Sunday, December 28, 2008

Why Scalp ForEx?

To explain why I scalp the Foreign Exchange market instead of swing trading or position trading I'll list off its advantages. In scalping we...
  1. Limit our exposure to adverse market events, we are in a trade anywhere from 5 to 60 seconds.
  2. Can use leverage to our advantage, the more leverage we have the more capital we can make and the quicker we can make it.
  3. By trading on the second time frame we can almost see what the big banks and traders are doing to the market before other higher time frame traders see it
  4. When mentally managed we can make atleast 1% ROI a day, some days will allow a 100%+ ROI
  5. We don't have to stare at a screen all day, 6 minutes pass and we make our 6% ROI then go relax, workout, or have fun with friends and family!