Post
Topic
Board Trading Discussion
Re: Futures trading: should I aim to avoid funding fees wherever possible?
by
jdn_ldn
on 07/06/2020, 00:55:45 UTC
All traders have the same incentive as you (close position to avoid paying funding fees)

Ah ok, I think this information may have helped solve an ongoing mystery with my bot! Basically I've been getting major API latency issues with the 00:00UTC trade but not with any others. Automated orders were taking up to 10s for this, compared to < 1s for all the others. I couldn't work it out.  I'm now guessing that theres a load of traffic as everyone rushes to close positions before funding, or perhaps to deploy strategies based on the predictable price movement you mentioned.

I think I'm gonna experiment to find out if I would in fact be better off getting out before funding. I'm guessing I would and this has already been heavily researched, hence why most traders do it. I'm also gonna experiment to find the sweet spot / latest possible time to close before getting caught in the Binance traffic.