What does a futures lock mean? Generally, it refers to an operation mode in which futures traders open positions in the opposite direction in equal amount, so that no matter where the futures price goes (up or down), the profit and loss of positions will not increase or decrease.
Foreign exchange margin trading and gold margin trading are also common in futures. The margin ratio of stock index futures has been introduced. Lock positions generally refer to investors opening a new position opposite the original position after buying and selling contracts, which is also called "double lock", "lock order" or even "butterfly Qi Fei". Locking positions is generally divided into two ways, namely profit locking and loss locking. This is the meaning of futures locking. Let's look at the function:
Mainly solve the consolidation problem in intraday trading, and make the position the best position with the lowest cost in the possible reversal market. Mergers are mainly divided into periodic mergers between communities. Large scale irregular consolidation. To be sure, any one-way position will be tested in this integration.
Either you stop, go in the right direction, avoid two kinds of consolidation, and finally you win. On the contrary, if there is a reversal or a big shock, you will suffer huge losses.
Either your stop loss is very small, and during this period, you will undoubtedly stop loss repeatedly, resulting in heavy losses and disorientation.
Either you think that you are temporarily consolidating and withdrawing from the wait-and-see, but at a relatively high point, you dare not open positions to rise, let alone open positions to fall, and miss opportunities in hesitation.
All the above problems can be solved by locking the warehouse. Before any one-way market appears, your position is in the best position. While locking in the previous profit, you still have the opportunity to expand the profit. When a one-way market appears, your profits will multiply. When the reverse market appears, your position is also in the best position.
What we can do is to pay more and lose less during the operation of day trading. First of all, the main operation is warehouse locking, and some large capital operations are warehouse locking. From this perspective, locking the warehouse is useful. On the surface, locking the position is a sign of winning. The form of locking is very simple, and neither the buyer nor the seller makes sense. Through its superficial phenomenon, we should see its inner essence.
1. Unable to judge the market prospect after the transaction, lock the position to obtain the time buffer effect of judgment.
2. Trading mistakes are behaviors that judge market conditions and hope to correct mistakes.
The transaction is correct, but judging the market situation, I hope to get more profits.
The worst thing is self-deception, self-comfort, and unwillingness to stop loss after losing to the market. Most people have locked their positions.
Seeing this, you should know what futures locking means. Want to know more about investment knowledge, please pay attention to us!