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Just learned about hedging, does anyone use it for scalping?

  • #341
  • Sep 7, 2020 4:09pm Sep 7, 2020 4:09pm
Quoting moodybot
{quote} The issue is the removal of threads that 'upset' the apple cart. You need to head back into history and start trailing those involved.
Yes moodybot ,RickM and a few others, you even have a red badge that identifies you.
  • #342
  • Sep 7, 2020 4:41pm Sep 7, 2020 4:41pm
Quoting STrading
{quote} Yes moodybot ,RickM and a few others, you even have a red badge that identifies you.

Oh really.
There used to be a 'red badge on here'... managed overnight from typing perfect English to Austrian/German English.
Now he ran around the forums pissing on various parades, why he was given someone else's login is beyond me but it wasn't to difficult to work what was going on.
A certain member has been here a long time, pops up every now and again, the threads end up getting trashed one way or another.
I sent a mate over to read the thread, first thing he said was, yep hedging, going to get trashed.
It's been a while since that happened.
  • #343
  • Sep 7, 2020 4:54pm Sep 7, 2020 4:54pm
I am afraid, I have more of the stuffs, the uneducated so called anti-hedgers, can't cope with.

There were so many technical facts they did not know about the animal they are fighting with (hedging)... it is just amazing how low they are, while calling others with names...

Just waiting now. They still cant provide any meaningful explanation of a sinking balance in the negatives, while equity is being locked or growing?

How would they?

They did not know about the close by closure of hedged trades?

They did not know about the spread control during closures using close by?

They did not know if there are many trades to be closed, there is no better way to lock their profit, different from opening a hedge and then close by against each other?

I am sure they will not understand the last NEW thing...

And they comment on equity curves? With their not even limited knowledge?!? They simply know nothing, different from: STUPID FUCKING SHIT. Check their posts!

I am here. And will torture you, my dear ignorants, when I want to and whenever I want to.
Maadik Hugiis. IQ 69.
  • #344
  • Sep 7, 2020 6:02pm Sep 7, 2020 6:02pm
Quoting moodybot
{quote} Oh really. There used to be a 'red badge on here'... managed overnight from typing perfect English to Austrian/German English. Now he ran around the forums pissing on various parades, why he was given someone else's login is beyond me but it wasn't to difficult to work what was going on. A certain member has been here a long time, pops up every now and again, the threads end up getting trashed one way or another. I sent a mate over to read the thread, first thing he said was, yep hedging, going to get trashed. It's been a while since that...
Yes really.
I have no idea what you are talking about.
  • #345
  • Sep 7, 2020 6:11pm Sep 7, 2020 6:11pm
All hands to the pumps..
  • #346
  • Sep 7, 2020 6:16pm Sep 7, 2020 6:16pm
One down. I think 3 more to go.
  • #347
  • Sep 7, 2020 6:20pm Sep 7, 2020 6:20pm
Quoting MoneyZilla
I am here. And will torture you, my dear ignorants, when I want to and whenever I want to.
To be honest my brain does hurt a little after reading your post. Your doing a good job.
  • #348
  • Sep 7, 2020 6:26pm Sep 7, 2020 6:26pm
Quoting MoneyZilla
Just waiting now. They still cant provide any meaningful explanation of a sinking balance in the negatives, while equity is being locked or growing?
You originally asked for an explanation for your equity curve. I did that. Now, you want an explanation for this. Here goes. You have a negative balance and a growing equity because your "hedges" have driven balance negative, but your equity is growing due to a net buy or sell position that is making you money. It's not a fucking mystery. More important, you have a broker that allows you to run with a negative balance, whereas, some brokers may margin call you on a negative balance or negative equity. Again, if your equity is rising, it's because you are net long or short. The negative balance, if allowed by your broker, is not the important discussion point. The rising equity is the point. And equity is rising not because of the "hedge" but because you are net long or short. The stuff "hedged" is meaningless to rising equity. Only the net stuff is making you money.
  • #349
  • Sep 7, 2020 6:38pm Sep 7, 2020 6:38pm
Quoting GEfx
{quote} You originally asked for an explanation for your equity curve. I did that. Now, you want an explanation for this. Here goes. You have a negative balance and a growing equity because your "hedges" have driven balance negative, but your equity is growing due to a net buy or sell position that is making you money. It's not a fucking mystery. More important, you have a broker that allows you to run with a negative balance, whereas, some brokers may margin call you on a negative balance or negative equity. Again, if your equity is rising, it's...
Come on man whats wrong with you? You cant come here and reveal is secret, now the mods are going to bin this thread for sure.
Cant have the hedging secret be revealed to the world.
  • #350
  • Sep 7, 2020 6:47pm Sep 7, 2020 6:47pm
Quoting TimeTells
So is the 'cost of doing business" important - sure. Is the cost of doing business more important than securing a profit from your trades - maybe not Either way we trade on.
The use of "hedge" is not based on strategy but psychology. There is no hidden strategy. Somehow hedgers see profit in both direction, that's their unique way they see hedge and somehow they feel more connected to the market, a case of touching your nose with your arms around your head. Their justification is as what TT wrote here.
Know what you trade
  • #351
  • Sep 7, 2020 7:00pm Sep 7, 2020 7:00pm
up and down day!!!
  • #352
  • Sep 7, 2020 7:58pm Sep 7, 2020 7:58pm
Quoting BWilliam
{quote} The use of "hedge" is not based on strategy but psychology. There is no hidden strategy. Somehow hedgers see profit in both direction, that's their unique way they see hedge and somehow they feel more connected to the market, a case of touching your nose with your arms around your head. Their justification is as what TT wrote here.

