Hedging is when you have long and short positions in the same instrument open simultaneously. If you’re fully hedged, you will have long and short positions open in equal volumes.
Having hedged positions will reduce your total margin requirement. For fully hedged positions no margin will be required.
In case the market moves against your positions and your Equity falls below zero, your positions will be stopped out by our Automatic Risk Management System, beginning with the position holding the greatest loss.