1 short position: short position involves margin trading. When the investor's margin is not enough to offset the losses caused by market fluctuations, the exchange will force investors to close their positions, which is what we often call short positions. For example, the contract value of an investor's position is 654.38+10,000 yuan, and the deposit paid for the position is 5,000 yuan. When the contract loss reaches 5,000 yuan, it will be forced to close the position by the exchange.

1. Close position:

Closing a position is a general term for selling stocks bought by bulls or buying back stocks sold by bears in stock trading. The purpose of selling stocks by bulls and buying stocks by bears is to earn differential income. When the market reverses, it is very important to close the position in time to complete the price difference gain or prevent the loss.

Liquidation is a term derived from product futures trading, which refers to the trading behavior of one party hedging the futures contract bought or sold before in futures trading. In the trading of product futures, the combination analysis of price, volume and position is considered as an important goal to guess the price trend. The total amount of stocks in the stock market that have been sold short but have not been offset by short sellers is called short selling amount, also known as short selling difference.

According to skill analysis theory, short selling is a signal of market weakness, that is, how many investors think the stock price is about to fall. The expansion of short selling shows that most people expect the stock price to fall. But after all, it is necessary to level all short selling by buying stocks in practice, so huge short selling is considered as a sign of stock price rise, which is called air cushion theory in theory. Short covering is regarded as a signal of market strength. If the stock price starts to soar, short sellers are forced to buy stocks to close their positions and prevent losses, which will lead to further increase of short selling and stock price and aggravate the losses of short sellers who have not opened their positions. In recent years, short selling and short selling for the purpose of speculation have decreased relatively around the world, and the relationship between short selling and stock price movement is no longer so close.