I am starting this thread from pure curiosity, if I am capable of profitable scalping. I’ve started playing around this week and decided to add some structure and discipline (discipline part may become a joke).
I would appreciate any comments, hints or questions
Money Management Plan
- I will start from smallest lot size (0.01 lot with 30:1 leverage) possible and aim for very small amounts. Aim is to work with real money but without being stressed
- I plan to assess results on weekly basis and risk fixed amount per week. So for starters I want to risk 10 PLN (around 2.6 USD) - If my trades lose more than that (or close) I am waiting for next week. If I manage to get 20PLN I will increase the position size by 0.01 lot next week and increase risk/goal accordingly. If I make good profits I allow myself to trade larger, in case of losses I am taking my time and step down to lower sizes.
- I want to be consistent - If I cannot be consistent risking few USD why should I put more on the table?
- I will trade in CET time zone, without being glued to the screen. I want to jump in from time to time and look, if something happens around previously drawn areas.
- I will trade pairs with lowest spread possible.
- I will use basic price action (trend lines, support/resistance zones, candles) + potentially Fibonacci and pivots.
- I will take general direction from H4 chart.
- I will use H1 to see more important levels.
- I will use M1-M5 charts for entry (price action)
- I will not use any fixed strategy for SL / TP - it may be trailed, it may be moved to break even at some point, closed manually or just waited out for hit.
- I will not care about R:R and win rate - I know how much I can lose for week and don’t want to bother with nothing more. It may come into play, If I manage to stay in this longer.
On H4 I see price trending lower in a channel with nice support zone around 1.175. Price was reaching the trend line and support zone.
H1 did not provide any value added for chart
On M1 chart, cup with handle formed exactly on round price / support area and trend line - I’ve placed pending order above handle which went off soon after and is open right now. SL below the cup and TP as 2:1.
Apart of this I’ve taken few bad trades. One on GBPUSD which I wanted to post as pending order but accidentally shoot a market one… fortunately it ended manually in profit (+1.09 PLN). Two pending trades I’ve forgot to cancel and went to eat a dinner +2.37 PLN and -2.72 PLN
It was a fun day. Goodnight!