What does it mean to Open Position ,close a position,hold a position&lock a position?

The three nouns of opening position, closing position, and holding position may be the most easy-to-understand words, but it is not ruled out that some novices may confuse the concepts of these three in a state of impatience, so we might as well review these three concepts again.

What is a open a position in Forex?
The popular point of opening a position is how many orders we are about to buy. For example, today I want to buy 3 lots of iron ore. This kind of order placing is called opening a position or building a position. In daily transactions, there are mainly two trading methods, one is bullish market to do long (buyer), the other is bearish market to short (seller), so we can also understand that in the transaction, whether it is buying or selling, any A new order is called opening a position.

What is a close a position in Forex?
Since futures are a two-way transaction, we can simply understand closing positions as selling what was originally bought, and buying what was originally sold. warehouse. There are also the terms of closing positions on the same day and closing positions on the next day, and closing positions can also be divided into forced liquidation and hedging liquidation.

What is a hold position in Forex?
The term “holding position” refers to closing a position. As the name suggests, holding a position refers to the way in which a trader keeps the order in his hand without closing the position to make a profit after opening a position.

What is a locked position in Forex?
Locking (a locked position) is a type of hedging in Forex. To “lock” a position, you have to open two trades on one instrument but in opposite directions. The locking strategy is used both as a trading strategy and a way to turn an unfavourable position into a profitable one.

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