1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

Scalping

Discussion in 'General Forex Talk' started by kalvir virdee, Sep 28, 2009.

  1. kalvir virdee

    kalvir virdee Recruit

    Joined:
    Sep 28, 2009
    Messages:
    1
    Likes Received:
    0
    can anyone please explain the term scalping to me please,? many thanks
     
  2. Pharaoh

    Pharaoh Colonel

    Joined:
    Oct 3, 2007
    Messages:
    19,629
    Likes Received:
    2,187
  3. laila

    laila Recruit

    Joined:
    Aug 21, 2009
    Messages:
    2
    Likes Received:
    0
    scalping is a fraudulent form of market manipulation or a legitimate method of arbitrage of small price gaps created by the bid-ask spread.








    <a href="http://forexvipersystem.blogspot.com">Robot Forex</a>
    :)
     
  4. yurps

    yurps Private, 1st Class

    Joined:
    Dec 10, 2007
    Messages:
    71
    Likes Received:
    1
    do not agree, scalping is neither manipulation or even legitimate arbitrage.
    Scalping is taking quick trades essentially, either taking profits quick, or
    bailing quick if the trade goes negative. Some scalps may turn out to be longer term trades if the trade continues to go in the right direction after initial entry.

    A way to do this is to enter scalp trades in multiples of lots, either micros, minis, or full, and take partial profits after 5-15 pips and leave the rest to run.

    Scalping is good because it limits losses to your account if trades go against you because you get out fast, you use tight stops. The disadvantage is that you can pay more spread and/or commission because you are entering and exiting more. It makes sense to scalp in a volitile market where direction is not pronounced.

    Saying scalping is arbitrage or manipulation is like saying investors should only follow a buy-and-hold strategy, which is clearly an outdated concept in this post-modern deconstructive period of history.
     
  5. Raimundas

    Raimundas Corporal

    Joined:
    Sep 29, 2009
    Messages:
    87
    Likes Received:
    7
    Check this out: www.investopedia.com/terms/s/scalping.asp
     
  6. ColinF

    ColinF Recruit

    Joined:
    Oct 17, 2009
    Messages:
    3
    Likes Received:
    0
    I belive scalping is a very good method of trading the only problem is finding a broker which won't delay you in some way or even freeze your computer program
     
  7. Stony

    Stony Sergeant

    Joined:
    Mar 21, 2009
    Messages:
    167
    Likes Received:
    2
    That´s it!
     
  8. clem699

    clem699 Sergeant

    Joined:
    May 20, 2009
    Messages:
    147
    Likes Received:
    0

    Agree absolutely with your explanation.
     

Share This Page