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What is Forex Scalping? A Beginner’s Guide To Scalping

Forex scalping is a popular forex trading strategy which invovle the quick openinas a maximum, while most forex scalpers will hold their open trades for just one minute.

The popularity of some effective forex scalping techniques is born of its perceived safety as a forex trading style. Many forex traders argue that since scalpers keep their trading positions for a short period of time in comparison to regular forex traders.

Market exposure of a scalper is much shorter than that of a trend traders, or even a day trader, and therfore, the risk of big losses resulting from strong market moves is smaller.

Indeed, it is possible to claim that the typical forex scalper cares only about the spread of the currency pair, while other trading styles like trend riders, or sideways trading are not very significant to him.

Although forex scalpers need ignore these market phenomena, they are under no obligation to trade them, because they concern themselves only with the brief periods of volatility created by them.

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Is Forex Scalping Right for You?

Forex scalping strategy is not the right solution for every type of trader. The profits generated in each trade opened by the scalper is usually very small; but at the same time, great profits are made from combining all the gains generated from all small trades.

Scalpers aim to avoid taking big risks, which means that they are willing to neglect great profit opportunities in return for the safety of small, but repeated gains again and again.

Consequently, the forex scalper needs to be patient and diligent person who is willing to wait as the fruits of his labors translate to great profits over time. An impulsive, excited character who seeks instant gratification and aims to make it big with each consecutive trade is unlikely to get any results but frustration while using this forex scalpin techniques.

What Skills A Successful Forex Scalper Must Have?

Forex Scalping also requires a lot more attention from the trader (scalper) in comparison to other traders such as swing-trading, or trend following.

A typical scalper will open and close tens, and in some cases, more than a hundred trades in an one trading session, and since none of the opened trades can be allowed to be exposed to great losses, the scalper cannot afford to be careful about some, and negligent about some of his trades.

It may appear to be a formidable task at first sight, but scalping can be an involving, even fun trading style once the trader is comfortable with his practices and habits. It is clear that attentiveness and strong concentration skills are necessary for the successful forex scalper.

One does not need to be born equipped with such talents, but practice and commitment to achieve them are indispensable if a trader has any serious intention of becoming a real and successful forex scalper.

From Automated Scalping eBook for Rita Lasker & Green Forex Group…

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