Scalping - optimal volumes of opened trades

Online trading on the stock exchange has gained particular popularity due to the ability to use scalping strategies.

Earnings on short-term transactions and with high leverage allows you to get thousands of percent profit per year.

At first glance, there seems to be nothing simpler than scalping, in which there is no need to make long-term market forecasts, but you just need to open short-term transactions with the maximum volume.

But just with volumes, not everything is clear; many beginners are interested in the question of position size, because both the size of profit and the risk of opening transactions depend on this.

How to determine the optimal volume for scalping?

The main guideline in this matter are only two parameters - the amount of the deposit and the amount of planned profit.

For example, if you have $100 in your account and you want to earn 1000% profit in a month, then the average profitability of transactions should be about 50% per day.

This is unlikely to be achieved with a leverage of less than 1:100, which means that the trading volume in this case should be at least 0.1 lot or $10,000.

It is clear that this example is rather approximate in nature, because the result will also be influenced by such factors as the number of opened transactions, the amount of profit for each order and the percentage of profitable transactions themselves.

But it is the leverage of 1:100 that serves as the main guideline on the basis of which you can calculate the transaction volume; the second indicator is the size of your deposit itself.

If desired, you can use larger proportions; the amount of available leverage now reaches 1:3000, but at first it is better that the size of the opened order does not exceed the size of the deposit by more than 100 times.

Volumes by cryptocurrency

Slightly different principles apply here: firstly, rarely do any brokers provide leverage of more than 1:10, and secondly, the speed of trend movement in cryptocurrencies is many times greater than in conventional currencies.

Brokers for cryptocurrency scalping - https://time-forex.com/brokery-dly-skalpinga

This means you can earn much more from one transaction, despite the small leverage and correspondingly smaller volume.

For example, a deposit of $100 leverage is 1:10, the BTCUSD rate is $20,000 - you can open a transaction with a volume of $1000 or 0.05 lot at the current rate.

To be fair, I would like to note that the high volatility of the cryptocurrency market still does not allow one to compensate for the lack of leverage; higher spreads increase the time required to bring a transaction into profit, and therefore reduce the sheer number of intraday transactions.

Often, to find the optimal volume of transactions, you can also use a trader’s calculator - https://time-forex.com/programmy/mega-kalkuljtor