Double opening means that both bulls and bears open positions. In other words, at the same price, some people are bullish on buying long positions, while others are bearish on selling short positions. Together, it is a transaction called double opening.
Generally, when the trend is uncertain, we wait for the trend to be clear. Once the trend is judged, the unfavorable direction will be leveled, and the favorable direction will be left, and the trend will be followed. For a small amount of money, this method has no advantage. Only big money is useful. The main purpose is to prevent the inflow and outflow of funds from being too large, which will have a greater impact on the price, that is, to reduce the impact cost.
The technical term is hedge arbitrage, which is AB warehouse. It is expected that the next market will be relatively large, but when the direction cannot be accurately judged, more orders and empty orders will be placed at the same point; When the market comes out, if it goes up, it will take a lot of profits. It will definitely fall back after the surge. You can enter empty orders at a high position until all the empty orders are out. This is the whole process.
Extended data:
Futures arbitrage operation should pay attention to the following skills.
(1) Choose to enter the market when the arbitrage spread is the largest, or at least exceed or reach the historical average spread level, or enter the market in batches in actual operation.
(2) Avoid contracts with light trading or small positions, and avoid the risk of liquidation.
(3) It is best not to participate in the arbitrage trading of recent contracts to avoid the risk of forced liquidation.
(4) In internal arbitrage, it is necessary to check whether the basis of arbitrage is still valid and whether there are new circumstances that lead to the need to revise the basis of arbitrage.
References:
Baidu encyclopedia-futures double opening
References:
Baidu encyclopedia-futures trading