Holding a buy and a sell on the same instrument at the same time, inside one single account, is
allowed.
The rule by stage
| Stage | Hedging inside one account | Hedging between accounts |
|---|---|---|
| 1-Step / 2-Step Challenge | Allowed | Not allowed |
| Funded Stage | Allowed | Not allowed |
| Instant | Allowed | Not allowed |
| Flex | Allowed | Not allowed |
Examples
- Challenge account: long 1 lot EUR/USD and short 1 lot EUR/USD at the same time: allowed.
- Funded account: long XAU/USD and a short XAU/USD opened in the same account: allowed, as long as the second trade respects Trade Layering (10 minutes since the previous trade opened).
- Long EUR/USD on one Bullish4ex account and short EUR/USD on another account: breach, because it is hedging between accounts.
Key points
- Each position still counts toward the Maximum Daily Drawdown, the Maximum Loss and, on Funded and Instant accounts, the 1% Per-Trade Risk Rule.
- Hedging between different accounts is prohibited on all account types and stages. See Prohibited Trading Practices.