Cheers BW.

I guess if we could all get to a point in the middle where there is no massive POLARITY then there is some progress.

polarity example

YES ‘hedging’ is a marvellous strategy/tool that will NEVER let you lose.
NO hedging cannot work out positively EVER and is a trick of the mind.


In the past I have seen traders on here intelligently, through their use of whatever assessment basis, determine that a pairs price will rise.

So they initiate a BUY trade at a ‘point’ in the market where they believe a directional up movement “should” now occur.

They might use a 90 pip SL vs a 180 pip TP for example as an R:R style (not my style tho).


That same trader then sees price drop markedly. Maybe down TO their SL line. Or certainly into a huge DD (ie 60 pips).

Many traders might be close to a breakdown of sorts in such a scenario or doubt their original assessments accuracy altogether.


However, those with the trading availability to hedge (‘my’ hedge, tho NOT USA) within the same pair at the same time could re-assess their open trade (at around 20 pips DD etc for example) and determine that a DD will be necessary in this trade until it reverses and resumes in the (traders’) expected direction.

Or they could close their trade for a 20 pip loss and maybe even reverse their trade direction afterwards after stopping/closing the original trade.

Or they could just close the trade and say “I made a wrong assessment (& why did that happen?)”


Or, if hedging between a 20 pip DD down to a maybe 60 pip DD (on the original buy trade for example) the trader, if able, could have initiated a sell hedge earlier and gone into a 40 pip profit on the SELL trade.

While still in a 60 pip DD on the original buy trade, but being still locked at an aggregate 20 pip loss at this point.

If the sell hedge was then closed somewhere near when the price reverses (skill/guess/luck lol be VERY wary) then a 40 pip profit is already in the a/c, with the current 60 pip DD now heading back towards break-even or maybe profit (if the trader’s original assessment ‘becomes’ correct). (or price goes further down for an even greater loss situation - please be wary & don't try anything before demo !!!!).

If all this happens intra-day then a spread (and/or commission cost) on both trades is attached. The cost of doing business.

If held overnight then a swap cost (negative both direction sides of most pair trades nowadays - check it out) is attached to the trades.


If NO REVERSAL happens then DD remains. Close trade for 20 pip loss and cop it on the chin.

If holding onto the trades, a trader might rebalance it at that point with either a new buy OR sell and off they go again with risk management on a (renewed) trade.

