What happens if even hedging, it loses?
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Eurex Intraday Volatility Forecast
- Thread starter ssp729
- Start date
What happens if even hedging, it loses?
If you lose you lose. Every business has losses.
What i meant to say is if the loss is small compared to not hedging. It looks like "picking up pennies in front of a steamroller"
The margin requirement on a spread is a lot less than on an outright.
Instead of being in front of the steamroller, follow behind.
folowing behind is buying a one tick option as hedge e.g credit spread?The margin requirement on a spread is a lot less than on an outright.
Instead of being in front of the steamroller, follow behind.
How do you define trend?Buy options as a protection?