Mathematical systems and signs to make money with Online Binary Options

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When to use a hedging strategy?

A hedging strategy is one that is used to cover a possible loss. An example: we have invested in binary options in the pair consisting of the euro and the dollar betting that this will rise in price to end the day. But a story that makes us think that we have not made ​​the right decision occurs. At that time we can buy binary options counterclockwise to at least try to cover the loss that we will have the first investment.

Some brokers do not allow hedging strategies, so we will need accounts with different options brokers to carry out this strategy. What it does allow, in some cases, is to use a command to get out at any time of trading and cut losses or profits; there is also an order to lengthen it, and can thus continue with the option for another day, for example, in exchange for a commission.

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If it is a binary option to an hour, the most common, the hedging strategy is complicated, especially for newbies, because you have to act fast. In the case of business a day is easier to act.

Anyway keep in mind that we err in our second scheme, so that should end both options at the same time, which is not very simple, so that in this way acertemos at least one of them.

Most people use a hedging strategy in two ways: when fears have been wrong but it is not one hundred percent sure, in which case plays similar amounts for whatever happens to stay with the same money. There's always going to be accurate because the brokers do not have to offer the same benefits, but if so.

The other way is when we are sure that we were wrong, in these cases often play a larger amount in the second bet, so as to cover the losses and profits are charged, but always the risk that things go wrong again and find ourselves how we win the first option and lose the second, much more substantial.

It must never neglect the possibility of losing when a hedging strategy is done, so it is a type of trading that you should not habitually employ.

 


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