Short closing refers to buying and closing a futures contract that was originally sold short. Short position refers to the increase of positions, but the added value of positions is less than the current quantity, which belongs to active selling; Long position closing refers to reducing positions, but the value-added of positions is less than the current quantity, which belongs to active selling; Short position means that the position is reduced, but the value-added of the position is less than the current quantity, which belongs to active buying.
Long position closing means that the holders of empty orders buy and transfer at one price by taking the initiative, rather than queuing up to buy and transfer at one price. If a large number of long positions are closed, the price will rise temporarily. Short-term experts can do more appropriately, but they should fast-forward and fast-out, so as to prevent the main force from using illusions to confuse retail investors and form quilt warehouse receipts.
Long positions refer to investors buying a certain number of futures contracts. Investors can choose to close their positions in advance before the contract expires; If you hold the contract until the last trading day, you must settle the futures trading through cash delivery.
Extended data
In the course of trading, the futures exchange takes compulsory liquidation measures in accordance with the regulations, and the losses caused by liquidation are borne by members or customers. The realized liquidation profit belongs to the futures exchange's forced liquidation due to the violation of members or customers, which is included in the non-operating income of the futures exchange and is not distributed to the violating members or customers;
If it is forced to close its position due to changes in national policies, continuous price fluctuations and other reasons, it will be distributed to members or customers.
There are many reasons for compulsory liquidation in futures trading, such as customers' failure to add trading margin in time, violation of trading position restrictions and other irregularities, temporary changes in policies or trading rules, etc. In the standardized futures market, it is most common that customers are forced to close their positions because of insufficient trading margin.