Hi Marky
I tried to be a scalper, failed. I like to attempt just a few trades a day. Not that this is right for everyone. I have a limit of 3/4 trades per day. These are all between 9.55am and 11.45am. Sometimes I trade the last couple of hours or so. No further trades if more than 25 points loss or 3 minus trades in a day.
I have found that using Ninja Trader with auto stops and auto trailing I stay in and don't cut my profits as I used to.
I now have a target profit for the day of 25 points so. If a fast move gets me to +30 or +40 and shows any sign of pull back I'm out. Profit in the bank and platform shut down for the day. Something that works for me.
Very interesting to see others have stops at 10 or more. 15 seemed ridulously high to me initially.
I do agree with that only "1 point covers the dealing cost" but with the odd point or two slippage plus a point or two spread you do need a 5 or 6 point move in the right direction for breakeven.
I don't know what stop scalpers use but with say a 4 point stop, a 12 point price move will only net you around 8 points. You need to be right on direction more than 50% of the time to break even, my % correct would give me virtually no profit.
Not saying I'm right here. Just hoping the scalpers give us an insight on how they make profits.
My experience was about 160 Ftse points profit. Made 350 trades, cost £1400, plus 2 months data and charting, profit about £50 for about 160 hours what's that about 30p an hour? Moral of the story don't try scalping with my method.
David.