What is hedging in Forex?

[John Baldock 0]

Hi, I would like to learn more about hedging in Forex.

[Tobias Jackson 0]

Hi, thank you for asking this question! 

Hedging is a way to avoid the risk of losing money due to fluctuating exchange rates. For instance, a company can reduce the risk by shorting the Euro and buying the USD. That way, if the dollar rose in value, the profits from the trade would offset the losses on the other side and vice versa.

[Alexander Vaughan 0]

Forex is an interesting domain, and you can make a lot of money on foreign exchange transaction rates if you know how to predict the market. There are a lot of strategies you can use to raise your portfolio up on the market. You just need to follow them. Even if you are not a professional in this domain, only by understanding when the trend is going up and when it is going down, you can make a lot of money. Open a demo forex account and try your luck. I am sure you won't be disappointed about that.