Hedging

The help page says a new deal opens an additional position and does not change the existing one. A position cannot be reversed in place. The current position is closed and a new one is opened for any remaining volume. A hedged-margin setting can apply. The product page for MetaTrader 5 says the hedging method is widely used in forex, and that netting is the exchange method. The word hedge is also used, including by HMRC, for a commercial contract that offsets another risk. That is a different use of the word. The platform setting does not say whether a tax authority will treat a trade as a hedge.