1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

About EA's

Discussion in 'Beginners Bootcamp' started by MPstaples, Feb 20, 2011.

  1. MPstaples

    MPstaples Recruit

    Joined:
    Feb 12, 2011
    Messages:
    2
    Likes Received:
    0
    Being new to this stuff I was wondering: The trades are quoted in offsetting pairs. When the Euro is going up, the USD is going down relative to the Euro, and visa versa. Why would you not load up two MT4 platforms trading through two different brokers, one taking a long position on Euros and the other on USD. When Euros drops, the EA trades on USD. When USD drops, the EA trades on Euros. And why not do this for all of the major currencies... or at least set up trades on ALL of the majors?
     
  2. f-man

    f-man 4Xangels Representative

    Joined:
    Dec 5, 2010
    Messages:
    762
    Likes Received:
    14
    I am not sure if I answer your question, because I think you are confused about what you actually trade in Forex. You can not buy or sell a single currency. When you buy a rate (EURUSD for example) you actually buy one currency and sell the other.
    If you are not in the US, you can hedge and buy AND sell the same currency pair simultaneously. You don't need to do it with a different broker. But you realize that one position is winning and the other one is loosing!

    Concerning the EAs, if you have a specific strategy, you can have somebody code it for you. There are also "ready" EAs that are programmed to use hedging strategies to make profits.

    I hope this helps you somehow. If you have a more specific question, go ahead and ask it here.
     
  3. Jona

    Jona Recruit

    Joined:
    Mar 6, 2011
    Messages:
    6
    Likes Received:
    0
    IMO there is some sense in your thoughts, but as far as I see the most important think for a newbie is to create your own trading strategy. And to horn trad. skills through manual trading. I know, you need time and patience for that, but there is no another way to learn how to trade.
     
  4. trader_john

    trader_john Recruit

    Joined:
    Mar 14, 2011
    Messages:
    3
    Likes Received:
    0
    My friend, this operation called hedging. In this way you will have no profit. When one goes up another one will go down and your profit will be 0. However, this operation is popular on NFA regulated brokers, they don't allow to hedge positions.
     

Share This Page