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how do you know what the hedge what is hedging can you protect a profit or minimize the loss or LOC and a loss without knowing what your position is you know you can't just flip a coin and then buy and sell futures and hope that that worked I got a 50-50 chance of being right that's better than I usually do in the rest of my life I can live with that I know it's not a good approach to trading so before we can start talking about hedging and risk and and using swaps and options and futures we have to understand what is our position what is our risk so the principal things we talked about in oil are short and long so what does it mean to be short what does it mean to be long there's a couple of different ways we'll start with with these okay Europe is short distillate now is Europe a trading company are we talking about the EU here so does that mean that Europe has sold distillate that they don't own and need to buy it back no well is it what does it mean when we say Europe is short dis...