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What does the spot gold lock mean? What is a spot gold lock?
The so-called lock position generally refers to an operation method in which investors open positions with the same amount but in the opposite direction, so that the profit and loss of positions will not increase or decrease no matter where the price changes. The "warehouse locking function" provided on the trading platform refers to the hedging function. For example, if a customer holds positions in different trading directions of the same product at the same time, the risk of the customer is relatively small regardless of whether the market price rises or falls.

There are two kinds of lock positions, one is profit lock position and the other is loss lock position.

Profit lock-in: Profit lock-in means that futures contracts bought and sold by investors have a certain floating profit. Investors feel that the original general trend has not changed, but the market may fall back or rebound briefly. Investors don't want to close the original low-priced orders or high-priced orders easily, so they continue to hold the original positions and open new positions in the opposite direction.

Loss lock-in: Loss lock-in refers to a certain degree of floating losses in futures contracts bought and sold by investors. Investors can't see the market outlook clearly, but they don't want to turn the floating losses into actual losses, so they continue to hold the original loss positions and open new positions in reverse in an attempt to lock in risks.