Hi Guys,
I used to do a fair bit of scalping back in the day. Been trying to get back into it during lockdown but I’m finding it much hader now (spreadbetting companies do not like scalpers LOL). I think I’d rather just avoid all the stress and do 2 or 3 trades a day…still intraday and flat at end of day. I’m not a big fan of indicators. Like to take counter trades in areas where we can see price being moved to take out stops (e.g. below/above a level of support/resistance or trendline that catches the eye). Normally do Dow for the bigger daily range but will do forex too. Is anyone here doing these kind of trades based purely on statistics/probability as opposed to what indicators may by saying and how easy are u finding it to make a steady say 1% a week?
Thanks
I’m not a great fan of counter trades, but I do realise it’s a money maker - and you seem to be on the ball with your strategy. Look up IC markets and FP markets who are open to scalping traders. Also Pepperstone, who have a large number of trading opportunities outside the norm. .
As for making a steady 1% per week, I’m not a gambler - even pros would be delighted with 4% per month, i.e. 48% per annum. Even the best index funds are nowhere near that return, more like 12% per annum.
Yes, of course it is more time consuming for large funds to come in and out of big volume positions and get decent price fills…that’s the one big advantage of the small nimble trader isn’t it.
I take your point about counter trend trades… I’ve always found them better as small scalps on a small timeframe. I was thinking I would have to adjust to maybe “going with the flow” if I only take 2 or 3 trades a day.
Scalping 0.5% a day is not too hard on a small account…It’s when I up the capital and the trade sizes that the problems begin. It would be much safer to go for say 50 pip moves as a 20pip move can happen so fast that by the time a broker requotes u the profit may well have totally evaporated and it really messes with u as the analysis and timing may well have been perfect but external forces stop u from executing that trade perfectly.
I do envy people who can just pop on a large trade on the H4…with say a 100 pip stoploss and a 300 pip target and just sit back and wait…totally stressfree… scalping all these years makes it very difficult now to put on a trade and just leave the damn thing. I know I’m not the only one with this problem.
I’ve been practicing on the Autochartist software, that’s a chart patterns recognition tool to scan the trading instruments and recognize the trade setup, based on the support and resistance levels.