Trading Mechanics: Margin, Leverage, TP/SL, Funding, and Liquidation
Updated Jun 9, 2026 · 1 min read
How margin, leverage, and liquidation price work on Senpi, plus margin-relative TP/SL and hourly funding rates.
Margin modes
Option A
Cross-margin - Default for crypto
- Positions share margin across the strategy
- More capital efficient
- ✗ Shared liquidation risk
Option B
Isolated margin - Required for XYZ DEX
- Each position has its own margin
- Liquidation is per-position
- ✗ Less capital efficient
You can hold mixed directions across different assets in one strategy (BTC LONG + ETH SHORT in the same sub-wallet). You cannot hold opposing positions on the same asset within one strategy - use separate strategies for that (Strategy types and sub-wallets).
TP/SL
Take-profit and stop-loss percentages are relative to margin (leveraged return), not raw price. At 10x leverage, a 10% TP triggers at a 1% price move. Triggers are all-or-nothing; use edit_position for partial takes (Opening, editing, and closing positions).
Funding rates
Hourly payments between longs and shorts, standard Hyperliquid mechanics. Apply to all open positions. Separate from Senpi's builder fee (Fees, loyalty tiers, and referrals).
Liquidation
For longs, liquidation is approximately entry_price × (1 − 1/leverage). At 10x leverage, that is roughly 9-10% below entry.
For automatic exit management that protects positions before liquidation, see the Exit Management category.
Try it on Senpi
Live margin, leverage, and TP/SL on Hyperliquid.
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