about hedging

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Hedging is just a single way that a trader can restrain the measure of risk they go up against. Such a lot of being a trader is money and risk organization, that having another gadget like hedging in the weapons store is inconceivably useful. Not all retail forex brokers consider hedging inside their platforms. Influence sure to investigate totally the broker you to use before beginning to trade.
 
Hedging is just a single way that a trader can restrain the measure of risk they go up against. Such a lot of being a trader is money and risk organization, that having another gadget like hedging in the weapons store is inconceivably useful. Not all retail forex brokers consider hedging inside their platforms. Influence sure to investigate totally the broker you to use before beginning to trade.

Do you know any hedging methods other than futures and options? What about spread betting?
 
Traders use to use the hedge strategy in order to compensate the loss of an unadequate move in a trade. It is a protective technique to save the money loss due to a silly or wrong move. A perfect hedge is a situation when a trader nullify the existing position on a trade.
 
Forex traders can use the hedge in two different currencies as well. For example, you can go long on the EUR/USD and short on the EUR/CHF for nullifying the effect of the existing trade. It is a good technique when the probability of the risk become certain.
 
Personally I don't know a lot of traders who use hedging for risk minimization. It's a good solution, but only if you know what you're doing, because if you open a deal incorrectly, you risk losing a doubled amount of money.
 
Hedging is the way to minimize or nullify the loss and end up the trade with no profit/no loss. If you think that you committed a mistake then you can use it in order to stay safe from huge losses. Many experienced traders use it as their fundamental trading assault. Thanks!
 
Beginners should note that hedging involves additional costs to open new lock positions, which may lead to a shortage of funds on the deposit. Therefore, use these operations should be carefully read all the nuances; if possible, you will need to consult with experienced traders.
 
Beginners should note that hedging involves additional costs to open new lock positions, which may lead to a shortage of funds on the deposit. Therefore, use these operations should be carefully read all the nuances; if possible, you will need to consult with experienced traders.
i understand and get all the information above but it is an interesting concept to understand and could help to save an account that may be in a bad situation. not that i would be looking to hedge postions on a reguler basis there have been times where i would like to understand it better rather than just cutting my positions
 
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