should we use hedge? Question and Answer – Forum › Category: strategy › should we use hedge? 1 Vote Up Vote Down user2 asked 5 years ago Question Tags: hedge, strategy 1 Answers 1 Vote Up Vote Down Raghu Staff answered 5 years ago Yes, it is strongly advised to use a hedge if you are on the selling side. You can limit your risk by hedging. Similar payoff diagram is applicable for CE sell too, you may want to use a hedge to limit your loss.