Risk Management and Stop-Loss

Auto protects Hyperliquid positions through take-profit orders, stop-loss orders, margin adjustments, and liquidation monitoring. Setting risk parameters after every trade is the single most important step for preserving capital.

How to Set Take-Profit and Stop-Loss on Hyperliquid

Auto recommends setting TP/SL immediately after opening any perp position. These orders automatically close your position when price reaches a specified level.

Setting Stop-Loss and Take-Profit

"Set a stop loss at $90,000 on my BTC long"

"Set take profit at $110,000 on BTC"

"Set TP at $4,000 and SL at $3,200 on my ETH long"

What Do Stop-Loss and Take-Profit Orders Do?

Protection Type	Function
Stop-loss (SL)	Automatically closes your position when price moves against you past the specified level, limiting downside
Take-profit (TP)	Automatically closes your position when price reaches your profit target, locking in gains

How Does Auto Calculate Risk/Reward Ratio?

Auto calculates and displays the risk/reward (R/R) ratio for every position with TP/SL set:

• Good: 2:1 or better — potential gain is at least 2× the potential loss

• Marginal: 1:1 to 2:1 — balanced risk and reward

• Poor: Below 1:1 — potential loss exceeds potential gain

"What's the R/R on my current BTC position?"

How to Add or Remove Margin on a Hyperliquid Position

Adjusting margin changes your liquidation price and effective leverage without closing the position.

Adding Margin to Avoid Liquidation

Adding margin pushes your liquidation price further away, reducing liquidation risk.

"Add $50 margin to my ETH position"

Removing Margin to Free Collateral

Removing margin frees collateral for other trades but brings your liquidation price closer.

"Remove $20 margin from my BTC position"

How Close Am I to Liquidation on Hyperliquid?

Auto monitors liquidation distance continuously and escalates warnings as risk increases.

Distance from Liquidation	Risk Level	Auto's Response
> 30% from current price	Normal	Standard position display
15–30%	Elevated	Auto highlights the risk in position updates
< 15%	Critical	Auto issues a direct warning

"How close am I to liquidation on my positions?"

How to Monitor Hyperliquid Positions

Auto displays complete position details including entry price, current price, unrealized PnL, leverage, liquidation price, and accumulated funding cost.

"Show my positions with risk details"

"What's my liquidation price on BTC?"

Hyperliquid Risk Management Best Practices

• Always set a stop-loss — sudden market moves can liquidate unprotected positions within minutes

• Start with low leverage — use 2–3x until you understand margin and liquidation dynamics

• Risk no more than 2–5% of your account per trade — Auto suggests appropriate position sizing

• Monitor funding rates — high funding costs erode profits on positions held over time

• Maintain at least 15% liquidation buffer — positions with less than 15% distance to liquidation are at critical risk