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What does it mean to lower futures positions?
At present, futures trading is also a popular investment method. Futures trading is an advanced trading method based on spot trading and forward contract trading. Futures usually refer to futures contracts. In futures trading, an open position factor is often involved. Open position refers to the number of a commodity futures contract that has not been hedged and delivered in kind after investors buy or sell it. Often in the process of futures trading, the volume of contracts with large positions is also large, and the volume of contracts with small positions is often small. So what does it mean to lower futures positions? Let's get to know each other.

What does it mean to lower futures positions?

In futures trading, the position and volume of futures will directly affect the price of futures. In addition, changes in futures prices will also cause changes in positions and trading volume. Many investors will also predict the trend of futures prices based on future positions, trading volume and price. If futures positions and trading volume decrease and prices rise, it often means that short positions are covering a large number of positions, and futures prices will rise in the short term, but will soon fall back; The increase in futures trading volume, price increase and position decrease often mean that short sellers and short sellers are on a large number of platforms. In this case, the price will fall in a short time.

Under normal circumstances, investors can choose to sell more than one order or open an empty order to stop loss when the futures trading volume and positions are reduced; When positions decrease, trading volume increases and prices rise, investors can stop losses and open short orders.

In short, in futures trading, the position refers to the change of the position from the beginning to the final delivery in a futures cycle; Volume is more a changing factor of intraday trading. The change of a single position factor can not represent anything, but should be analyzed in combination with the change of volume and price.