Hedging liquidation refers to the option contract settlement method in which the options held by investors are hedged by the same options with opposite trading directions and equal trading quantities. Hedging refers to the settlement of previously bought (sold) contracts by selling (buying) futures contracts in the same delivery month. Closing a position refers to the behavior of futures traders to buy or sell futures contracts with the same variety, quantity and delivery month but in the opposite direction, and close futures trading.
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