Hi RobRoy69, guess I'd want to know why you want to scalp. Generally, as already stated, the spread locks one out, more importantly, a potentially greater trading profit is available trading longer time frames. see these posts, the first 2 discus scalping, the second is a source for trading methods, the 'da Charts' site in particular. Wallace. '5 stinkin pips' part 1: http://www.moneytec.com/forums/_showthread/_s-3fcffd3932ee0f31ed38751318d86f18/_threadid-2848 part 2: http://www.moneytec.com/forums/_showthread/_s-3fcffd3932ee0f31ed38751318d86f18/_threadid-3803 http://www.moneytec.com/forums/_showthread/_s-3fcffd3932ee0f31ed38751318d86f18/_threadid-4617
Hi Wallace,thank you for your post. I am already trading on a longer time frame(hourly),but i believe,even with 5 pips spread,scalping can be done,if the appropriate methodolgy is applied,after when scalping you are looking for a 10 pips move (5 spread and 5 profit) even sometimes 2 or 3 pips are enough. Enough because you will be using 50:1 or even 100:1 margin,and doing 2 or 3 trades a day. The most important is to find a system,a methodlogy to do it with very high success rate (85%+ winning trades,and not more than 15 pips for stops,on loosing trades) If this can be found,scalping is very appealing,given those wide spreads. Again thanks for your repply and for the links. Have a nice day
yeah ! the platform is SWEET. that could be scalped, thanks for the link ! this is one reason why scalping FOREX via dealers is a losers game. you are WAY out gunned, just like it use to be in equities. the tides will turn ! surfer
Never tried this on fx but it sounds tough. A max 15 pip loss means you are out on a 10 pip move, if you are giving up a 5 pip edge. So you have to have an 85/15 win rate on equal moves. Not likely in my opinion. I don't think you can scalp if you're giving up a big edge on both sides.
Yes, Reuters3000. BTW, have you ever found a spread of one pip in EUR/US on this platform ? http://www.propfx.com/spreads_executions.html