Option hedging strategy

 

No matter how secure you are when trading binary options, market transactions always involve some degree of risk.

How to reduce risk and save profit? For this, traders use options hedging strategies. The essence of this strategy is to simultaneously open opposite options in order to minimize possible losses.

Simply put, a trader has two binary options for the same financial instrument. One option is for a Call (increase in the market price from the initial value), and the other for a Put (decrease in the market price from the initial value).

Let's deal with this!  

A simple option hedging strategy is presented in the vfxAlert blog based on Donchian Channel (DC) and MACD and confirmation from vfxAlert signals.

Hedging Pocket Option binary strategy works on all timeframes. It is also recommended to use OTC quotes. They have a higher percentage of profits.


More detailed in the video - https://youtu.be/KjMHqIobixg

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