Subject: Re: best way to hedge an SPY portfolio
Is this the one you are talking about?
"Nasdaq 100 Micro (NMZ24) 20,978.00"

So to hedge a $100K long you'd short (sell) 3 contracts?


The biggie is you do have to check the NH-NL daily when it's anywhere near a crossover.

Not a big deal if you have a script that gets run daily to grab the NH & NL figures. Have it notify you at a crossover where you need to take action.


Lastly, hedging is emotionally difficult. One side of every hedge is always a loss.

The way to handle this is to have a brokerage account that is dedicated to this and only this strategy. Don't ever look at it except to trade when you get a signal.
That's how I did it when I was running a 6/3 options strategy.
Got a email from the broker after a few months expressing concern that 100% of my trades were options.

FWIW, Etrade is offering a $600 bonus for opening a new $100,000 account. Tastytrade is $2000 for $100K but new customers only.