This is actually a great idea. Using options for insurance
won't affect the integrity of the system (since you're not selling
or buying outside of signals). Matt, you might want to
consider this rather than using stops.
Well, of course you'd have to discount the cost of the hedge to
the trade and it would definitely affect overall profits and
performance. Probably best for use on a discretionary basis to help
sleep at night whilst following system signals rigorously...
Newsletter
Subscribe to our email list for regular free market updates
as well as a chance to get coupons!
This is actually a great
Portfolio Armour
Posted by algyros on 10th of Aug 2011 at 09:06 am
This is actually a great idea. Using options for insurance won't affect the integrity of the system (since you're not selling or buying outside of signals). Matt, you might want to consider this rather than using stops.
Well, of course you'd have
Posted by Vida on 10th of Aug 2011 at 09:40 am
Well, of course you'd have to discount the cost of the hedge to the trade and it would definitely affect overall profits and performance. Probably best for use on a discretionary basis to help sleep at night whilst following system signals rigorously...