Hedging GBP/JPY (Arbitrage trading system)

lewi · #1 (**permalink**) 01-07-2006, 11:00 AM

Hi fellow traders,

I found a way to hedge GBP/JPY From one broker (interest positive) against another broker (interest free) so we can collect only interest.
I recently trade live and receive $2.16 daily.
The only thing you have todo is find interest free broker.

Regards,
Lewi

ajoh31 · #2 (**permalink**) 01-07-2006, 04:03 PM

Who is the interest free broker that you use?

doobyanil · #3 (**permalink**) 01-07-2006, 05:41 PM

Hello Lewi,
Could you post some more details on the system.
thanks
anil

zupcon · #4 (**permalink**) 01-07-2006, 08:03 PM

Quote:

Originally Posted by ajoh31

Who is the interest free broker that you use?

I believe that FXCM can provide such an account.

lewi · #5 (**permalink**) 01-08-2006, 05:56 AM

Marketiva, FXCM and FXTrader.Net

Lyubomir · #6 (**permalink**) 01-19-2006, 01:35 AM

Very interesting...

Lewi, what are your initial capitals in each account, how much is your trade size and how long have you been holding the position?

I guess your lot size is about 0.2

I also believe that at some time you'll have to transfer funds from one account to the other in order to keep margin level high. Depending on your initial deposits in your accounts you'll have to do this many times during the year, am I right?

lewi · #7 (**permalink**) 01-20-2006, 02:24 AM

Quote:

Originally Posted by Lyubomir

Very interesting...

Lewi, what are your initial capitals in each account, how much is your trade size and how long have you been holding the position?

I guess your lot size is about 0.2

I also believe that at some time you'll have to transfer funds from one account to the other in order to keep margin level high. Depending on your initial deposits in your accounts you'll have to do this many times during the year, am I right?

I funded both my account each $1000 and only play 1 minilot. So far I never need to transfer funds because its only 2 months from where I start this strategy.

Beluck · #8 (**permalink**) 01-22-2006, 11:30 AM

Quote:

Originally Posted by lewi

Marketiva, FXCM and FXTrader.Net

i had a chat with fxcm support person and he told me that fxcm does have overnight rollover fees.
can you provide a link on their website with info about "interest-free"?

lewi · #9 (**permalink**) 01-25-2006, 02:35 PM

Quote:

Originally Posted by Beluck

i had a chat with fxcm support person and he told me that fxcm does have overnight rollover fees.
can you provide a link on their website with info about "interest-free"?

see this page http://www.forexfactory.com/forexfor...ead.php?t=3862

johnboy · #10 (**permalink**) 07-14-2006, 05:48 PM

hi all im new to this new group,

i have been looking into this hedging idea an love it, i know of an interest free broker in europe

heres my plan,would love to know if its possible, its looking good in my head!!

put enough in the two accounts to get 10 100k lots of gbp/jpy(usuing maximum leverage)

go long 10 lots in the interest free account

go short 10 lots in the non interest free account

then no matter where the market goes i will be up the interest on 1 million, and well need to add to the acounts as needed,

the interest on this would over $4000 a month? right???

i have quit my job so have loads of time to look into this!!! would love to hear about anyone elses ideas on this, im on msn email johnboymob@tesco.net