How I Hedged a Losing Trade

[@TradingHeroes]

Watch my beginner's guide to hedging here: kzbin.info/www/bejne/l5-1eHSGfdWtqNE Watch all of my hedging videos here: kzbin.info/aero/PLOn0-_K-aYvRtCAS-wm9VuUw4ozdIS8kF

[@SiyamthandaX]

Please keep providing these videos 😢

[@funny11744]

WHAT TIME FRAME WAS IN THIS VIDEO ? 5 MINUTE ??

[@pnwjss]

He mentioned in the video that 5M

[@mrask803]

With how much % of the account you enter in one of those 4 shorts? Thanks !

[@TradingHeroes]

Cannot use % risk with this style of hedging because there is no stop loss.

[@SkywalkFPV]

@@TradingHeroes He did not ask for % risk?.. But how much % of the account balance, like how much units/lots did you take on in each trade? And furthermore no there is indeed no stop loss in play, so you basically could lose the whole account balance, if major news hit, internet connection fails, power outage maybe having a stroke, very high risk!..

[@alexeyflx4949]

@@SkywalkFPV he uses an opposing position (the hedge) instead of a stop loss, which protects risk in the events you mentioned. If price moves heavily against his position, the opposing trade is triggered which will cancel out the losses of the initial position. This makes it impossible for you to lose the whole account balance because your PNL is frozen (the profits from the opposing hedge position cancel out the losing position). You can't state a specific lot size to use for these trades because it depends on your specific account balance, he uses a lot size that is small relative to his account balance (ex: using 0.5 lots on a 20k account) to have enough margin to handle multiple open positions. Internet connection failure and power outages don't matter because the pending hedge order is set on the broker's server. The protecting hedge order will be filled regardless of internet and power issues as the broker has already recieved the order on their end and doesn't need your internet to be working to trigger the order.

[@naratrades]

@@SkywalkFPV i think just put the hedge right at ur stoploss after u know how much size and risk % for the trade. if you're fully hedged, ur loss is always locked. u can start to roll off from there or just close both positions.

[@SkywalkFPV]

@@naratrades Either way it seems like the most risky strategy, having multiple exposed positions open, to potentially lock just small amounts of profit, like you also recommend taking.. So trading the more traditional fixed positions while understanding market movements is just more for me, instead of juggling around with it.. But very interesting for sure, keep smashing the profits, cheers!

[@rahim4u75]

I am doing trade with some broker here in UAE, I have invested much more money in it and I am facing big loss on it and some five positions are in hedge position due to his wrong trade and my broker keep on saying me to put more credit on it which I don’t have any more to invest, kindly help me to recover from this problem please 🙏

[@TradingHeroes]

You need to have a plan before you open the trades. Once the trades are open, there usually isn't much that can be done.