Yes. Standard VT Markets account types allow you to hold buy and sell positions on the same contract for difference (CFD) products simultaneously, subject to applicable trading conditions.
- Opposite positions remain open as separate trades.
- Equal buy and sell volumes create a locked or fully hedged position.
- Hedging across multiple accounts is strictly prohibited.
What is the difference between hedging and locking
- Hedging: Holding buy and sell positions on the same product to offset some or all directional exposure.
- Locking: Holding equal opposite volumes, such as buying 1 lot and selling 1 lot of EUR/USD.
A locked position may offset gains and losses caused by market movements. However, the combined result can still change because of spreads, swap, and other applicable charges.
Does locking close my existing position
No. Both positions remain open.
- Applicable margin requirements still apply.
- Each position remains subject to its overnight swap rate.
- Closing one side leaves the remaining position exposed to market movements.
How do opposite positions work on MT4 and MT5
Platform | What happens when you open an opposite position |
MT4 | All MT4 accounts operate in Hedging mode. A second, separate position is created. Margin for the hedged portion may be reduced or zero. |
MT5 | All MT5 accounts operate in Hedging mode. Opening an opposite position creates a second, separate position. |
VT Markets does not offer Netting mode, where an opposite trade reduces, closes, or reverses an existing position.
Why might my order to lock a position be rejected
Opening an opposite position is a new order and must pass the applicable margin checks.
- The order may be rejected if your free margin is insufficient.
- This can happen even if the resulting positions would be fully hedged.
- If your account is near a margin call, you may be unable to open the opposite position.
Locking does not remove margin requirements or guarantee protection against a margin call or stop-out.
What costs apply to a locked position
- Spread: Applies to each position, including the opposite trade used to create the lock.
- Swap: Applies separately to each position held overnight. Long and Short rates may not offset each other.
- Commission: Applies to both positions where required by your account type.
These costs can reduce your account equity while both positions remain open.
What should I check before opening an opposite position
- Ensure you have sufficient free margin.
- Check the instrument’s hedged margin requirements.
- Review both Long and Short swap rates before holding overnight.
- Account for spreads and applicable commissions.
- Keep permitted hedging within the same trading account.
Risk Warning
Trading Contracts for Difference ("CFDs") and other leveraged financial derivatives involve a high degree of risk and may not be suitable for all investors. Leverage can magnify both gains and losses, and you may lose all of your invested capital. You should ensure that you fully understand the risks involved before trading.
The information provided on this website is for general information purposes only and does not constitute investment advice, a recommendation, or an offer or solicitation to buy or sell any financial instrument.