Multiple accounts & hedging disasters - help!

Discussion in 'Order Execution' started by xtrhvydty, May 30, 2005.

  1. What's the ideal account setup with adequate hedge protection?? For example:

    1. (1) IB margin account for long-term /swing trading equities
    2. (1) IB margin acct for day trading equities, long/short selling of the same equity.
    3. (1) IB futures acct for trading ES or YM.
    4. (1) account with a 2nd broker for emergencies

    Hedges for crashes or locks:
    1. (1) ea permanent Call/Put option on ES
    2. Hedge ES with the YM via IB (online) or 2nd broker (phone).

    Questions:
    1. What's wrong the above setup? Will this protect me during a 911-style crash?
    2. Who do you reccommend for the 2nd broker?
    3. How many contracts is a call/put option on the ES or YM? 1 or 100? (I don't do options).
    4. If I stick to short-selling only in this choppy market, do I even need any hedge protection?

    many thanks
     

  2. =======
    XTR-trader.
    1 ] Some of the ways i like to handle risk;
    Semi sector is in long trerm downtrends, and so 30 year fixed mortgages/ARMs also.

    2] And since most of trends are down for semisector;
    mostly up for homebuilders,trade/invest that way.

    :cool:

    3]Good thing our enemies dont understand tek analysis; or they wouldnt have struck on 911/helped downtrends.:cool:

    4]Cutting losses & profits mount as planned & you implied;
    has been good business and trading a bit smaller since homebuilders have been in better uptrends.

    Divide your merchandise amoung 7 ,8 maybe.
    -Solomon,trader king