Hedging
Hedging is allowed and is classified as having trades running in both directions on the same instrument at the same time. This means you can have both long (buy) and short (sell) positions open simultaneously for the same asset on the same account.
Note: Hedging with the aim of locking in a price or spread arbitrage is a prohibited trading strategy and will result in the closure of your account.
Note: Hedging across two Alpha Capital Group accounts is considered a prohibited strategy. For the purpose of hedging across multiple accounts analysis, correlated instruments can be considered.
Stacking
Stacking is also allowed and is classified as having 3 or more open trades on the same instrument. This means you can concurrently have multiple positions in the same direction on the same asset.
Both hedging and stacking can be utilised within the bounds of our trading guidelines and risk management policies. Please ensure that your trading strategies comply with these rules to maintain a positive trading experience.