Quote:
Originally Posted by ppc123
If traders want to buy and sell the same pair, they do need to use up more of their limited margin quota. What problem actually is raised in such hedging activities?
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real hedging is for -- real business transaction
when product will be delivered, and we are not sure how will future USD and EURO performed
factory pay the fx market for certainty, the trader pay the fx market with volatility -- if you buy and sell in same level, you lost permium, unless you got the feed and you are the broker yourself (the firm)