# Averaging Down - etc

**URL:** <https://forums.collective2.com/t/averaging-down-etc/1521>\
**Category:** C2\
**Created:** [March 22, 2007, 10:07am UTC](https://forums.collective2.com/t/averaging-down-etc/1521 "2007-03-22T10:07:35Z")\
**Posts on this page:** 2\
**Page:** 2

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**Author:** ![PalAnand](https://yyz2.discourse-cdn.com/flex028/user_avatar/forums.collective2.com/palanand/32/2923_2.png) [@PalAnand](https://forums.collective2.com/u/PalAnand)\
**Post date:** [March 23, 2007, 7:20pm UTC](https://forums.collective2.com/t/averaging-down-etc/1521/21 "2007-03-23T19:20:11Z")

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\>while position sizing has a big effect on your bottom line, it’s the timing of your averaging operation and the ability for that instrument to turn around is the key to sustained success.  
  
  
  
Agree.  
  
  
  
\>Trading in an unhedged dynamic fashion is a recipe for disaster as many futures systems witnessed recently.  
  
  
  
Not necessarily true for all. In my opinion hedging certainly helps in long-term trading, but for short-term trading it is less important.

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**Author:** ![SamCook](https://avatars.discourse-cdn.com/v4/letter/s/e274bd/32.png) [@SamCook](https://forums.collective2.com/u/SamCook)\
**Post date:** [March 23, 2007, 8:12pm UTC](https://forums.collective2.com/t/averaging-down-etc/1521/22 "2007-03-23T20:12:46Z")

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\> The use of options as an hedge is a standard strategy. There is absolutely nothing new here. So, I’m very surprised that anyone would even ask for a proof that this strategy works…  
  
  
  
Not proof that it can work, but proof that _you_ can make it work. So  
  
far all your system have eventually come back…triumphant as that  
  
may be.

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