The concept of foreign exchange jiacang: refers to the behavior of continuing to buy more because of continuing to be optimistic about a certain stock or a certain currency pair in the process of price decline or rise.
The concept of foreign exchange covering position: covering position refers to the buying behavior in order to reduce the average cost when the exchange rate falls or is trapped. Covering positions is a passive contingency strategy after being locked up. It is not a good way to solve the problem itself, but it is more suitable in some specific situations.
The difference between adding foreign exchange and covering positions: covering positions is a means we often use in actual operation, either to reduce costs or to increase income. Of course, the most important thing is to ensure safety. Covering positions belongs to the category of capital utilization strategy. Therefore, when to make up the position and what currency to add, we must pay attention to skills.