Question: What's different between Hedged & Netted account types on cTrader trading platform?
“Hedged” account type is adopted by many brokers and traders.
On “Hedged” account type, you can have multiple open positions of both directions(buy and sell) on the same symbol at the same time.
On “Netted” account type, you can have only 1 open position for the same symbol at the same time.
In case of “Netted” account type, you all orders on the same symbol will be accumulated in 1 position.
Trading Example on “Netted” account (in case of EURUSD) | |
---|---|
Buy 2 lots and Sell 1 lot | Remains 1 lot(long position) |
Sell 3 lots | Remains 2 lots(short position) |
Sell 5 lots | Remains 7 lots(short position) |
Buy 4 lots | Remains 3 lot(long position) |
Only 1 position for a symbol on “Netted” account type.