You get involved with too many different positions in different directions, chances are you'll completely lose track of things and make really stupid decisions. Leave that to the fancy institutions with millions of dollars in computer systems to monitor and trade their positions.
The simplest way to hedge is to sell part of your position on huge up days like today. Always holding out for top dollar (i.e. trying to time tops) in the market is a sure way to get killed. And if you don't believe me, ask Joseph Kennedy (JFK's father) who sold all his stock positions before the crash of 1929.