What you should know about scalping in forex trading
Scalping cashbackforexpipcalculator, generally refers to a fast-in forexcashbackprofitcalculator fast-out kind of trading In the eyes of many people, th cashback forex profit calculator kind of trading has been very mysterious, but there cashback forex many traders believe that it is a more advanced trading method than intra-day trading to make quick profits So what is the secret of cashbackforexprofitcalculator trading? Why are so many trading platforms so secretive about it? Scalping requires an extraordinary level of skill Scalping traders grab a tight hold for a few seconds or minutes at most Their main goal during the busiest times of the day is to grab as many pips as possible multiple times Since scalpers are basically glued to the charts all the time, it is best suited for those who can spend a few hours concentrating on trading From the analysis of trading strategies, scalpers tend to be found on porous Due to the source of quotes, server speed, network speed, etc., the quotes between different platforms are not synchronized. Speculators use the platform with fast quotes for reference and operate on the platform with slow quotes, which has a very high accuracy rate due to advance knowledge of short-term trends. For example, if an investor observes the quotes of two platforms at the same time and finds that the quotes of platform A are a few seconds faster than the quotes of platform B, there is The ability to "foresee the future" and use this quote delay to profit is included in the scalping category. For non-dealer platforms, scalping is an indifferent and even popular thing to do, because all the orders will be traded in the market for real, which not only does not do any damage to the trader, but is also more beneficial to the trader to earn trading commissions However, for market makers platform, due to the delay in quotes and betting transactions, customers using the above two scalping methods will seriously damage the interests of market makers, so many market makers will make restrictions on scalping transactions or even explicitly prohibit ordinary scalping transactions have been replaced by ultra-short scalping With the increasing development of network technology, the original sense of scalping has basically ceased to exist, replaced by ultra-short scalping This kind of trading emerged in 2009, it actually network technology is more and more developed, the original sense of the dial scalp has basically ceased to exist to replace the ultra-short scalping is based on the three limit theory of foreign exchange (three must earn theory, because there are assumptions exist so for most of the traders to achieve the possibility of almost 0) foreign exchange three limit theory are: 1, to earn the smallest point for the purpose of assuming that there is no The existence of the spread, and can stop a point, then in most cases we can always earn this a point 2, have enough money to ensure that never burst, then you can always wait until the position is profitable party to close the position 3, have enough energy to manipulate the market, such as a Federal Reserve or a central bank are capable of making a huge impact on the market Of course, now the platform to ensure their own interests The ultimate goal is to prevent the first limit of the emergence of ultra-short term scalping transactions were therefore born, the transaction strictly control the number of profit and stop loss, this practice is easier to Realize that many domestic so-called automatic trading software is to do so: in the absence of market time with small profits to operate, each time a few points of profit, stop loss of no more than 30 points, simulation runs often achieve a very high win rate! In fact, many manual operations are also doing this, just different returns in general, ultra-short scalping is the action to be fast, see the right do not hesitate, there will generally be 10 - 20 points of fluctuations, the big time there will be 50 points, to reach the profit target immediately after the exit, and can not hesitate, for example, you want to earn 10 points, earn on the run, do not think anything in addition to hold the single time is best not to exceed 10 If you go in for more than 5 minutes and do not go in the direction you expect, please close your position immediately which traders are suitable for scalp trading If you want to become a scalp trader, then you should have the following qualities: you enjoy the excitement of fast trading; you do not mind concentrating on the icon for a few hours; you are a person who does not have the patience to wait for a long transaction; you are quick to think and can quickly change bias and direction You have nimble fingers; you are as attentive and skilled as a surgeon. Finally, please note that this kind of trading is never suitable for novices and investors who are not tough enough.