Hedging or Scalping?

[Guest Suzsi]

Which is better for new traders with limited funds and risk tolerance: hedging or scalping?

[⭐ TRAD3R.GURU]

Which is better for new traders with limited funds and risk tolerance: hedging or scalping?

Trading is not suitable for limited funds or risk tolerance. In trading, first rule is to risk max one percent on one trade (symbol) at any given time. If funds are limited, this is biggest issue. With limited funds, people try to take big risk to take big rewards and this might work for some times but eventually they blow up all there account.

[samesheet]

Which is better for new traders with limited funds and risk tolerance: hedging or scalping?

They serve different purposes that is why can't be compared.

[samesheet]

Well, it all depends on the Market situation and to do it properly, you need to learn about Market Analysis.

 

What is the best way to learn market analysis? Are there any good resources to learn some basic techniques of analysis?

[Investfox]

Scalping is taking a few pips off a market overshoot. Hedging isnvolves (in it's most basic form) using one financial instrument to generate profit, and another to minimize risk.

[FXOpen Trading]

Scalping is taking a few pips off a market overshoot. Hedging isnvolves (in it's most basic form) using one financial instrument to generate profit, and another to minimize risk.

 

We will need to better understand that if the trades are being done by us involve Hedged trades then the income we are going to get from one currency will also get neutralized by the losses we are going to get in another currency.

[samesheet]

Don't bother arguing with the anti-hedging clique.

I use similar strategy and it works for me. MACD divergence is a guaranteed money maker.

 

Can you explain how to use MACD correctly? Any specific periods as correct settings to make it work

[CryptoFluxor]

Hedging and scalping are two distinct forex strategies. Hedging reduces risk by opening opposing positions, protecting capital during volatility. Scalping seeks frequent, small profits from short-term price movements. Each suits different traders, risk tolerance, execution speed, and broker conditions. Choose based on discipline, costs, and market behavior, and experience levels.

[CRYPTOHUSTLER]

Hedging and scalping are two different trading approaches. Hedging is mainly used to protect positions and limit losses during market uncertainty. Scalping aims to capture small profits from quick price movements. Hedging suits cautious traders, while scalping demands fast decisions, focus, and solid market experience.

[hhduy]

Hedging is safer for long-term traders during high market volatility. It helps to protect my account balance when the price moves against my main position. It is a good way to minimize risk as you mentioned.