I’ve been playing around on a 5min candlestick charts and have been scalping 10 pip moves with relatively easy success. I�ve only toyed with the idea of scalping but I want to know if it�s really this easy or if I�m just having some beginner�s luck. Comments?
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I’ve scalped on a 5 minute chart with just a 10 ema, buying above it and selling below it…that kind of thing.
Problem is I usually end up breaking even at the end of the day. I never know when to stop! My only concern is that when you win like 3-4 trades in a row, it�s hard to stop so if you can control yourself I think you should be in good shape.
I’ve also used a 5 minute chart before. It works well in a strong trending market as we’ve seen recently with the majors and the whole dollar sell-off…You might want to pick and choose your spots on when to scalp, rather than doing it everyday.
this would come very handy.
http://www.forexfactory.com/index.php?page=calendar
Scalp High or Medium (red or orange) impact events.
the more (at the same time) the better.
oh yeah, and don’t forget to change the GMT+ to where you’re at.
Set a daily pip goal, 10-20 pips, stop wnen you`re there!
The biggest downfall of scalping is over-trading. However, if you can find a good entry price with a tight stop and let your profits run, then your risk reward will be the bomb. Once you win, you should STOP. Like in a casino, you have to know how to quit while you�re ahead
This sounds like an interesting way of investing, but I don’t know if I would have the guts to do it… maybe I need some more time to think about it. But nonetheless, congrats! It requires a special kind of investor to be on the trenches of daytrading!
Maybe I’m wrong but can you even put “Investing” and “daytrading” in the same sentence? 
I never consider any FX trades that I make investing since I never hold them past Friday and most of the time there closed by 5pm. Just my opinion.
just proceed with the lower ema setup for scalping with one indicator setup , the indicator you need to analysis by your self which one suite for that currency . when you are familiar with the indicator setting then the scalping will be easier for you. and only refer to 1 min chart for scalping. For the bigger move u can refer to 5 min chart ( can profit up to 30 pips in few hr). depending on the movement and just enter or exit on 1 min chart.
I agree, scalping on the M5 chart can be highly profitable especially when the reward is worth the risk!
I hate to be redundant.(I guess that’s not true) but I scalped last month only missing 4 days of trading. I had one losing day and the rest were profitable. I made 41% based on a $5,000 account. I’m sure there are more on this site that made much more than that.
Is your method mechanical or discretionary?
Leo you had a losing day must have been a Friday or Sunday
My losing day was August 8th. My plan is mechanical but since I have so many conditions and am not able to code it into tradestation I am forced to call it discretionary.
I could probably code it. Have coded over 200 if not 300 or more TradeStaton indicators. I am better at EasyLanguage than MT4;)
Or eSignal.
By the way, I DO NOT CODE FOR MONEY!!
I will code it for FREE, if I think it is worth doing or I just want to understand it or if I want to see if it works…
I’m not sure how to even code my trading. I have written about 200 strategies but this one is so hard to reduce to a formula. For instance, I will trade gold off of the petroleum stocks report if there has been a sufficient run (measured by rsi) and has had a pullback. I look at the longer term charts and determine where the underfunded accounts have their stops and where those that have good profits would exit. If they coincide then I will place my order. I also use tick volume for a filter before placing trades.(in futures). I will use size of range in the forex as a pseudo-indicator for volume. That is only 1 example of many that give a set-up. Then the exits are variable depending on how the market reacts when it hits my entry price. I generally place a breakeven order in when only 50-100 ahead and if it doesn’t slide through the price with some volotility I’ll just take the pop. If it moves well initially I’ll trail it with pivot points and exit on a blowout in my direction for a good profit. I also use support/resistance levels intergrated with all this abiguity. I’m not even able to clearly define every entry, let alone code it. I just know out of 17 days traded I had one losing day of $200 and made $2050 that can be traded on a 5k account. I trade with the trend many times but prefer to trade a rejection of a continuation as that is usually a trap for inexperienced traders and a good profit point for the profitable ones. I have probably rambled on enough but as you see the plan is somewhat incoherent, but profitable.
Ok… piece by piece.
How do you do that?
I trade the 1 and 2 minute charts so “long term” in my case is 5,15, or 60 min charts. I think most trade the 5. I think the inexperienced are also the underfunded. I believe they will many times take a trade after they have realized they may have missed the move and are the “last hurrah” of the move. If there is a low volume break of the resistance and a pullback then I think they start sweating because they can’t afford to risk a lot and were hoping the breakout would be valid. Likewise, those who initiated early and rode it to the same resistance point are happy to lock in some profit. I place my entry where I think their stops are. (after a pause of a few bars I would sell new lows out of the consolidation). Then I exit as I basically outlined in the previous post.