A hedging order is a type of trade used to reduce or remove the risk caused by price changes in the market. It works by opening an opposite trade with the same size as your current position.
For example, if you have a buy position of 1 lot on EUR/USD, a hedging order would be a sell order of 1 lot on the same pair.
No extra margin is required for hedging orders. The purpose of a hedging order is to limit possible losses, not to make a profit.
Partial hedging is also possible. This means opening an opposite order with a smaller volume than the original trade. It helps reduce risk, but still leaves part of the trade open to market changes.