A short position means that the account equity is negative, which means that the deposit is not only lost, but also owed. Under normal circumstances, under the daily liquidation system and the compulsory liquidation system, there will be no explosion of positions. However, in some special circumstances, such as when the market stops continuously in one direction, accounts with more positions but opposite directions are likely to explode.

For example, the margin ratio of a futures product is 10%, and the closing margin is 4%. The stop loss for three consecutive times is 12% (generally, the exchange will arrange the loss-making customers to close their positions for three stops in one direction). If a futures investor opens a Man Cang and makes a mistake, he will not only lose all the margin, but also owe the futures company (the value of the futures contract).

Once there is a short position, all the positions in the hands of investors will be closed, and the deficit needs to be made up, otherwise it will face legal recourse. In order to avoid this situation, it is necessary to control positions specially and avoid Man Cang operation like stock trading.

If investors give up margin trading and open positions with their actual amount of funds (for example, there are currently 35,000 yuan, only primary soybeans), they will never open positions.