Is Forex trading just gambling? – Swing Trading Weekly Options

Yes, you can trade currency like a gambler. But there are many reasons to be cautious.

First of all, your trading is risky – you can lose your entire investment.

Second of all, you have to keep track of the positions yourself. Also, you don’t understand how cryptocurrencies work. You don’t understand how their markets work at all. And, of course, you can’t invest in cryptocurrencies until you learn about them.

Third, you have to manage your own currency portfolio in order to protect it with multiple accounts or an investment plan. There are many risks.

Fourth, the way cryptocurrency trading works, everything happens in milliseconds. You have to be fast and reactive to the market before you get your money back.

Fifth, if you lose money, you can’t be liable for anything. You can’t be charged for any losses, you have to prove you were the victim. All in all, you can’t profit, no matter how much you win in bitcoin or if you manage a cryptocurrency portfolio.

So here is the best way in which you may profit by hedging your currency. And there is only one option: you keep track of your holdings by using a cryptocurrency exchange.

Step by step how cryptocurrency hedging works

Step One: How you could hedge

First of all, you decide your starting position to buy or sell. Then you decide on the price you want to set. There are 3 different options – you cannot take any positions bigger than $1000, for example.

Step Two: How much you can trade

When you are done hedges, you can decide to buy or sell. For this, you should make sure you have an account with a crypto exchange. And then, you can get to your trading account. This can be any of the following accounts – Coinbase, Poloniex, Kraken or Bitstamp:

Step Three: How many cryptocurrencies

Now you have two options to manage your investments – you can decide on the number of cryptocurrency pairs you want to hedge to purchase a whole lot. You can choose 1,5 or 10 of them depending on which you prefer.

Step Four: How to trade the positions

If you trade in a currency pair where your margin account was, you can move the amount in bitcoin from one currency pair to another. This is called “margin trading”.

Alternatively, you can just add a bitcoin to every cryptocurrencies account.

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Is Forex trading just gambling? – Swing Trading Weekly Options
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