If FULL REVERSAL happens then two trades become in profit -or one back at BE.


Psychology or strategy ? Doesn’t really matter.


IS THIS MY PREFERRED WAY OF TRADING ?

HELL NO.

I prefer to be trading IN the direction of current price movement (with whomever/whatever is moving price lol) with ME in the mix.

Done either from getting on the movement train maybe at an exhaustion point of a huge & prior move. Or getting on the train when any centrally balanced structure starts moving away from the mean.

That’s another story of course, but much easier on the trading nerves.


IMHO no need for any arguments, disagreements, ad-hominens or d!ck swinging on any FF thread.


This is a business, treat it as such (my recommendation).


All the best to all.
Pete
  • #353
  • Sep 8, 2020 12:13am Sep 8, 2020 12:13am
Quoting MoneyZilla
{quote} They don't even KNOW what they speak... With most brokers, who allow hedging, THERE IS NO SECOND COMMISSION on the second trade! Most brokers do allow the CLOSE BY function and only one commission is paid on the full round, when CLOSE BY is in use... They don't know simple trading facts. Not to speak about simple HEDGING FACTS. Also, ignoring the visual example provided, plus having zero knowledge on how trades can be closed by, bypaying just one commission, instead of two, speaks highly of their TRADING EXPERTISE on the matter......
LUCKY golden trades, LUCKY gold investor trading style
  • #354
  • Sep 8, 2020 12:24am Sep 8, 2020 12:24am
Quoting GEfx
{quote} You originally asked for an explanation for your equity curve. I did that. Now, you want an explanation for this. Here goes. You have a negative balance and a growing equity because your "hedges" have driven balance negative, but your equity is growing due to a net buy or sell position that is making you money. It's not a fucking mystery. More important, you have a broker that allows you to run with a negative balance, whereas, some brokers may margin call you on a negative balance or negative equity. Again,...

Fucking being used, again, as a convincing point or unlike my, makes the point more COHERENT?!?

What a nice try... but NOT EVEN CLOSE...

Net long does not explain, as the rate does RETRACE, you know.

What happens when the rate retraces and someone is a net long/short?!?

The equity curve... does WHAT?

You see? Here, the equity is flat. There is no net long/short when flat... Almost flat. Then jumps up? This is the place where I close the hedge, allowing the net long to GROW THE EQUITY. Then the hedge is open once again to LOCK THE EQUITY.

The hedge stays open in probably 95% to 99% of the whole time... dunno the exact stats, but it closes for a very tiny periods of time.

That is what HEDGING EXACTLY IS. To choose to close THE LOSER and REMIAN WITH THE WINNER. At the right time. Then hedge/lock again. Then let the winner run. Then hedge again. Ext.

It does appear, hedging works, and it is profitable, as looking at the provided equty curve, there is no mystery of which trade to be closed, when needed... The loser is always the trade that has being closed in order for the winner to collect without almost no any limitations on the HEDGED PIPS.
Maadik Hugiis. IQ 69.
  • #355
  • Sep 8, 2020 1:41am Sep 8, 2020 1:41am
Quoting MoneyZilla
{quote} Fucking being used, again, as a convincing point or unlike my, makes the point more COHERENT?!? What a nice try... but NOT EVEN CLOSE... Net long does not explain, as the rate does RETRACE, you know. What happens when the rate retraces and someone is a net long/short?!? The equity curve... does WHAT? You see? Here, the equity is flat. There is no net long/short when flat... Almost flat. Then jumps up? This is the place where I close the hedge, allowing the net long to GROW THE...
this hedging privilege is only for us that can do hedging. for those who can't hedge coz their brokers or their country not allowing it, they wouldn't be able to see or experience it. of course hedging is more complex than not hedging. everyone has the right to trade the way they want and not being harassed by anyone. many people only talk, but not really sharing anything. they will condemn others, but not providing anything.

