Forex Scalping Techniques

Ok, this time I will share about Forex scalping, many traders said that this trading system is used by experienced traders around the world to collecting profits. For who doesn't know about what is scalping, they can read this article carefully. Scalping trade is a foreign exchange strategy that only using small time to get in and get out the market and they only aim small pips.

If we have good money management strategy and discipline then we will get good results. Usually scalper using big lot size for every trade.

Foreign exchange traders usually search trading technique that work accurately and effectively. If you are a beginner trader you can try my trading suggestion, scalping technique, this trading system is one of many trading system that you can use to gain the benefits. A foreign exchange trading who scalp is only take a little times 5 - 10 minutes. Usually scalper only takes no more than 5 minutes to open a trading position and then close it. To enhance their profits they can increase leverage value. All they have to do is looking for small pip spread foreign exchange broker.

Scalping trading system is a technique focusing in taking profits on small pips. This trading system needs to use an accurate and fast exit method because 1 big loss can swap many small profits. Using the good Forex technical indicators, good broker and fit stamina to put many trading is needed for scalping trading system.

The question is - is scalp trading technique is good for you?
Not every techniques is proper for every trader. In other words it depend on trader's character itself. Scalping trading techniques needs trader work quick, if scalper thinking to much can be reduced the quality of the technique itself.

A good scalping trader will open many trading position a day, and they usually use 1 minutes time frame chart.

If you want to success in this trading technique, you must concern on collecting small wins. Scalper usually avoid the big gain chances because they can reverse to the other trend way. You must find the market movements that will give you good opportunity for a winning trade.

Scalping trading robot

Or scalping automated trading machine - You maybe search for a trading robot to do scalp. Forex scalping trading fits for who doesn't have times to sit down in front of their trading platform for hours. Traders who don't have times, scalping techniques can be a good choice. Scalp trading robot also can help to entry and exit trading based on the system.

There are no 100% in Foreign exchange trading, so all we can do is looking for good opportunity by reducing the risk and increasing the chance in trade.

Forex trading robot to do scalp can very helpful, this automated trading software can handle your works, such as setting your target trading and your risk in a single trade. Open and close trading position based on our system. Even scalper use a robot to do our jobs, scalpers should to increase their trading skills and knowledge so they can analyze and modify the system to be more accurate.

Trading pairs for scalp

This part is also the most important thing. In forex trading there are so many currencies that you can take for your trading system. Usually scalping trading techniques can be used on any trading pair.

The Major currency
GBPUSD, AUDUSD, EURUSD, USDCHF, and USDJPY are the major currency that we can use for your scalping trade. These trading pair can be a good part to begin exercise, because these trading pairs usually more stable in market movements and can be analyze more easier than other pair.

Scalping time

Commonly, scalp trading technique can be traded at any time. Scalping is the faster technique to avoid from stress because of long term period trading. Just keep your body and your mind fresh, with these you can trade with clear mind to take trading decision. Scalping time in forex trading usually depends on what currency you trade. For instance if you trade with GBPUSD then it would be better if you trade when the UK and US market session is open or active. Because you will get slow price movement is you in the wrong time. Try to spend time to analyze before your market pair open session. Avoid Friday when the market is going to close and start again on Monday.

Keep with your trading pair that takes a trading pair whose market will be open session during your scalping trade. Consider about news events is suggestion.

How to choose Forex broker for Scalping?

There are so many foreign exchange trading brokers giving facilities to scalpers right now. All of these brokers are not the same in spread and trading rules. They have different limitations that you must understand before you investing your money with. For instance, some forex brokers don't give facilitate to scalping practice. Usually brokers are no set to be proper to scalping trading. Just be careful.

You should find the Forex broker who can facilitates scalping trading if not they can get you in trouble. Find scalp trading in their terms. You can check the minimum and the maximum trades.

After that, you can check the spreads for your trading pair. Usually brokers will give you an access of their data about spreads. You also can try it on demo account.

Technical analysis trading tools, if these already provided by your broker then you wont be worry anymore. Commonly, brokers already provide good technical tools for investors.

There is one thing you also should consider, the forex broker that you picked should have accurate quotes. In scalping trading, open and exit trading position is very important. A scalper places hundreds of trades and he needs accuracy when he clicks on his trading platform to open or close trading position. As you know that scalping trading system is aiming small pips so accuracy quotes is a must.

Leverage is crucial part of scalping trade. Scalper turns small pips into a big money using leverage. When you choose a forex broker then you should check the leverage that proper with your trading system. Every forex trading broker has different leverage, some broker give 100:1 or bigger, it is not a bright leverage. Try to find 50:1 leverage for scalp, this leverage gives a good trading platform to get from while not bringing a big risk. A beginner scalper must keep away from trading with a big leverage until they comfortable and get usual with their trading system.

A good scalping strategy is ususlly concern on determining market price fluctuations to open and close trading position. Many forex traders all have their own trading systems to determining good chances. Usually we can use chart or candlestick formation that give a signal for trader wants. Candlestick patterns and chart patterns are very helpful for most trading strategy especially scalping trade.

A defined market is the good opportunity for a trader. A right time to find for chances is when the market price is reverse and bound in a certain level or range movement, reverse between support and resistance on the market chart. You don’t have to wait market price touch at the same level price, just find the area of few points in each level.

Don’t try to open a trading position when the market price precisely where it going to reverse. Just be patience until a candlestick start to moving in your trading direction. If the candlestick moves in the same trend and the market start reverse then you can open a trading position. Some traders use this, they wait candlestick closes outside the breakout level as breakout signal.

Breakout trading
There are many reasons the market break the support or resistance level. Usually reason in breakout is come from a fundamental news release. Many trading sites give news release with information about the impacts of the news itself. Big news release can impact a high fluctuation in the forex market. The market price level of the impacted pair is usually moving up and down in the first 5 minutes after news release.

Commonly scalper doesn’t care about trend movement in the market. Scalper only use trend just for assist to define the good trading direction.