Open position, also known as open position, refers to a certain number of futures contracts newly bought or sold by traders.
Futures terminology
The whole process of futures trading can be summarized as opening positions, holding positions, closing positions or physical delivery. Buying and selling a futures contract in the futures market is equivalent to signing a forward delivery contract. If traders keep futures contracts until the end of the last trading day, they must settle futures transactions by physical delivery or cash settlement. However, only a few people make physical delivery, and most speculators and hedgers generally choose to sell their futures contracts or buy back their futures contracts before the end of the last trading day. That is to say, the original futures contract is written off by a futures transaction with the same amount and opposite direction, thus ending the futures transaction and relieving the obligation of physical delivery at maturity. This behavior of buying back a sold contract or selling a bought contract is called liquidation. An open contract after opening a position is called an open contract or an open contract, also known as a position. After opening the position, traders can choose two ways to close the futures contract: either choose the timing of closing the position or reserve it for physical delivery on the last trading day.
Stock market terminology
In the stock market, the meanings of opening position, closing position and holding position are the same as above. Simply put, these three meanings are: buy, sell and continue to hold shares.
Money market terminology
Refers to investors buying coins when they judge that the price of coins will rise. Investors gradually expand the scale of securities investment in a period of time according to their own judgments on the market or suggestions from investment analysts.
form
According to the definition of open position, it can be divided into two types: buying open position and selling open position.
1. Buying positions: refers to buying more than one order when placing an order, that is, the bullish index.
2. Selling and opening positions: refers to buying an empty order when placing an order, that is, bearish or bearish index.
Buy and open operations
Buying and opening positions is actually an operation mode of option buyers. The risk of the option buyer is limited and controllable. It can be said that apart from the handling fee, only one person needs to pay the royalties himself, and there is no need to pay the deposit. The open mode of buying can be divided into two modes: buying subscription and buying and selling. This model is the corresponding rise and fall, and the related indexes are also changing in different ways.
Sales and opening operations
Selling positions is a way for option sellers. The main risk of the option seller lies in the deposit that needs to be paid in the transaction process, and the amount is not small. As long as the direction is wrong in the trading process, the option price will change sharply in the opposite direction. At this time, it is likely to explode, and the seller's risk index is suddenly raised. The difference between selling and opening is actually a trading mode of option sellers.