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Hedging/averaging trades without prediction

  • #1,481
  • Dec 5, 2022 8:55pm Dec 5, 2022 8:55pm
Quoting davelansing
{quote} Here ya go... https://www.forexfactory.com/yazzie A "couple" of key posts, lol, from 2013-14: https://www.forexfactory.com/thread/...60#post7170360 https://www.forexfactory.com/thread/...59#post7182259 https://www.forexfactory.com/thread/...43#post7183343 https://www.forexfactory.com/thread/...66#post7205066 https://www.forexfactory.com/thread/...91#post7509191 https://www.forexfactory.com/thread/...61#post7510361 https://www.forexfactory.com/thread/...77#post7640177...
Interesting posts. I'm running something similar but with 28 pairs. Returns aren't as aggressive as yazzie's but so is the DD.
  • #1,482
  • Dec 5, 2022 11:06pm Dec 5, 2022 11:06pm
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  • #1,483
  • Dec 5, 2022 11:07pm Dec 5, 2022 11:07pm
Quoting sampat
https://www.youtube.com/watch?v=46voScF9VCQ
That's right, because hedging is work, SL is cop out.
1.02^200
  • #1,484
  • Dec 5, 2022 11:37pm Dec 5, 2022 11:37pm
Quoting sampat
https://www.youtube.com/watch?v=46voScF9VCQ
Thanks for posting that! It goes into all the psychological aspects regarding hedging (that in my opinion are all positive). The mind is the biggest enemy when trading and hedging is a very powerful tool for that.
  • #1,485
  • Dec 6, 2022 1:31am Dec 6, 2022 1:31am
Options are the hedger's best friend. Regardless of what you are trading and how, there are futures or equity options you can use to mitigate your risk. Show me any trade and I will show you how to hedge it using options.
"If The Fool persists in his Folly he will become wise." - William Blake
  • #1,486
  • Dec 6, 2022 3:55am Dec 6, 2022 3:55am
Quoting sampat
https://www.youtube.com/watch?v=46voScF9VCQ
Yeah that's a good video. I think most fail at this because they don't know how to roll off, can't be bothered to learn it or are too greedy.

Make sure you roll it off!

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  • #1,487
  • Dec 6, 2022 7:10am Dec 6, 2022 7:10am
Quoting The Fool
Options are the hedger's best friend. Regardless of what you are trading and how, there are futures or equity options you can use to mitigate your risk. Show me any trade and I will show you how to hedge it using options.
Using options is proper way of hedging as there is literally no loss except premium on loosing side. The problem with forex futures and options is they require high margin about 4.5 to 5K to trade futures per lot (1.25 MT4 lots) and they (options) are not tradable outside market hours (New York). Since they are options any Index based hedging strategies applied to forex options.
  • #1,488
  • Dec 6, 2022 7:38am Dec 6, 2022 7:38am
Get the skills.
Inserted Video
1.02^200
  • #1,489
  • Dec 6, 2022 8:18am Dec 6, 2022 8:18am
WAIT isn't every forex pair a hedge ? its called a PAIR for a reason
  • #1,490
  • Dec 6, 2022 8:27am Dec 6, 2022 8:27am
Quoting fxValue
WAIT isn't every forex pair a hedge ? its called a PAIR for a reason
Everything traded has to be a pair. Think about it.
  • #1,491
  • Dec 6, 2022 8:29am Dec 6, 2022 8:29am
Quoting d5400
Get the skills. https://www.youtube.com/watch?v=jnoiTX0xZ0Y
Cool, I could have done with a sword and shield last Saturday night at the train station....
  • #1,492
  • Dec 6, 2022 8:45am Dec 6, 2022 8:45am
Quoting Fagin
{quote} Everything traded has to be a pair. Think about it.
Every trader is a pair.
1.02^200
  • #1,493
  • Dec 6, 2022 9:30am Dec 6, 2022 9:30am
2% again. Thanks Rob. I'll be true to my motto.
1.02^200
  • #1,494
  • Edited Dec 7, 2022 4:47am Dec 6, 2022 11:54am | Edited Dec 7, 2022 4:47am
No significant update with the EURUSD sell basket as of 12:45pm, EST... no new open/closed trades. BE still @ 1.0394..

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might fund a subaccount and open trades opposite to my primary account shown in the screenshots, i.e. if I'm selling EURUSD/Buying AUDUSD or GBPUSD in my primary account, then the subaccount trades would be sell AUDUSD or GBPUSD and buy EURUSD....it would just cost me overnight swap fees... hmm, just a thought... might as well benefit from movement on both sides of the aisle, lol
  • #1,495
  • Dec 6, 2022 2:40pm Dec 6, 2022 2:40pm
Another positive one ending with +120 Pips

Left a lot on the table... But thats the learning curve I guess!

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at the end... +1% to the account only trading the morning session
  • #1,496
  • Dec 7, 2022 4:35am Dec 7, 2022 4:35am
Update as of 5:35 am EST... opened GBPUSD buy trade...current status of EURUSD sell basket...

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  • #1,497
  • Dec 7, 2022 5:16am Dec 7, 2022 5:16am
So far today....
Trading 3 pairs today. AU, EG, GU
Frankfurt open really made some fun

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fun making 207 Pips
  • #1,498
  • Dec 7, 2022 9:54am Dec 7, 2022 9:54am
Ending the day with:

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really impressive for just setting up some absolutely random trades until I started to average the drawdown...
  • #1,499
  • Dec 7, 2022 9:57am Dec 7, 2022 9:57am
Quoting Mr.Moe
Ending the day with: {image} really impressive for just setting up some absolutely random trades until I started to average the drawdown...
problems will only occur in a runawaymarket with averaging. but then you have to change tactics when you smell it;-)
trading is like dancing, don't think and just listen to the music!
  • #1,500
  • Dec 7, 2022 10:15am Dec 7, 2022 10:15am
Quoting Mr.Moe
So far today.... Trading 3 pairs today. AU, EG, GU Frankfurt open really made some fun {image} {image} {image} fun making 207 Pips
I like the way you wait for both sides to go into profit. I just collapse everything when I'm done.
1.02^200
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