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General What is a "Hedge" order?

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deepvalue

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What exactly is this "Hedge" button on my demo account? What does it do? And what is its ultimate purpose? Thanks.
 
deepvalue said:
What exactly is this "Hedge" button on my demo account? What does it do? And what is its ultimate purpose? Thanks.
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What trading terminal do you use? Hedge means a trading position which is intended to offset (compensate) certain type of bad outcome from another trading position. Like if you bought a stock you can protect yourself from decline of its price using put option.
 

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