Help - spread betting - Strategy for growing 200pt profit

[Epsilon75]

Hello,

This is my first posting on the site, so pls excuse me if this is on the wrong board.

My position - I am long the FTSE100 Sept Future (via a spread bet) and am up 200 points (yes I know this is a good position to be in, and yes I've made just as many losses! and learnt from them). I want to maintain this long position (I take the view that the market is going up, albeit with some hiccups along the way):
1. I could just take the profit asap
2. I could run the position and hope for the best (still 3 months till expiry) whilst pushing up the stop loss level and locking in a profit if the market moves against me.
3. I don't really want to add to the position.
4. Note that I have more than 1 spreadbetting account. What about the idea of hedging via opening a short position (via another account)? Or perhaps even a fixed-odds bet as a hedge?

Any thoughts/ideas would be really appreciated.

Thank you.

 

[bbjit]

you have to look at it from a risk to reward point of view.. how much have you risked initially and then you can start taking profits as the price of the ftse moves up..

e.g you have risked 50 points initially so first exit can be 3:1 = 150 points on a third of your position then 6:1 and then 10 :1 or you can leave the last third and use a chandelier exit where you use 2 times your initial risk = 100 points and use this as a trail stop loss, this way you will catch the majority of the move

this is only a short version of the many exit strategies that is out there, unfortunately you have to do your own research and what you are comfortable with

hope this helps

 

[Hoggums]

Hello,

This is my first posting on the site, so pls excuse me if this is on the wrong board.

My position - I am long the FTSE100 Sept Future (via a spread bet) and am up 200 points (yes I know this is a good position to be in, and yes I've made just as many losses! and learnt from them). I want to maintain this long position (I take the view that the market is going up, albeit with some hiccups along the way):
1. I could just take the profit asap
2. I could run the position and hope for the best (still 3 months till expiry) whilst pushing up the stop loss level and locking in a profit if the market moves against me.
3. I don't really want to add to the position.
4. Note that I have more than 1 spreadbetting account. What about the idea of hedging via opening a short position (via another account)? Or perhaps even a fixed-odds bet as a hedge?

Any thoughts/ideas would be really appreciated.

Thank you.

A simple stop loss strategy to benefit from a rising market could be to set your stop to the previous week's low. Generally speaking the previous weeks low is the last swing low - and a breach can indicate a short term downtrend taking place. If this happened and you felt confident you could then re-enter your position the following week when the dip has bottomed out - hopefully at a lower level than you entered!

Of course you run the risk of it getting taken out only for the market to change direction immediately and continue upwards - but that's the price of "insuring" your position.