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Tanya Jawab General Trading Is Hedging allowed?

Is Hedging allowed?

We allow hedging within the same account for Risk management purposes, as long as it does not include *Hedging Arbitrage.*

However, hedging between 2 accounts by placing a BUY order on one account and a SELL order on the other is prohibited.

*Hedging arbitrage is the practice of trading a price difference between more than one market for the same asset, in an attempt to profit from the imbalance.*