Nathaniel Kevin_ Green

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What is netting vs hedging mode in MT5?

In MetaTrader 5 (MT5), traders can choose between netting and hedging account modes. Netting consolidates all positions of the same instrument into one, showing a single net position. For example, buying 1 lot of EUR/USD and then selling 0.5 lots results in a net position of 0.5 lots long. Hedging mode, however, allows multiple separate positions in both directions for the same pair. This is useful for traders who want to hedge trades without closing existing ones. The choice between netting and hedging depends on strategy: institutional traders often prefer netting, while retail traders favor hedging.