Hedging strategy
Submitted by darkside on August 24, 2008 - 09:20.
I'm really curious does anyone here use hedging strategy in Forex and makes money with it? There are no hedging strategies discussed on this site, and I personally don't think that it is possible to make money with it. There are, however people who swear that they make money and furthermore reduce risk by using hedging. If there are some, please share your thoughts. Thank you
Hedging isn't simple, that's why not every trader is going for it imho.
Simple hedging may include two currency pairs.
More complicated one can have even more.
Even more complicated to me is hedging currency position in Forex with, say, trading options.
Is hedging profitable? I believe it is from what I read about it, however I never committed to try it out on regular basis.
I don't know if Edward of his guys have some hedging strategies, there is really nothing on the web about it, but I may add few strategies if someone is interested.
Rich
Hedging concept is about reducing risks and making money on daily rollovers. The trick is to find the right approach to balance trading positions in order to come out profitable. Plus having large account to sustain temporary losses is important.
Fary
I'm interested. Waiting for your strategies, Rich :)
Rich, I'm interested in the hedging strategies. Please add. Thanks.
Well, I asked Edward what would be the best way to add my strategies, may be making a new web page. He said that in may case since I'm not the author of those strategies [I wrote the summary down some time ago while reading stuff about hedging], it would be better if I post them in the forum.
They'll be ready today or tomorrow.
Rich
I've added two strategies:
http://forex-strategies-revealed.com/hedging-strategy
http://forex-strategies-revealed.com/node/167
Got another one, but it's in the file (3.5MB). Can't upload it here. Have sent to admins, hope they post it soon.
That's all I have about hedging.
Good luck!
Rich
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