Short positions are closed because they think that the contract market outlook will rise, so they choose to close their positions. A short is a person who buys down. If the contract price starts to rise after the purchase falls, their margin will lose money at this time, so closing the position can reduce the loss. After closing the position, you can also buy a call contract, which can hedge.

Short closing refers to buying and closing a futures contract that was originally sold short. Short position means that the position is reduced, but the absolute value of the position increase is less than the current quantity, which belongs to active buying.

Suppose three people are counterparties, in which A has five long positions, B has five short positions and C has no position; If Party A wants to close some positions, it will sell 3 positions; Party C thinks that the market will fall and sells 2 positions; If Party B also wants to close the position, it will sell five positions at the current price (selling price), and the disk shows: empty (short), spot transaction 10, position difference -6. If it is a long position, it is to take B as the active position, and A can then close the position.