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Scalping...is this a waste of time or can you....


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With all the people against scalping...I need to tell that scalping is the easiest and fastest way to make money and it is easy...........the drawdown is minimal with 1-10 pips and it is better to get out of the trade in a few minutes than be in the trade and take a drawdown of 20-50 pips..........the longer you stay in the trade the risker...

 

i have been using scalping stategy for the last few months and did not have a losing trade so far....the maximum drawdown was 20 pips and the minimum was 1 pip...it just needs patience...let the trade coem to you...dont chase trades!!

 

 

 

 

Hi Danny, can you please fill us in on your scalping strategy? A screen shot plus indicators, template and an explanation would be most appreciated!

 

Diesel10

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Hi Guys,

 

I agree with Diesel10, that you can be consistently profitable daily with scalping, more so than virtually all other types of trading.

 

However, there's a catch to these "easy pickings" and that is that scalping is THE hardest way to trade and requires a lot of chart watching, concentration, discipline and skill not to mention being quick off the mark at entering trades when momentum is apparent.

 

kiefer, on another thread, has created a document which perfectly outlines how to scalp the markets successfully:

 

http://indo-investasi.com/showthread.php/9466-is-there-any-trader-here-getting-rich?p=142412&viewfull=1#post142412

 

The odds are that you won't be able to follow keifer's system totally (because it's his system fine tuned for the way he trades and not necessarily for the way you trade), however there are lots of valuable snippets in that doc. which will enable you to make better trades from the system which feels most comfortable to you.

Edited by soundfx
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  • 2 years later...

Profitability depends a lot on the brokerage quality.

I've tested some brokers to be sure that scalpers are not banned or have their trades filtered.

 

Until now the best brokers to trade as a scalping are:

(I do not like to point the worst brokers, this generates free publicity and google position improvement to them.)

 

-Alpari (uk)

- SpediaFX and

- InterbankFX.

 

SpediaFX is the only one that I believe it is True ECN.*

But the others do not have too many problem such as requotes.

Edited by Forturama
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  • 1 month later...

Depending on when you scalp, you almost certainly need an EA in order to be able to close the positions quickly.

Something like F A P Turbo, did an amazing job in 2008, I recall some sessions where it would scalp one pair 10-12 times in four hours!!! Sometimes those scalps would open and close within the same minute!

 

Sadly scalpers like F AP no longer have anywhere near the same returns because the Asian Session no longer behaves the same way, and fixed spread low brokers are no longer around in that session.

 

They were great days - I took one account from 10K to 27K in 3months, trading at such LOW risk I look back now and want to cry! If I had known more, I would have made probably 100K lol!

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to scalp you must master tyour system and know when you click that your odds are in your favor

 

this can be accomplished best by trading the M S/R points and price action.Throw on your favorite SMA for trend and it really is not hard........................problem is most people have no patience to wait for the trade, they trade to be trading

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I spent a lot of time learning technical analysis chart patterns. But I find that in Forex, the patterns are getting "mushy", carrying less meaning than before. For example, a trend line breakout used to be a reliable signal that the market was going to continue to move vigorously in the direction of the breakout. But In Forex I see trend lines break out, and some of the time they break back in again and resume! So the line is indistinct, mushy soft, rather than a hard and distinct pattern.
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  • 3 months later...
its a given scalpers are the most effective and fastest earners in the market but its not easy and a lot blow accounts attempting to come up with a working system, i wont suggest scalping for new comers, I still do swings and position trades, scalp rarely if needed with hotforex
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  • 4 weeks later...
scalping is expensive. you pay the spread to gain a few pips.

 

That's why for scalping, we should choose broker which provide trading condition with low spread. We must know that forex trading is not easy as we think. And if we want to get more maximal result, we also must improve our trading skills, especially in understanding market movement

FreshForex - fresh view on money

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That's why for scalping, we should choose broker which provide trading condition with low spread. We must know that forex trading is not easy as we think. And if we want to get more maximal result, we also must improve our trading skills, especially in understanding market movement

 

as long you earn the profit, don't think about it...

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  • 3 months later...
You need to think about the cost. Scalping can be profitable but not at a regular scam broker with a 2 pip spread on eurusd for example. Think about the cost you make on every execution.

surely, traders must has a proper understanding, how spread affect our trading result. for example i had monthly total order at average 150 transaction on EURUSD, at first i use non ecn broker service, 2 pips spread on eurusd which means, 150 x 2 pips, 300 pips monthly cost in total, but now my result getting better as I moved into armada market, an ECN brokerage service with 0.3 spread charged on eurusd, spread cost are 0.7 pips x 150 trades equal to 105 pips monthly cost. have anyone ever consider how spread cost your trade. and yess indeed ecn brokers help me alot, now i have additional 195pips profit. before start and pick up your desired trading style, better consider how much it cost, what benefit and what the risk. scalping are commonly an overtrade system, which means spread does matter with this trading system. all the best for you all.

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  • 2 months later...
Thats why i shifted long time ago to futures. But you have margin requirements and other things but if you wanna do it right it is the way to go imo. Also depends what you trade the most

 

Futures are less risk exchange traded contracts however entry margin level is too high for retail traders just testing the waters of financial speculations. I doubt somebody is ready to deposit their 2K and make a business with them in some ill-known sophisticated field like futures. I tried forex with 100 bucks my first broker was Hotforex and my exposure to markets was smooth without excessive emotional pressure or intense learning..

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