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Technical Analysis Fallacy

  • #6,601
  • Apr 14, 2009 11:49pm Apr 14, 2009 11:49pm
Quoting jest1081
now if this "hedging" thing is abt shorting and longing the same currency at the same time, then i dun see why it should not be banned.

i believe fti has covered this once before.

anyway i dont ever know why they would even call this hedging, sounds more like pigging to me.

ah, dun wanna get into another argument on this,bottom line for me is this is a crap feature which only encourages pigging
Hi Jest,

"pigging" - nice terminus ;-)
Beside the possibility of "leveraging your leverage" or let's call it "expanding your margin" you are basically right ...

But as Piksy has stated before: There will be no changes with my Swiss located broker ;-)

Wish you a great trading day.

CU,
MaMood
  • #6,602
  • Apr 15, 2009 12:28am Apr 15, 2009 12:28am
Quoting MaMood
Hi David,

have no idea what the new NFA rules are saying in detail and if that way of hedging will be stopped, but you are not right with your opinion above. There is a very strong advantage with hedging the same account regarding your marging usage. Perhaps that could only be of interest when you are doing some very high leveraged trading/scalping like my way of PowerDancing ...

Have to do some research about the new rules.

Thanx @Auxesis for the info!

Regards,
MaMood
Hi, MaMood:

The "hedging" does have some phychological benefit. But for a pro trader it is should not be the problem of closing trades instead of openning an opposite position no matter what market conditions or how much he lost or won.

Anothe potential benefit of it could be "you won't lose your positions" but "hedging" adds more problems no matter which way it goes after hedging. It makes trading more complicated in my opinion.

Maybe you could give a real case how you used this trick to tell us the benefit.
  • #6,603
  • Apr 15, 2009 2:14am Apr 15, 2009 2:14am
Quoting piksy
NFA is US National Futures Association. That means new rules apply to US based brokers. For EU (and Swiss) based broker everything remains the same.
Hi all

Little consideration:

It may mean an outflow of capital from the U.S. to EUROPE and ASIA.

  • #6,604
  • Apr 15, 2009 2:21am Apr 15, 2009 2:21am
Quoting Gro
Hi all

Little consideration:

It may mean an outflow of capital from the U.S. in EUROPE and ASIA.

(maybe there is a purpose ... ).


I dont think the retail spotfx side holds that much of money anyway , currency is mainly between banks ... and the big players plays on futures ...
I dont think fx spot players in US represents more than 200mill totally ...
I could be wrong though ...
To Live is the rarest thing in the world , Most people exist , that is all
  • #6,605
  • Apr 15, 2009 2:33am Apr 15, 2009 2:33am
Quoting maheswara
I dont think the retail spotfx side holds that much of money anyway , currency is mainly between banks ... and the big players plays on futures ...
I dont think fx spot players in US represents more than 200mill totally ...
I could be wrong though ...
Hi maheswara
I consider the alternatives.
Some "big players" are moving to Asia.I read it long before that ... etc.
  • #6,606
  • Apr 15, 2009 2:41am Apr 15, 2009 2:41am
Quoting Gro
Hi maheswara
I consider the alternatives.
Some "big players" are moving to Asia.I read it long before that ... etc.
yeah, I think I ve read it somewer too ,

ps: woa , euro bounced 2 pips before 1.3200, I imagined there would ve been many orders there in 3200 , Y wouldnt the MM take out that level ...
To Live is the rarest thing in the world , Most people exist , that is all
  • #6,607
  • Apr 15, 2009 2:59am Apr 15, 2009 2:59am
I was one of those sold on that level....now resque.......if i get out soon I'll be looking for long scout !
  • #6,608
  • Apr 15, 2009 3:00am Apr 15, 2009 3:00am
Quoting maheswara
yeah, I think I ve read it somewer too ,

ps: woa , euro bounced 2 pips before 1.3200, I imagined there would ve been many orders there in 3200 , Y wouldnt the MM take out that level ...

Hi maheswara

I monitoring 4860, 3230
  • #6,609
  • Apr 15, 2009 3:00am Apr 15, 2009 3:00am
Looks like reversal patern but I hope to test one more time !
  • #6,610
  • Apr 15, 2009 3:00am Apr 15, 2009 3:00am
look at it this way. brokers originally are FIFO type, there is no such thing as seperate orders, like what u get in metatrader

and fti's method approach is based on averaging, and as such, this thing called hedging is basically evening off or reduce the position.
  • #6,611
  • Apr 15, 2009 3:12am Apr 15, 2009 3:12am
Yeah I sold super small too at 3205 , like 0.05 scout , he was bailed out few mins back ... already made my profit today , so im just gonna watch out till something good comes out ,
euro doesnt seem too eager to follow pound, lets see ...
To Live is the rarest thing in the world , Most people exist , that is all
  • #6,612
  • Apr 15, 2009 3:16am Apr 15, 2009 3:16am
I am positive It will test around those levels again....Bernanke just texted me to confirm !
  • #6,613
  • Apr 15, 2009 3:19am Apr 15, 2009 3:19am
Quoting Marlon
I am positive It will test around those levels again....Bernanke just texted me to confirm !
lol , can u send my regards to uncle Ben too ...
To Live is the rarest thing in the world , Most people exist , that is all
  • #6,614
  • Apr 15, 2009 3:19am Apr 15, 2009 3:19am
Here we come !
  • #6,615
  • Apr 15, 2009 3:26am Apr 15, 2009 3:26am
Squared on a profit...long scout in b 32150 !
  • #6,616
  • Apr 15, 2009 3:28am Apr 15, 2009 3:28am
Uncle Ben said long !
  • #6,617
  • Apr 15, 2009 3:29am Apr 15, 2009 3:29am
L2: B 32210 !
  • #6,618
  • Apr 15, 2009 3:35am Apr 15, 2009 3:35am
L3: B32260
  • #6,619
  • Apr 15, 2009 3:38am Apr 15, 2009 3:38am
Uncle Ben said break the resistance !
  • #6,620
  • Apr 15, 2009 3:39am Apr 15, 2009 3:39am
Mmmmmmmmmmmmm attack by book !
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