Long position, commonly known as long buying, generally means that investors are bullish in the futures market, then buy futures contracts and earn profits after the price rises. In addition, in all the receipts and payments of the day, the bank's income exceeds its expenditure, which is called "multi-position".
Position is a word that is often used in the financial industry, and it is also often used in finance, securities, stocks and futures trading. For example, when futures trading opens, the positions held after buying futures contracts are called long positions, referred to as long positions; The positions held after selling futures contracts are called short positions, referred to as short positions.
The difference between open long contracts and open short contracts is called net position. This only exists in futures trading, but not in spot trading.
In foreign exchange transactions, "opening a position" means opening a position. Opening a position, also known as exposure, is the act of buying one currency and selling another. After the opening, one currency is long (long) and the other currency is short (short). Choosing the right exchange rate level and the timing of opening positions are the premise of profit.
If the timing of entering the market is good, the chances of profit will be great; On the other hand, if the timing of entering the market is improper, it is prone to losses. Net position refers to the trading difference between one currency and another after the opening. In addition, there are statements from the financial industry, such as tying positions and borrowing positions.
The futures market is a financial market that trades according to the agreement reached and delivers on the scheduled date. The obvious difference between spot and futures is that the delivery date of futures is in the future, and the conditions of delivery and payment, such as price, quantity, method and place, are stipulated in the spot contract, and both commodities and securities can be traded in the futures market.
Although the contract has been signed, the goods bought and sold by both parties may be in transit, may be in production, and may not even be put into production. The seller may or may not have goods or securities.