How do you manage gap risk on your overnight stock positions?

Discussion in 'Risk Management' started by JTrades, Nov 27, 2014.

  1. At the very least, hedge your book to dollar neutral or beta neutral with ETFs. They're cheap to trade, cheap to borrow, and have super low capital requirements.
     
    #31     Jan 30, 2015
  2. In simple terms, the Gap Trading Strategies are a rigorously defined trading system that uses specific criteria to enter and exit. Trailing stops are defined to limit loss and protect profits. The simplest method for determining your own ability to successfully trade gaps is to paper trade. Paper trading does not involve any real transaction. Instead, one writes down or logs an entry signal and then does the same for an exit signal. Then subtract commissions and slippage to determine your potential profit or loss.
     
    #32     Jan 31, 2015
  3. JTrades

    JTrades

    Why copy and paste something irrelevant from another website?
     
    #33     Jan 31, 2015
  4. Scaleout.Scalper

    Scaleout.Scalper Guest

    #34     Jan 31, 2015