Hedging

[sofialilly]

Does hedging help online Forex traders?

[CheekyChops]

Why have u created 4 or 5 usernames to ask your homework questions?

You should have put all the questions into one posting.

[adamjoselin]

It most certainly does as hedging is a risk-management tool and is an important asset if a Forex trader knows how to use it. A Forex trader can maintain a long and a short position on the same currency when hedging a trade at the same time with no extra margin. This offsets risks in spite of market trends as any one of the positions would show a profit while the other would be at loss of the same size. A Forex trader would not gain or lose money on a hedged position even when the market fluctuates. Please check out: http://www.ismarkets.com for further explanation.

[factor-fiction]

Hi cheekychops. I thought it was homework at first but as you've probably realised too, this isn't homework, this is a user with dozens of IDs who posts many questions then answers them all himself/herself with an advert and link to a site which no doubt pays him/her commission if we click on it. Hopefully it's not just me and sara3 who are reporting this abuse of AB.