Hedging is a common practice in trading; effective responses can turn passivity into proactivity. The core strategies for efficient handling are as follows:
1. Flexibly implement strategies based on position depth
- Mild hedging (small floating loss): timely release during a rebound or reduce positions at highs to control risks.
- Deep hedging (large floating loss): reduce positions in batches to retain strength, avoid emotional trading to expand losses.
2. Precisely release hedging combined with technical analysis
- High position hedging: stop loss when the trend weakens to prevent further losses.
- Medium position hedging: observe the trend, exit on a rebound or gradually reduce positions.
- Low position hedging: wait for stabilization signals, add positions at key support levels to lower costs, and choose the right time to release hedging.
3. Make rational decisions in line with trends
- Rising trend: firmly hold to await profits.
- Fluctuating market: gradually exit at interval highs to reduce losses.
- Declining trend: decisively stop loss to avoid deep hedging.
Key to trading: precise analysis determines direction, strict risk control (light positions, set stop losses, do not hold positions), maintain a stable mindset (avoid emotional trading). Excellent traders find opportunities in crises, seize the initiative amid changes, and only with rationality can they proceed steadily.