As you can see I had bought 11 btc on limit order with base rate of 228.83 and I placed short orders also of limit type on different rates.
1. Would trailing stop instead of limit order here made me better profit and how could I have achieved it.
A trailing stop SELL order may have made you some profit. The logic of the trade is that it is a limit sell order at a price a certain amount below the highest price reached since the trailing stop was placed. You enter the trade with the amount of distance you want to use. A larger amount will require a bigger drop from the high. Whether or not you'd get more profit depends on what the price did and how large a trail you choose.
2. Now price is $245 and say I set trailing stop sell order for $2 so does that mean my order will become active when price will fall to $243 and once its get active what will decide my profit price rise or price down and by how much price my order will be executed.
If the price doesn't go up from 245, but instead goes down (and maybe up and down, but never over 245) to 243, then yes, you will sell at 243 and that will determine your profit. If it goes over 245, say to 247.10, then it will only have to fall $2 (to 245.10) for you to sell at that price (245.10 if the high was 247.10).
3. Same question like 2 but this time for trailing stop buy order.
If the price doesn't go down from 245, but instead goes up (and maybe down and up, but never under 245) to 247, then you will end up buying at 247. If it does go down, say to 235 before ever recovering by $2 (to 237), then you will buy at $237.
I am missing a point here really and I need to understand that I can make profit even selling btc when I expect price to go low but then how can I make profit on short order by selling low, something doesn't make sense to me. Because I always thinks that I need to buy btc first beofre I can sell them and make profit when price is high, this whole idea of shorting when you got no existing long orders doesn't make sense to me.
Selling short means that you borrow BTC to sell. If you don't have any BTC, then you need to have USD. If you don't have USD or BTC, then you can't sell short. If you do, then... Let's say you have 11 BTC. You can sell short 11 BTC without borrowing (you borrow from yourself). But with leverage, you can sell more, say 11 more for 22 altogether. This means you've borrowed 11 BTC, and you will pay interest on it until you buy it back. If the price goes up, you'll still pay interest, and take a loss when you buy it back for more than you sold it.
WARNING! If you have 11 BTC and you sell 22 (your 11, plus 11 more that you borrowed), then you're using leverage and if the price goes up enough (they estimate the target price and call it "liquidation price"), then your position will be liquidated. This means you'll buy 22 and pay for them from the proceeds of the (original) short sale, and since the price is higher now, you'll have to pay extra, and the extra will be generated by selling some of the 11 you had at first.
