What is a lock? How to lock and unlock futures? Better give an example. thank you
There are two types of locking positions. The first is to lock in losses and prevent further losses. For example, if you buy soybeans for 2000 yuan, the result falls to 1.900. This is to avoid greater losses, so that you can sell the same amount of soybeans at this price, so that no matter how the market evolves, your losses will not expand. The second is to lock in profits. For example, if you buy soybeans for 2000 yuan, it will rise to 2300 yuan. At this time, you are not sure about the market outlook. You can sell the same amount of soybeans at this price, thus locking in your vested profits. Actually, I don't recommend locking the warehouse. It is easy to lock the warehouse, but difficult to unlock it. For example, the lock loss mentioned above, when it falls to 1900, you lock the warehouse. If it continues to fall to 1700, there will be sideways consolidation. So what would you choose, flat single or multiple single? If the market continues to decline, you will lose even more if you are flat. If the market turns, your losses will also increase, so this matter is difficult to operate. I have been doing futures for more than ten years, and I have basically never locked my position. My practice is to set it strictly.