It’s sad but everything will have already been done tried and tested
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@Trendswithbenefits what are you trying to say here? Should I have just kept my mouth shut and let everyone believe this is a “magical” strategy?
I know there are many effective hedging strategies, I have used them with positive results. But this particular strategy is not one of them.
Too many people in here running around telling everyone what they should and shouldn’t be doing!! I throw up some ideas from time to time and say give it a go on a Demo…
We aren’t the thought Police here… He has posted an idea, let him trial it for himself, he may try something you or @Tommor hasn’t thought of… Who knows?
I don’t post anywhere here telling members something doesn’t work… And I read a shite load of garbage that I know is a waste of time… I don’t open a post and rant about it… I just read through…
The only way most people learn is trial and error… As long as all the error is done on a Demo account then no harm done… These markets are diverse, there is 1000’s of ways to trade them, win or lose…
Just because you or I didn’t make it work… Doesn’t mean everyone will fail…
Similar reason I have left Orion’s thread… He already has 3 people advising him on what to do with his strategy… Will it be successful? Who knows? I saw a fault in the methodology instantly… I’m not going to add to the confusion…
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my grid is not static (market is not static)
i wait for the best time that i think it is good to take the profit and reopen 2opposites trades
I demonstrated this concept about 4 years ago… Even had a spat with Forex-com (Member) over the merits of the strategy and traded a Grid for a few days successfully, just to prove my point.
I’d post it… If I could find it!.. 2018-2019? (See Below)
As has been pointed out… You can be left with a lot of open trades… While I do understand your Close All concept to limit the risk or garnish a profit… This was relatively safe to do when margin was 1:400 as 0.05 lot margin was about $22 a position, now with the 1:30 requirement the same lot size is about $455!!
There are many threads on BP, even browse through Forex Factory about Hedging (Grid trading). Maybe have a read through as many as you can find and take as many ideas as you can to improve your concept.
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If there’s a holy grail, it will be a hedging strategy.
Been dependable and thinking a strategy fool proof,when things start to go.wrong that when the neurosis might start to kick in
right
in our case this is a demo account play money
but i do want to find out if this strategy can make some profit or no
let s find out
I would be pretty confident it will make money and the equity curve will be positive though lumpy. This will continue until the day when your ranging chart turns into a trending chart, when the equity curve will drop like a stone.
Unless you insert some form of circuit breaker rule which exits everything. How often this is triggered will then determine whether long run this is sufficiently profitable to be worth the risk, effort and considerable tied up margin.
in this case i am thinking about letting the buy trade hold on to the sell trade until the stone hits bottom and market go in a range this based on true FACT that market is 70% in a range
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I think this will do what every mechanical hedging strategy I’ve seen does, and work well for a time but crash spectacularly and wipe everything out in one day.
I can’t foresee any mechanical hedging strategy being robust long term. However with knowledge and correlated markets, I can see hedging being very profitable. That is what hedge funds do after all.
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It’s because most retail traders do everything half-arsed… Instead of really looking at how to protect themselves in these markets… Most have nothing but a Stop Loss and a prayer for risk management.
As I displayed in a post over 4 years ago… You find the top and the bottom of the ranging channel you are trading and Close All once these levels have been breached…
Any Price Action outside of these predefined levels can be deemed as a breakout or trend…
It’s not Rocket Science… Just needs research, development and perseverance.
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You just lock loss and spend money on spreads, the market can’t be gamed lol
Which broker do you work with?
you mean brokers can’t be gamed