Hello, the position limit system is a system for futures exchanges to prevent market risks from being excessively concentrated on a few traders, prevent market manipulation and limit the number of positions held by members and customers. Specifies the maximum amount of contract positions that members or customers can hold, which is calculated unilaterally, and too many positions are not allowed.

Large-scale declaration system is another system closely related to warehouse restrictions, which is used to control trading risks and prevent large-scale households from manipulating the market. After the futures exchange established the position limit system. When the speculative position of a certain type of member or customer position contract reaches more than 80% (inclusive) of the speculative position limit stipulated by the exchange, it must be reported to the exchange. The application contents include customer account opening, transaction, source of funds, etc. Trading motives, etc. It is convenient for the exchange to examine whether there are excessive speculation and market manipulation behaviors and trading risks of large households.

This information does not constitute any investment advice. Investors should not use this information to replace their independent judgment or make decisions only based on this information. If they operate by themselves, please pay attention to position control and risk control.