Forex hedging strategy 2013 nba
Instead of placing one trade, we place multiple trades forming a grid pattern. I’ll explain this in more detail below, but that’s the basic idea. What is grid trading and how does it work? Grid trading is a play on market volatility. There are two reasons why it’s favored by forex traders. In this article I’ll give some practical examples of grid trading setups, and explain under what conditions grids work as well as their weaknesses.
You can download my Excel spreadsheet below to develop your own grid trading scenarios. The basic idea is that any losing trades can be offset by the profitable ones. Ideally, at some point the entire system of trades becomes positive. We would then close out any remaining positions and the profit is realized.