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…
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
January 23rd, 2008 at 8:19 am
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…
January 23rd, 2008 at 5:59 pm
here’s a forum dedicated to this setup
http://www.cyrox.com/forum/index.php?topic=19.0
January 23rd, 2008 at 6:36 pm
[...] This is the chart that Eric mentioned. [...]