Market corner refers to the trading behavior that one party uses the advantage of capital or warehouse receipt to guide the market to move unilaterally, which leads to the other party's continuous losses and finally has to reduce its position. Generally, it can be divided into short selling and short selling. Forced liquidation is a kind of market manipulation, mainly by manipulating the spot market and futures market to force opponents to submit, so as to achieve the purpose of profiteering.

It is illegal to hold a position by force. In the United States, forced liquidation generally occurs when the deliverable spot quantity is not large. Buyers in the market are forced to close their positions, including a large number of spot positions and a large number of futures [1] positions, so that empty parties or sellers without spot positions can only close their positions at a higher price after delivery, and futures prices generally deviate from spot prices. This is called forced position. Forced positions can be roughly divided into two ways, one is to be long and the other is to be short.

Too many short positions: market manipulators use the advantages of funds or physical objects to sell a large number of futures contracts in the futures market, which greatly exceeds the ability of many parties to undertake physical objects. As a result, the futures market price has fallen sharply, forcing speculative bulls to sell contracts at low prices and admit losses, or be fined for breach of contract because of their financial strength, thus making huge profits.

Short positions: In some small varieties of futures trading, when market manipulators expect that the spot commodities available for delivery are insufficient, they will build enough long positions in the futures market by virtue of their financial advantages to raise the futures price, and at the same time buy and hoard a large number of physical objects available for delivery, so the prices in the spot market will rise at the same time. In this way, when the contract is close to delivery, short members and customers are forced to buy back futures contracts at high prices to claim for liquidation; Either buy the spot at a high price for physical delivery, or even be fined for breach of contract for not handing over the physical goods, so that long positions can make huge profits from it.