Wow, I didnât expect that as an aswer. Is what I am trying to do not NORMAL, or is Oanda just slacking in this option (meaning do other companies allow this and if so, which ones)?
Thanks for the reply Vatslav, I am open ears for more input from everyone.
First things first, youâre not trading âstockâ. The term you should be using is âpairâ.
Second thing when youâve executed a transaction you have a trade or position, not a âbidâ. A bid is an order to buy, or the price at which you would be interested in buying, not an actual transaction.
In terms of having simultaneous long and short positions, Oanda will not allow it in the same account, but you can set up sub-accounts and trade in opposite directions in them. Not as easy as being able to do it in the same account, but itâs doable.
Thanks for helping with the terms and clearing up my question.
Why doesnât Oanda allow this? I mean, it is not illegal and they are still making money off the spread. I guess I am missing why this isnât an option.
They probably set up their system to view simultaneous long and short positions as offsets to the extent that their sizes match, just like they would be in basically every other market.
If you sold 100 shares of Google short then bought 50 shares, your broker would have you short 50 shares, not short 100 shares and long 50 shares. In the futures market if you sold 100 Corn futures contracts then bought 50 contracts, again your broker would have you net short 50 contracts, not short 100 and long 50.