scalping is risky ?

[Anderson]

Scalping is a profitable short term strategy but it has risk also. Most traders do not get success in scalping. Scalping tends us to do more trading. As a result it creates undisciplined traders. After getting skilled you can do scalping. For scalping you need a good broker like XeroMarkets that provides low spreads and instant trade execution. It also gives very low spreads as low as zero pip and up to 500:1 leverage which is good for scalping.

 

[Nezami]

Scalping is a trading policy that brings profit in a short time. That’s why from my first day of trading I have been using this profitable trading policy due to getting profit instantly. But in spite of a profitable trading approach this cannot use in a regulated trading broker due to many restrictions.

 

[ZhoGorisar]

Scalping is risky because of many factors. The biggest enemy for a scalper is spread+commission+swap. if your broker charges 2 pip spread for EURUSD and your strategy uses 10 pip stoploss or takeprofit, this means 20% of every trade is going directly into your broker's pocket. if you have a 70% hit rate strategy this means you strategy is fifty fifty. so you need a strategy that is 80-90% hit rate which will be a strategy without stoploss that will someday introduce you to margin call. Scalping is risky because it requires fast execution of orders, fast internet connection and fast action from your side. It brings a lot of stress in your life. but anyways it can get you richer quicker if you deal with all that, although I don't suggest it.

 

[Lee Mark]

Scalping is risky because of many factors. The biggest enemy for a scalper is spread+commission+swap. if your broker charges 2 pip spread for EURUSD and your strategy uses 10 pip stoploss or takeprofit, this means 20% of every trade is going directly into your broker's pocket. if you have a 70% hit rate strategy this means you strategy is fifty fifty. so you need a strategy that is 80-90% hit rate which will be a strategy without stoploss that will someday introduce you to margin call. Scalping is risky because it requires fast execution of orders, fast internet connection and fast action from your side. It brings a lot of stress in your life. but anyways it can get you richer quicker if you deal with all that, although I don't suggest it.

Since traders need to open so many trades in a single day; so no doubt scalping is a challenging job; but the point is; which traders have good trading skill, then can make it smartly!

 

[Mark Dahl]

The scalping lowers the risk of a trader and, conversely, the chance of making a big profit. When all of small profits are combined, that could be a potential profit.

 

[Eduardo Lucchese]

Yes, I think scalping strategy is very risky if you don't have any idea about this. Most f the new traders want to use this strategy to earn money quickly. But, if you want to use this strategy you need to have proper knowledge about this.

 

[Alexander Hudson]

Yes, Scalping is risky if you don't have proper knowledge about this strategy.

 

[Kevin Vogt]

Scalping needs good entry and exit skills and a sound and composed mindset. Without these skill sets scalping is very risky. It's bad for trading psychology especially for newbies.

 

[Oscar Shumack]

Scalping is profitable strategy if you have proper knowledge about this strategy. But if you don't have any idea about this, it will be very risky to use this strategy.

 

[Gito Dinev]

Scalping is risky. But trading is also risky. Scalper deal with small pips, so small mistake can cost you big. So, my advice is that learn, test and then invest.

 

[Kazumu Fukunaga]

Yes scalping is risky especially for newbies. By doing scalping a newbie becomes habitual to lot of trading which leads to over trading. And over trading leads loss. Later it becomes very difficult to change the habits.

 

[Darragh Bell]

Scalping strategy is widely used by the new traders to make money quickly. Yes, it is risky if you don't have any knowledge about this.

 

[Alicia Lynch]

Yes, scalping is risky but if you do scalping with proper knowledge then the results can be good. But I always suggest for long time trading. Many successes can be achieved by trading with long time targets. To maintain risk, it is better to refrain from scalping.