In the past, I think he said he's in a trade for a short period of time; I think 10 minutes or thereabouts. So odds of a limit move happening while he's in a trade are pretty slim. And if the market is that volatile, he probably wouldn't be trading anyway.
Yes his exposure to the market is very limited as far as the holding period is concerned, that's a plus for his trading style.
Well he can also do it in a trending market, to some extent, when the price is pullback-ing momentarily.
Well I been trading for a long time. If my recollection serves me right I’ve only had one margin which was promptly settled. Look I am in a trade and in and out often within 5 minutes OR LESS and on occasion maybe 20 or 30 minutes. Rare rare one hour.
In support of Volpri's position on averaging-in, here is a screenshot of my ES (averaged-in) scalp system trades for today. Sometimes one position, sometimes two positions, one time three and one time five. Each individual trade does not have a stop but there is a max loss amount that will close all trades and kill the system for the day if reached.
All the pros tell us, "Use that stop loss! Use that stop loss!" And they may be right, but why even trade something that has the possibility of going to zero? How much money would you save by having 1 big loss instead of 100 small losses? Institutions and exchanges profit big from stop losses, let that sink in for a minute...
there are pro's and mostly con's to every method of trading. you have to find what your pocket book and your mind can accept as terms of compatibility. i have burned thru more money experimenting than goldman ever had a their peak of asset hoarding. i was glad to give money back to those whom i had taken it from (though most likely it didn't make it back exactly to who i took it from) this is the learning process. if you want to honestly know what is what you have to get comfortable with losing. larry williams in a book once said you need to get use to betting, go to vegas and just get some experience betting with small chips get use to both winning and losing with real money. until you stop thinking about the money you will never win.