Hi Dave,
I 100% agree with your statement below.
I have to admit that i tried hedging many moons ago in my rookie years but found that at the end of the day whether hedged or not it all came down to making a 'DECISION'.Hedging is not the edge its a way of managing positions.What gets you in/out of those hedged positions is your edge.
You don't make money because your hedged,you make money from reading the plays correctly imho.
I think many know that forex is a very different beast to other markets in its dynamics and so rather than hedging i now place wide stops and trade trends.
We are all different i guess and its only natural that we approach the markets in a different way,each to their own.To be honest,after trying hedging,i hated it.
I do one shot one kill.That's what i am comfortable with.
BTW,i just wanted to say that i enjoy reading your posts,keep it up.
Cheers
Steve
I 100% agree with your statement below.
I have to admit that i tried hedging many moons ago in my rookie years but found that at the end of the day whether hedged or not it all came down to making a 'DECISION'.Hedging is not the edge its a way of managing positions.What gets you in/out of those hedged positions is your edge.
You don't make money because your hedged,you make money from reading the plays correctly imho.
QuoteDislikedWhether hedged or not, the trader has to make the same decision when to go net long or short, and it's how accurately this decision is made around the price movement that determines the P/L. So I would (very respectfully) argue that it's ultimately the analysis (i.e. knowledge of market behavior and probabilities) that provides the winning edge, not the hedge itself.
I think many know that forex is a very different beast to other markets in its dynamics and so rather than hedging i now place wide stops and trade trends.
We are all different i guess and its only natural that we approach the markets in a different way,each to their own.To be honest,after trying hedging,i hated it.
I do one shot one kill.That's what i am comfortable with.
BTW,i just wanted to say that i enjoy reading your posts,keep it up.
Cheers
Steve