new idea trading

[SgesrcesyNudesSga]

An idea popped in my head as I laid in bed.

How profitable is it if you've got two separate forex accounts such as on Oanda. And you own a trend egy on one account and also a range egy on the opposite. So whenever you've got a signal on either account, you just do a reverse order on the opposite account

For example

You receive a buy signal on USD/CHF on a fashion account, which means you take a long order. At precisely the same time, you brief USD/CHF on the account.

So when the reduction on one account gets to a specific sum, you closed that commerce and let the trade in the other account reap in greater profits.

I am confident you can do clever money management with this particular technique. I feel that this way you can be on the right side of a trade.
I wonder how this technique will do in the long run provided that you limit the losses to minimal when you recognize it...

[axSesstric]

I don't think that it's that publication of an idea, but why do you want two accounts?

[SgesrcesyNudesSga]

I see a book and it says if you implement two distinct egies you'll get a return that is greater in the end. It is what you might forex diversifiion. So you implement a tendency egy plus a range egy each on another account (main and sub account)

History have shown that those who fade (range transaction ) often get increased percent wins but smaller profits. Although those who follow tendency lose a lot more but have greater profits. So with spans where your fashion process is having successive losses, your range system will pick up the slack. If you know what I mean it is kind of each system.

Therefore I was wondering just how great it would be if you take this to another level of having two opposite orders each time a machine gives a sign to buy or sell. .

[cotesdoono]

. . .you're close !

[SgesrcesyNudesSga]

For example I went long on usd/chf, but it's 40 pips against me. I'd have 40 pips profit if I had short usd/chf on another account.

Maybe I'll work with this in the future..it's intriguing

[gutesnescesTaoures]

I read about that in a book. Basically it's a glorified straddle. You put say $250 in one account, $250 in another account, and choose the exact same trade. When a definitive move happens in one direction or another, the account that's about the losing side of the trade margins outside, while another side goes on to take the profits. You are net profit is whatever you make from the account minus the $250 in the account.

In consequence it's like a poor-man's FX option except it does not expire.

[CesrSttGC05]

It is going to wind a zero sum game IMHO-Seems just like you'd be a Rich man in 1 account and a Poor guy in the other.

[esgesTirnu]

U r doing hedging....profit and minus = 0

[SgesrcesyNudesSga]

It's true from merely celebrating this' logic is I will end up split.
That is where you implement exit egies and money management.

I do not think you ought to use exactly the same number of lots and prevent losses on both accounts. The trade for each account must follow the principles of the system that you look.
And from my very limited experience, you often have smaller discontinue losses in range system than in fashion system. Therefore, if you obey the rule of trading no longer than 2% equity, then that translates to utilizing less lots for system which use prevent losses.

So let's say you have a stop loss of 150 pips under market of a very long usd/chf. You decide to buy 500 lots (approx 5 cents/pip with 500 equity). At the same time your range egy states you add a stop loss at 70 pips under market so that you decide to brief with 1400 lots (aprox 14 cents/pip).

So the opposite trades are executed and you observe that the fad account is -50 against you. You might want to shut that commerce and allow the range strategy reap its profits. Or if the range account is -50 pips from youpersonally, you might close this trade and perhaps buy more lots inthe fad account.
I believe this technique also involves some technical analysis to figure out where to add positions and stuff. .

[SgesrcesyNudesSga]

so..this is hedging?!?!

I knew what that meant all of this time..it's funny that idea just came to me..hehe