Violating the principle of hedging in the futures market
The principle of opposite transaction direction. The principle of opposite trading direction means that the position established in the futures market is consistent with the future spot trading direction. If this principle is violated, futures trading cannot be called hedging trading. As a result, either the two markets are profitable at the same time, or the two markets are losing money at the same time, which not only can't avoid the price risk, but increases the price risk. Therefore, it violates the reverse principle of hedging in the futures market, which not only cannot avoid the price risk, but increases the price risk.