I can't give you a number. Everytime I give a "number" it is used by someone who won't change it as the market changes, and then whines that it doesn't work. I get nasty emails about that.

So...first check page three of the FAQ to see a good rule of thumb starting point for your hedge lot size. Then consider the market you are in and your goals. I set my hedge far away as I don't want it hit. Others set it close because they want it involved in trading. I find that a close hedge lot simply gets hit a lot and costs money.

Once you have used page 3 of the FAQ to calculate your starting point on hedge size, then you can make it bigger or smaller. Both have benefits...

BIGGER HEDGE - this is great in a market that hits the maxdrawdown at full speed and keeps going. The hedge profits will pile up. But, if it just touches the first hedge position and reverses, you can wipe out many days of profits.

SMALLER HEDGE - this is great in a market that just touches your maxdrawdown and returns. The hedge lot loss will be small and perhaps you will still have a net profit day. It serves it's purpose as insurance. But, if it goes through that hedge and keeps running, you have only slowed down the speed of the drawdown.

So, my answer is a question - what do you think the market for your currency is going to do when/if it hits your hedge? Run through it or turn around?

Hope that helps,
Bill