What kind of r/r do scalpers use?

You hear about trend traders who use their little stops and huge targets (and their rotten win rate).

Is scalping opposite?

 

Modern day scalpers are HFT. If you are trading spreads wider than that you either have a more sophisticated model (unlikely) or are taking on much greater risk than you anticipate.

 

Trying to scalp NURO, unless you’re the Flash plugged in to the Exchange it’s tough since Citadel can internalize either direction. Rather go for $1 to $5 moves. Less stess!

 

Best answer you will find is to follow @volpri and his excellent posts in his daily scalping journal.

 

r/r for scalps is not cut and dry.

for example, i could go for what i think is a high % scalp with 1/4 size, and it fails but i also
believe that the failure will not materialize into a trend for a reason so i'll average in
go for break even on the initial scalp and profit on the average. or as new bars print
and i get more info i could go full size in the initial scalp direction as the failure goes back in the favorable direction and scale out at some s/r level.. bottom line is since the market is dynamic your decisions are
also.

 

It depends upon the instrument and the setups you trade.

Best to figure it out yourself, given all the variables you use. If someone says XYZ, that is like saying my prescription eyewear works great.

Also there is more than Stop and Targets. E.g. adjustable trailing stops and how much time you want to spend in the trade. Most of the time things do not move in direction without a retrace or pause. Your tactics should take that into account to qualify as "optimized".

 

Been scalping since 90's average per trade been steadily going down last several years while risk increases. By end of August all but one model will continue to trade automated and rest of funds transfered to options for better R:R.

My age also is a factor, unwilling to sit in front of screen and work harder producing systems that make little. Easier to do day trading and seeking more than 1:1, buy support/sell resistance.

 

a few years ago, there were lots of scalpers in the broker / bank trading houses.
They typically target RR ratio of 1:1

nowadays, you hardly see them because of the rise of the machine / algo traders.

 

Ditto.

Scalping is too manic, too difficult, and not even decently rewarding for nearly all who try.

 

"Scalping: An effective and highly profitable trading strategy." (ymmv)
https://elitetrader.com/et/threads/...t-right-here-baby.335635/page-21#post-5376091