Become A Scalping Trader

There are some main points to note down:

Operates only during the busiest hours in the market

The hours with increased liquidity in the market are those in which the various sessions of forex market overlap. These hours are from 7:00 to 9:00 and from 13:00 to 17:00 (UTC).

Please note the spread

Because the scalper market in and out several times throughout the day to looking for small benefits, the spread has a very important role. For example, a scalper can close a deal with a profit of 4 pips, if the pair in which it operates has a spread of 6 points, the movement in its favor to reach 4 pips profit will be 10 points while if the spread is 2 points will suffice with a Trembler going for 6 points, which is nothing more and nothing less than a 40% difference. However, it is normal to use the rule that the target profit for a scalper is at least twice the usual spread in the operating torque.

Try first to focus on a single pair

The scalping is very intensive activity that requires high concentration and quick reactions. Focus on a single pair can help you have more chance of success, at least until the scalper take more experience and is comfortable doing scalping.

Make sure you follow a good money management

The money management is essential in any style but scalping trading becomes more important, if possible, due to the high number of operations performed.

Avoid publishing news moments of high impact

In the moments before and after the publication of important news, it is usual to increase volatility in the market, broadening the spread and who suffer slippage. These three facts make scalping try to close publication of a high-impact news, that is dangerous. Watch the day’s news on the economic calendar.