance for Biginners?
2. Zero Liquidation in Binance Futures Trading l Liquidation Zero Strategy | Never Loss Strategy |
(Hafiz Shehzi)
4. High Leverage Binance Futures Trading Strategy l Do Stress Less High Leverage Futures Trading
(The Bitcoin)
5. Binance Futures Trading Strategy | Tips and Tricks For Maximum Profit
(The Bitcoin)
6. Binance Futures Trading Tutorial (Crypto Futures Trading Strategy)
Top Articles
Latest Posts
Article information

Author: Eusebia Nader

Last Updated: 03/30/2023

Views: 5927

Rating: 5 / 5 (60 voted)

Reviews: 91% of readers found this page helpful

Author information

Name: Eusebia Nader

Birthday: 1994-11-11

Address: Apt. 721 977 Ebert Meadows, Jereville, GA 73618-6603

Phone: +2316203969400

Job: International Farming Consultant

Hobby: Reading, Photography, Shooting, Singing, Magic, Kayaking, Mushroom hunting

Introduction: My name is Eusebia Nader, I am a encouraging, brainy, lively, nice, famous, healthy, clever person who loves writing and wants to share my knowledge and understanding with you.