Ganked from ‘da tRoll’


This post was contributed by a guest author, and does not necessarily reflect the views of Richard or MovetheMarkets.com


The main premises of scalping are:

* Lessened exposure limits risk - A brief exposure to the market diminishes the probability of running into an adverse event.
* Smaller moves are easier to obtain - A bigger imbalance of supply and demand is needed to warrant bigger price changes. It is easier for a currency pair to make a $1 move than it is to make a $10 move.
* Smaller moves are more frequent than larger ones - Even during relatively quiet markets there are many small movements that a scalper can exploit.

Scalping can be adopted as a primary or supplementary style of trading…

Link

still trying to figure out where he got all those pretty lines and what they mean. Isnt learning fun? :)
E.


This post was contributed by a guest author, and does not necessarily reflect the views of Richard or MovetheMarkets.com


3 Responses

  1. Michael Lomker Says:

    I’ve looked into forex but it scares me a lot more than futures. Figuring out what broker isn’t trading against you is challenging enough…then you have to find one without outrageous commissions. I’ve heard futures traders complain about $5/turn. It’s a few pips on each end on a forex trade…

  2. Mr. White Folks Says:

    here’s a forum dedicated to this setup

    http://www.cyrox.com/forum/index.php?topic=19.0

  3. Rainbow Trading :: Move the Markets :: Entries :: Says:

    [...] This is the chart that Eric mentioned. [...]

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