What is scalping?

i dont know about little risk. usually you looking at a 1/1 risk reward ratio which means you need a much higher win rate. my experience of scalpers is that there are not many that are good at it. i think it might seem like an easier form of trading but in my opionion its very stressful and drains energy and focus very quickly. perhaps it attracts people that have failed at swing trading but thats just an my opinion. before you try take on this form of trading just think long and hard about its pro's and cons.. one question i would ask myself if i were considering scalping is : do i want to be taking 1-3 trades a week rewarding 50-200 pips per a trade or do i want to sit infront of the computer taking 1-3 + trades every hour all day long. i think it is quite clear which one is more stressful and a much healthier life. scalping you cannot afford to lose many trades with a 1/1 average risk reward ratio. you can afford to lose more though with swing trading with an average of 5/1 and up to 20/1 for some trades
 
If you are picking strong resistance/support + top and bottoms then a 5 pip stoploss can run trades easily. I often get 4:1+ ratios. Being stopped is the hard part. It all builds though. (best trade i've done is probably using a 2.5 stop including spread and getting 40 pips). I agree though, It's hard and not for everyone.

I think i've lost some of my hair lol
edit: i should have said "limited risk" which is usually small. Also, when scalping you can move to b/e pretty easily.
 
Last edited:
forker said:
i dont know about little risk. usually you looking at a 1/1 risk reward ratio which means you need a much higher win rate. my experience of scalpers is that there are not many that are good at it. i think it might seem like an easier form of trading but in my opionion its very stressful and drains energy and focus very quickly. perhaps it attracts people that have failed at swing trading but thats just an my opinion. before you try take on this form of trading just think long and hard about its pro's and cons.. one question i would ask myself if i were considering scalping is : do i want to be taking 1-3 trades a week rewarding 50-200 pips per a trade or do i want to sit infront of the computer taking 1-3 + trades every hour all day long. i think it is quite clear which one is more stressful and a much healthier life. scalping you cannot afford to lose many trades with a 1/1 average risk reward ratio. you can afford to lose more though with swing trading with an average of 5/1 and up to 20/1 for some trades
Click to expand...

All the richest (multi millionaire) traders i have personally met and know scalp the market, and ultimately get a get a good position.

>80% of market volume is done by <20% of traders...thats something only a few people on this site understand and imo is the real reason for trading failure.
 
2.5 stop.
Is that with a spread betting firm?


KillPhil08 said:
If you are picking strong resistance/support + top and bottoms then a 5 pip stoploss can run trades easily. I often get 4:1+ ratios. Being stopped is the hard part. It all builds though. (best trade i've done is probably using a 2.5 stop including spread and getting 40 pips). I agree though, It's hard and not for everyone.

I think i've lost some of my hair lol
edit: i should have said "limited risk" which is usually small. Also, when scalping you can move to b/e pretty easily.
Click to expand...
 
Spread Betting is non-professional

I would use spread betting though to take a long term directional view of the market if the spread was not too much.
 
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