When you first come into contact with contract trading, have you also heard the terms 'full position' and 'isolated position'? Then you might be confused, what is that? What’s the difference? Today, I’ll explain it all at once. What is full position? As long as you have money in your account, it is all used as collateral. If you incur a loss on one order, the system will pull your other funds to cover the loss. It's a bit like: I put all my savings on the line; if I lose, I lose everything together, but if I win, I earn more. For example, if you have 1000 yuan in your account and you open a contract using only 200 yuan, but using full position, if you lose, after losing that 200, the system will also touch your remaining 800. Even if you were right about the direction, one liquidation could wipe you out completely. What is isolated position? You open an order using a fixed amount, and the most you can lose is that one amount. If you say you only want to play with 200 yuan, then it only touches that 200. The other 800 is completely safe and does not participate. In other words, using isolated position is like organizing troops separately in a battle. If one battalion loses, the others are still intact, and there’s no impact. So which one should you choose? For beginners, it's recommended to use isolated position. Why? Because it has a strong risk resistance capability, and if you lose, there is still room for maneuvering. Full position can easily 'crush you,' especially when the market is volatile. But experienced traders might use full position, as they can flexibly mobilize funds, making stop-loss and take-profit more efficient. Don’t step into pitfalls. Don’t go all in with full position without understanding anything at the beginning. You might think you are a trader, but in fact, you are a gambler. First, master the logic and ensure good risk control, then slowly consider whether to use full position to improve efficiency. To summarize: Full position: all the money in the account is staked, and one loss affects all. Isolated position: each order plays its own game, and the most you can lose is the money from that one order. Don’t be confused anymore. Learn to distinguish, and you are one step closer to stable profits.