scalping

[richardmarcus1509]

As I am new to trading, I have come across a term SCALPING every now and then, can someone explain me briefly about that

 

[ForexWarrior2020]

Scalping is where you are going for a low amount of pips. Normally between 5-20. It takes place on the lower time frames most of the time. You can scalp on the 1m, 5m, 15m. But I know people who scalp the 1H. The main criteria is going for a low amount of pips. It can be tricky though as you need to give the trade some room so most of the time the risk to reward is not favourable

 

[May Davis]

Scalping is where you are going for a low amount of pips. Normally between 5-20. It takes place on the lower time frames most of the time. You can scalp on the 1m, 5m, 15m. But I know people who scalp the 1H. The main criteria is going for a low amount of pips. It can be tricky though as you need to give the trade some room so most of the time the risk to reward is not favourable

This is interesting, thank you for the explanation.

 

[fxoday]

Scalping is short term trading in which trader will catch profit in small pips usually around 5-10 pips each position target because work as short term trading usually scalper can open many times position daily, I ever hear aggressive scalper made hundred transaction a day

 

[richardmarcus1509]

Scalping is where you are going for a low amount of pips. Normally between 5-20. It takes place on the lower time frames most of the time. You can scalp on the 1m, 5m, 15m. But I know people who scalp the 1H. The main criteria is going for a low amount of pips. It can be tricky though as you need to give the trade some room so most of the time the risk to reward is not favourable

oh you mean we go into trades for shorter period of time and earn profits and close the trades?

 

[Dora_WalletInvestor]

oh you mean we go into trades for shorter period of time and earn profits and close the trades?

Yes, you profit off short-term price movements, as the rates fluctuate constantly. These are smaller changes than what you would see if you traded on a longer timeframe but if your position size is big enough and you place trades several times a day, it can be very profitable.

 

[Dutchy86]

Good read as here it a lot and never fully understood

 

[sebking1986]

Even more important for scalpers to have lower commission rates and esepcially tight spreads as when you are dealing with 5-10 pip movements having 5 pip spreads won't help you!

 

[Dora_WalletInvestor]

Even more important for scalpers to have lower commission rates and esepcially tight spreads as when you are dealing with 5-10 pip movements having 5 pip spreads won't help you!

That's very good advice, if you are serious about trying yourself out in scalping, you should definitely be mindful of this when choosing a broker.

 

[perryjohn765]

scalping, is trading for short period. you can also call it as the intra day.