"No loss" recovery hedging system - page 6

To add comments, please log in or register
DaleV
6
DaleV  
Where are advantages of hedging? Tradecosts are double high. Thats biggest disadvantage in my mind.
Doerk Hilger
1526
Doerk Hilger  
Thats not right. You pay the spread once when you open a position, by this it makes no difference if you turn and open a new position or if you hedge. Its only a matter of taste. Imho the biggest disadvantage is the confusion, you always have to add the PL of the longs to the PL of the shorts, thats what makes mathematically no sense .... but the balance is kept. But the balance is worthless ... its only cosmetics.
GammaSoul
259
GammaSoul  
Doerk Hilger:
Thats not right. You pay the spread once when you open a position, by this it makes no difference if you turn and open a new position or if you hedge. Its only a matter of taste. Imho the biggest disadvantage is the confusion, you always have to add the PL of the longs to the PL of the shorts, thats what makes mathematically no sense .... but the balance is kept. But the balance is worthless ... its only cosmetics.
Trade cost will be doubling if you are using an ecn broker who charges commission on each actual trade that is opened and closed.
Doerk Hilger
1526
Doerk Hilger  

True, but the commission is also charged when you turn your position instead of hedging it. It was claimed that hedging is more expensive and doubles the costs, this is simply not true.

I dont use hedging at all, just wanted to clarify this issue.

syrvn 0
135
syrvn 0  

Hi, I am currently looking into Chris' hedging EA. There is a formula to calculate the "expected loss in case system is unable to open new positions" (see below). For R10 it results in -102,881. For e.g. when entry level for EUR/USD is 1.1300 the Recovery Line is 1.1350 (50 Pips). Does anybody know, how to calculate the expected loss in EUR?

For a SELL position, when all 10 hedging positions are open and the current price is 1.1350 (Recovery Line), I know that all BUY orders should be Zero (0). Summing up the lot sizes for all SELL orders results in 0.77. The difference in price (recovery-entry) = 0.0050. Having these information I can calculate the expected loss: 0.0050 * 0.77 * 100.000 / 1.1350 = 339.21 EUR.

However, I struggle to calculate the loss in EUR using -102.881 LotPips.

Lot Sizes

Expected Loss

Charles Herman Voukeng Ngueguim
1158
Charles Herman Voukeng Ngueguim  

Hi

Is there any version of this EA that can open trades itself? Or is it just to hedge already opened trades?

Guan Wang
2265
Guan Wang  

I like this hedging idea, but Chris never explained how his improved version works. 

He mentioned "trigonometry". If someone here "gets it" please share. If Chris wants to come back and comment that would be cool as well. :)

Ali irwan
5136
Ali irwan  

Hedging system is very dangerous

GACHANJAERIC
1
GACHANJAERIC  

Hi Chris,

How do I get the system?

Mark Freeman
131
Mark Freeman  
GACHANJAERIC:

Hi Chris,

How do I get the system?


Hey Chris will you take a look at my system, its fully automated, ( ill get you the demo version its the same thing) and give me some feed back? ill get you a link if you message me privately.

To add comments, please log in or register