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No-Loss Hedging Strategies (Hype vs Reality)

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No-Loss Hedging Strategies (Hype vs Reality)


Can you have a hedging strategy without any losses?

This article will answer that question.

I’m going take a realistic view of trading strategies which claim to win 100 percent of the time.

I’ll first define no-loss. I’ll then share strategies. And I’ll review them all based on the backtesting I did.

Are there any strategies that guarantee no loss?

There is no trading strategy with 100% success. 

This is simply not possible.

Trading strategies that claim they can place on a number of trades will be completed at a Net profit100% of the Time

It’s a huge difference.

Let’s say, for example, that a hedging plan makes a series trades with the following outcomes:

  • +$112
  • -$39
  • +$453
  • -$99

The trades resulted in a net profit of +$427 but there was also a Win rate of 50%.

Overall, the result was positive even though there were some losing trades in this set. 

Even if you don’t win every time, a strategy can still be useful if its net profits are high over a long time period.

Let’s see what they are and I will give you my opinion. opinion Based on my own experience, I can’t support their claims.

No-Loss Hedging Strategies

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