How is it possible that being an account Hedge, the Equity decreases?

Daniel5812

Tham gia từ Jul 23, 2013 1bài viết

Jan 26, 2015 at 20:16

Tham gia từ Jul 23, 2013 1bài viết

This is real situation that I encounter, I’ve got several trades GBPUSD (MT4) in 100% Hedge and every day I’ve got minus Equity, …. ???
It’s possible to reach zero and lost the account?

How is possible to happens, normally with hedge we can stay invariably for long time??

Someone could be help me…

CrazyTrader

Tham gia từ Nov 21, 2011 1601bài viết

Jan 26, 2015 at 20:49

Tham gia từ Nov 21, 2011 1601bài viết

Please find out about swap

christianhoegh

Tham gia từ Nov 03, 2014 4bài viết

Jan 27, 2015 at 07:10

Tham gia từ Nov 03, 2014 4bài viết

It's the swap.

blownaccount

Tham gia từ Aug 30, 2012 64bài viết

Jan 28, 2015 at 07:47

Tham gia từ Aug 30, 2012 64bài viết

Spreads ;)

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Species8472

Tham gia từ Jan 15, 2014 29bài viết

Jan 29, 2015 at 03:36

Tham gia từ Jan 15, 2014 29bài viết

Its the swap like these guys are saying but it will depend on the direction of the currency. Some currency have a positive swap in one direction and a negative swap in the other direction.

Some swaps are negative in both directions.

I wish there was super liquied currency with positive swaps in either direction.

CrazyTrader

Tham gia từ Nov 21, 2011 1601bài viết

Feb 01, 2015 at 11:56

Tham gia từ Nov 21, 2011 1601bài viết

Species8472 posted:
Its the swap like these guys are saying but it will depend on the direction of the currency. Some currency have a positive swap in one direction and a negative swap in the other direction.

Some swaps are negative in both directions.

I wish there was super liquied currency with positive swaps in either direction.

There is no "but"
Once you are hedging... it doesn't matter because the negative swap will always be higher from positive swap... as brokers are also taking commissions from swap.

EURUSD	1.13538	GBPUSD	1.33396	AUDUSD	0.63959
USDJPY	142.724	USDCAD	1.38172	USDCHF	0.82345

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How is it possible that being an account Hedge, the Equity decreases?