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Hedging.

Discussion in 'General Forex Discussion' started by Robert Dudash, Sep 13, 2019.

  1. Robert Dudash

    Robert Dudash ECZ Member

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    Hedging is basically a strategy which is intended to reduce possible risks in case prices movement against your trade. We can think of it with something like “insurance policy” which protects us from particular risk consider your trade here. To protect against a loss from a price fluctuation in future, you usually open an offsetting position in a related security. Traders and investors usually use hedging when they are not sure which way the market will be heading. Ideally, hedging reduces risks to almost zero, and you end up paying only the broker's fee.
     
  2. John Hussy

    John Hussy ECZ Member

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    In spite of a profitable trading policy scalping cannot use in a reputed trading broker due to many restrictions. So, we the scalpers have to choose the broker which permits scalping including lowest trading spreads.
     
  3. PinkSugar

    PinkSugar ECZ Member

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    There are many strategies which are restricted due to many reasons. Many brokers are not supporting scalping and hedging, because the risk associated with it.