what is the point of saying, closed 10pips, closed 100pips, or 1000pips, but not sharing how entry is made and telling entry at the beginning? it is just talk, show off or just bs.
LUCKY golden trades, LUCKY gold investor trading style
  • #356
  • Sep 8, 2020 4:59am Sep 8, 2020 4:59am
Quoting moodybot
{quote} . The issue is not with the Op's idea. Anyone trying that idea is welcome to it. The issue is that you have been on this forum a long time, and your motivation to disrupt various threads remains questionable. Previous threads that may have an element or suggestion that hedging may help, or no stop loss is mentioned, toads descend out of nowhere. My time line of how a thread is removed is entirely accurate. Yes, brain cells are missing but only from those following the same template to clear out a thread. Perhaps just block the threads as...
Oh, poor you having to deal with people who don't tolerate the dumbest shit and call it out, and then it ends-up in the bin... rightly so.

Poor, poor you. It's entirely curious that you are more concerned about what I'm doing than the utter lack of quality across the board.

As for hedging, it's an easy fucking target yet y'all keep sucking on that hedging fallacy (that being that any of this shit remotely resembled hedging, never mind the bucket of irrational justifications people make for deluding themselves so hardcore). It SHOULD be the easiest fucking thing in the world to clear-up for people, yet here we are still seeing the same garbage trotted-out time after time in an attempt to justify nedging. It's adorable, really.

If you want to open a quality thread do you think you have any concern from the likes of me rocking-up? Of course not. But in the meantime, if I feel the desire to poke at the brainless shit I see I may just decide to do so.

Nothing whatsoever was lost in this thread. Quiet observers nod in agreement with the things I've said, and those of others, and shake their heads along with us at some of the nonsense spewed in threads like this. It is what it is.

As for "removal of threads", only you have brought this up. That's your contribution to this thread, and your current fixation. It's cute.

Have a cry.
Congratulations ScalaFX for coming out of the closet!
  • #357
  • Sep 8, 2020 5:09am Sep 8, 2020 5:09am
Quoting nubcake
{quote} Oh, poor you having to deal with people who don't tolerate the dumbest shit and call it out, and then it ends-up in the bin... rightly so. Poor, poor you. It's entirely curious that you are more concerned about what I'm doing than the utter lack of quality across the board. As for hedging, it's an easy fucking target yet y'all keep sucking on that hedging fallacy (that being that any of this shit remotely resembled hedging, never mind the bucket of irrational justifications people make for deluding themselves so hardcore). It SHOULD be the...
Do what you like cock. You have the run of the board.
  • #358
  • Sep 8, 2020 5:15am Sep 8, 2020 5:15am
Quoting MoneyZilla
{quote} Fucking being used, again, as a convincing point or unlike my, makes the point more COHERENT?!? What a nice try... but NOT EVEN CLOSE... Net long does not explain, as the rate does RETRACE, you know. What happens when the rate retraces and someone is a net long/short?!? The equity curve... does WHAT? You see? Here, the equity is flat. There is no net long/short when flat... Almost flat. Then jumps up? This is the place where I close the hedge, allowing the net long to GROW THE...
@MoneyZilla, I understand the system now.
The only issue is to identify the "trend" I assume... May I ask you how you handle this?

Best regards,
Renko
  • #359
  • Sep 8, 2020 5:17am Sep 8, 2020 5:17am
Quoting moodybot
{quote} Do what you like cock. You have the run of the board.
Thanks babe. I mean, I only stop by every so often. I'm glad it makes an impression on your poor little self. And when I do stop in to take a look it's still the same old garbage. Warms my heart to know some things never change. Stupidity is immortal.

kiss kiss hug hug. I can tell you've missed me.
Congratulations ScalaFX for coming out of the closet!
  • #360
  • Sep 8, 2020 5:27am Sep 8, 2020 5:27am
Quoting nubcake
{quote} Thanks babe. I mean, I only stop by every so often. I'm glad it makes an impression on your poor little self. And when I do stop in to take a look it's still the same old garbage. Warms my heart to know some things never change. Stupidity is immortal. kiss kiss hug hug. I can tell you've missed me.
How could I miss you, you monitor everyday... office hours..
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