Trading opposite pairs

What is wrong with trading opposite pairs.
e.g. AUD/USD and USD/AUD
While one is going up the other is going down as it did a few hours ago (4hr chart).
Is this folly or a reasonable long and short gamble.

Are you wanting to hedge? Why would you want to do this? You would just be locking a position into place. Maybe if you are using an arbitrage strategy and looking to take advantage of price discrepancies between two brokers this strategy would make sense but other than that I dont see the point.

Think you are somewhat confused. AUSUSD is a pair. It never gets quoted as USDAUD. And if it ever did you would be doubling your risk. Not a very good thing to do.

Thanks for your response.
No i was thinking (i am not trading yet)
That you could go long on one and short the other, in effect double-dipping .
Ice and Saxo, according to trading view, offer both pairs.
Of course you would need confirmation of the trend to make it work

Yes sir i figured thats what you meant but still…regardless of trend confirmation or not, lets say you go long on 1 platform and short on another, whats the point? Whats the strategy? The only benefit would be if you employ an arbitrage strategy to take advantage of pricing inefficency but there is a level of sophistication and means that with all due respect might be beyond you.
So with that being said as a retail trader how do you plan on profiting from going short and long on the same pair?
Your essentially just locking a position into place.

Please dont take this post the wrong way I mean no disrespect I just want to know how you plan to benefit from this strategy.

Best of luck to you my friend.

Thanks for your interest… this is my reasoning and please remember i have zero experience in forex trading.
The (AUDUSD) AUD is increasing in value against the USD
So the chart is uptrending, go long, at the same time on your second chart (USDAUD) the USD is declining against the AUD, go short.
Double- dip.
So, hypothetically…
TP at 400pips on the long position and TP at -400pips on the short position.
This was totally an idea, a priori, no history, no experience, no facts just a query to those in the know

There’s nothing to be gained strategically from buying AUD/USD and simultaneously selling USD/AUD. All you have done is double your financial exposure to the same underlying mechanisms. If you wanted to do that, you should just double the size of your AUD/USD long.

Of course, this doubles your risk too if price goes against you…

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So simple… thank you
Beejay

Good point, of course. Hadn’t thought it through all the way. Thanks for=
the simple and obvious answer

You can actually try it on a demo account. What happens is you’ll just be paying the spread on both trades but each will cancel the other out so you make no profit. If it moves long 100 pips you’ll make 100 pips on the long but lose 100 pips on the short: equaling overall 0 pips but you’ve paid the broker the spread on both.

No quite, the opposite pairs are moving in opposite directions, and that is the long and short of it. Lol.
Tommor fully sorted it, here is what he replied…
"There’s nothing to be gained strategically from buying AUD/USD and simultaneously selling USD/AUD. All you have done is double your financial exposure to the same underlying mechanisms. If you wanted to do that, you should just double the size of your AUD/USD long.

Of course, this doubles your risk too if price goes against you…"

Fully sorted, bro’ and thanks for looking in

I wasnt talking about financial exposure but if you got it then cool.

I’m sorry that i missed your point… my original post was:
The (AUDUSD) AUD is increasing in value against the USD
So the chart is uptrending, go long, at the same time on your second chart (USDAUD) the USD is declining against the AUD, go short…

That’s what i meant by opposite pairs so i was confused when you said that the short would cancel out the long. That was all

Sometimes it can really help, especially if you are trading at really strong levels that are clearly visible from the main asset, so the main thing here is to be a little more careful, because it can both help and mislead you…

My friends say that they often use this format of work, especially if they are limited in time or trade on short positions.
One friend says that it is not worth doing this - in general, as always, as many traders - so many opinions. You have to choose what you liked and test everything in practice - I see no other way.

So true, so true

I’m sorry that i missed your point… my original post was:
The (AUDUSD) AUD is increasing in value against the USD
So the chart is uptrending, go long, at the same time on your second chart (USDAUD) the USD is declining against the AUD, go short…

That’s what i meant by opposite pairs so i was confused when you said that the short would cancel out the long. That was all

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