Recent content by solidme

I've made a little test in sym: I've converted all my funds in USD, open a stock position grater than my funds (+-10%) and tried to see difference when hedging with the Future or Virtual FX So far I noticed: Costs: - Future: buying 1 contract of M6E @MKT cost 0.33 EUR - VFX: Commission on...

The options are a lot and it is quite difficult to understand the implication of all. it is matter of getting used to different tools and solution. I will make some test on the paper trading account and if cost are similar I will go for the simpler solution

I Just found that IBKR have two types of FX trade: FXConv that is actually a currency conversion and VIRTUAL FX Position, that is virtual you don’t covert . Is not sclera how it works what are the implication on margin and if you are borrowing anything . Do you know more?

indeed now that the EUR is getting stronger I feel more the need of an hedge :)

I still dont have a capital that needs a 6E but I think rolling at the right time the M6E will not be much effort.

I am holding EUR and IBKR make me buy us stocks with a margin loan so I don’t have to convert to USD, so I am now paying borrowing and margin costs. While this system is convenient for short term trading, I am now holding positions for weeks this make me also subject to Currency risk . So I...

Just checked: the margin required for a contract of M6E is 558.82$ This makes the future margin wise more convenient than an ETF that has a margin req of 25% of the value . @Lpw54 I'am from EU and Indeed I've to check what's the real cost and margin of maintaining an FX position fo the same size

That's very interesting ifo, I guess the M6E contract also mentioned by @Real Money will take 1/10 of the capital compared to 6E and give me lot of flexibility.

Another question I have is how much ETF or futures will impact your buying power

that’s more or less what I thought to do but hedging the whole account and not single positions that would be easier.

Yes that’s indeed what I want to avoid, the issue with converting all to usd is that if I don’t hedge the EUR value of my account and PNL can be eroded if EUR appreciate against USD

my Broker is Interactive Broker. Indeed I also consider ETF and Options I did not do a real calculation of what is cheaper but reading around seems that the Future is a simpler/cheaper choice. I will do a check

I am looking for a good simple way to edge currency risk 1) I have a base EUR currency account and I mainly trade USD stocks. At the moment I have all my funds in EUR and use the Margin Loan in USD, but of course I pay interest In my Account Window > Market value I have: - a positive EUR...

Same situation here, with a huge amount of thing to learn and little time, but without rushing I am building my way