Scalper versus Trend Follower

[ForexArticles]

There are many types of Forex trader but the two which are most divergent are the scalper and the trend follower. The trend follower will spend hours, days or even weeks analyzing trends down to the nth degree and only when he’s sure that the trend will continue or turn in his favor will he execute a trade. On the other hand, a scalper is like a hawk, hovering to take advantage of a small movement in the market.

What kinds of people do these trading types represent?

The trend follower is likely to be a perfectionist with possibly a touch of obsessive compulsive disorder about him. He’s going to execute a trade only when everything is right about it. He is likely not to have too much spare time so he’ll use what he has to investigate a potential trade then, when he is in the market, he’s happy to sit and wait for it to turn to profit which he hopes will be big. If he’s done his job right then he’ll win and whilst he won’t trade often, when he does, he’ll turn a good profit.

The scalper is a different creature entirely. Yes, they’ll look at trends but after a quick scan of long and medium term trends, they’re more interested in the short term trends and are most often found glued to the five and fifteen minute charts. They’ll micro analyze even the minute charts but instead of using tools to do it, they’re more likely to be the ‘sixth sensors’. They can see the patterns as the minutes tick by and wait for the peaks and troughs before committing money. They can set stop losses and take profit points but to a lot of scalpers, that takes time and they’d rather be there, finger on the mouse, to grab a quick hundred or so profit here and there, knowing that at the end of their trading session the regular hundreds will have accumulated into thousands.

Being a scalper takes even more discipline than normal. The temptation is to let trades run if they’re doing well but the ethos of the successful scalper is like the US Navy SEALS; get in, do the business and get out. For them, trades may last seconds or minutes then they’re looking for the next opportunity, scanning the charts and preparing their capital as they tend to trade with a relatively big percentage of their capital at a time

They’ll have keen grasp of the technical indicators from their apprenticeship as trend followers but for Scalpers, trend spotting comes as second nature and even in the minute charts they can spot tops and bottoms by recognizing the price behavior.

Both can be successful traders. Novice traders tend to start out as trend followers sometimes progressing to being a scalper but for many, the calm, methodical approach suits them best and that’s where they’ll stay.

[unclegober]

scalpers must trade with innovative, competent, and technologically alert brokers only, who possess the expertise and the technical capability to handle the large volume of orders arising from scalping activity.

Genuinely TICKMILL want they clients to succeed and that is why they allow all trading styles including news trading, scalping, and arbitrage which are generally not allowed by other brokers due to a fear of making internal losses.

[edojoker]

Too many broker allowing any style trading but not all of them will freely allowing them. They must using and adopt many rules that confusing the trader.

[tama13]

if you are gonna scalp then scalp manually, scalping eas might fall in the arbitrage category, thats scary, cancels all your profit with strict brokers, I would say im more of a trend follower, like to leave some trades for day, but lately been scalping gold at hotforex its easy and faster.

[vmusci87]

Anyone want to scalp, here is a useful link to check the spread of most popular forex brokers:

https://www.hotforex.com/en/trading-...ead-graph.html

[unclegober]

Scalping can be used by traders both beginners and experienced, but all must be accompanied by the concept of good trading mainly in better risk management from the convenience of traders and trading conditions in the broker. one reason to choose a good broker is make sure that the trading platform does not crash or freeze often, especially during times of global economic news or events, when traders needs stability. The reliability of a platform should be more of a concern than its look and feel. from my experience, I don't have any freeze with my order on TICKMILL

[orni308]

I following trend is a better option as its a bit safe but scalping needs to be done with good care you have to be very aware about various factors that is going to effect the market.

[edojoker]

Originally Posted by orni308

I following trend is a better option as its a bit safe but scalping needs to be done with good care you have to be very aware about various factors that is going to effect the market.

But how to decide where the trend will going on sir??
Too many false signal there.

[unclegober]

Every broker has different condition about the spread and especially with the high impact news condition. i want to share about condition when NFP is coming on The TICKMILL

[video=youtube;PwiB0IZAte8]http://www.youtube.com/watch?v=PwiB0IZAte8[/video]

[unclegober]

Scalping is, in short, the fastest kind of stock trading available. It is a very fast but also highly disciplined style of trading that is very popular with more advanced market traders. The way scalping works is that traders attempt to make several small profits throughout a single trading day, which makes it an even quicker method of trading than basic day trading. Traders who have high skill and broker that has low spreads will make trading with scalping to be profitable. I am now very comfortable in TICKMILL, I get low spreads which can be used to perform scalping technique without any restrictions, traders can execute orders under one second