i agree with you completely, rather hedging is very risky to trade and we should always be careful about this . with hedging you lose the spread but on the other hand if something doesn't go according to your plan then you get the losses in both the trades as well which means you will get double the losses.
Hedging is a risky strategy for the new traders as they may not have the right information about the price where it may go further. Some time the forex trader can buy and sell at the same time and wait for the time to take the benefits. But if they know when the price can bounce back, they can get the benefits to make money in both sides, or they may lose more in both sides .
Hedging can be profitable when you fully understand it, I don't think it is a system that can be used on its own, you need to combine it with support and resistance and maybe Candlestick before you can earn from it, don't use it out of ignorance, it can be dangerous that way.
Hedging might be risky but it does not stop it from being highly profitable too, see we need to stop thinking attitude of thinking that whatever we don't understand is impossible, there are obviously many traders who use this strategy to rake in profits for themselves on a regular basis, so what are we talking about here.
You will not make profits from hedging without a great sense of understanding, the challenge sometimes is trying to apply a strategy that works for someone else and thinking you will obtain same performance results, I don't like to hedge though, but we cannot be condemning it just like that.
Hedging is most challenging trading strategy in which maximum chances of loosing money . If opened trade is on perfect market trend then trader can earn big profit . But due to nay reason if market changed it's movement then trader can loose big money . So hedging is not suitable for simple trader . This trading strategy can destroy all of capital money .
When the value of the dollar falls, 100% hedging the embedded currency portfolio from international investments will incur foreign exchange losses. Both the unhedged and 100% hedged US international investor, then, are making a significant bet on the USD, and portfolio outcomes will be impacted.
hello members of mt5 and experience moderators of mt5,
what do you think about risk to use hedging because I think hedging always give us a big lose in face of spread fees cut and also it waste our time and again we depend on it, if we do not do hedging so it will be good for us, what do you think about to leave hedging ?
Hedging is good, but we do not know where the prices are going to next time. But we do not know the market, and as the first order becomes incorrect entry, so the second hedging order may also proved to be incorrect entry. So, both are equal opening or not opening.
Forex have to accept more invest and more risky. Foex hedging means heart jeine retired strong careful in order to boan fides sleep to give fun. Forex contains 100% risk i agree it. We find the power of vanturesome every where forex. My note is somewhat right.
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