What is Fundamental Analysis and Hedging Strategy? (Know more http://feeds.feedburner.com/BOBrokerReviews) Many day traders us…

What is Fundamental Analysis and Hedging Strategy?

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Many day traders use this strategy. Though, it’s not so much of a strategy as it is a tool designed to help traders grasp an asset with more accuracy. The goal of this strategy is to get data about your asset so you can profit from that asset later on.

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If you’re unfamiliar with a particular asset and the market is volatile and has the potential for wins, place a small trade on that asset. Do this to test out a strategy that you think will be profitable. If your strategy works, then you can place a larger amount on that asset for bigger gains.

The Hedging Strategy!!!
This simple but not always accurate strategy is worth trying out as a newbie.

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This process involves placing both a call and a put option on an asset at the exact same time. No matter where the price may go, youโ€™ll still make money. Still, you will need to accurately calculate the risk and cost of losing that option to ensure that you donโ€™t actually lose that money when your trades expire.


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