You can find the relevant currency pairs, calculate their appropriate proportions by mathematical methods, and buy in strict accordance with the proportion and direction, which can play a hedging role. For a simple example, the three currency pairs of EUR/USD, GBP/USD and EUR/GBP are the simplest associated currency pairs. As long as your calculation is accurate and the proportion and direction of entry are appropriate, you can play a hedging role. However, such a simple formula combining three elements can hardly guarantee your profit, and at most can reduce your risk to some extent.

Hedging modeling is simple in theory, but the key is that the calculation of the formula is very complicated, which requires very rich mathematical knowledge and strong modeling ability. Those who can do modeling work in hedge funds are basically doctoral degrees or above in mathematics, logic and other related majors.

Your idea is very good, but if you don't have enough mathematical knowledge and logical thinking ability, it is impossible for a person to establish a hedging model formula. Otherwise, is there room for hedge funds? Every time a hedge fund designs a fund variety, its portfolio formula must be modeled and verified by a professional team for at least one or two years.

But it's good that you have this relatively advanced consciousness ~ at least you are looking for ways to reduce losses, which shows that the direction is right, but the method you are looking for is not quite right. Smarter than those who are desperately looking for how to make more money, but also a lot more practical ~ In fact, many people don't understand that in the capital market, making money starts from reducing losses, not from amplifying profits ~ ~ ~