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(Stock) Why are forced positions sometimes cut?
Sometimes, stocks are forced to lighten up.

1, operation error

The wrong direction operation may be due to inattention and wrong choice, so in order to return to the expected target operation track, you have to forcibly close the position, that is, forcibly cut the position.

2. Insufficient margin

When the margin is insufficient, in order to avoid the serious risk of warehouse explosion and reduce losses, we have to reduce warehouse jump in advance and carry out compulsory warehouse cutting.

Tip: The above is mainly aimed at stock index futures, and non-stock index futures are mainly forced to sell because of too many sets, which can also be understood as forced lightening.