Super profitable scalping on binary options, trading strategy
The scalping trading process contains a lot of different nuances that you have to pay attention to - either the broker limits
transactions, or problems arise with the speed of order execution.
This type of trading as binary options allows you to avoid most problems.
Moreover, it should be noted that scalping became available here not so long ago; previously, the minimum transaction duration was 5 minutes.
Now you can make forecasts for a minute or even for 30 seconds, practically this is no longer scalping, but more pipsing.
How is scalping done on binary options?
Firstly, it should be noted that leverage , and profit is accrued as a percentage of the transaction amount.
Scalping or long-term trades.
Some people claim that you can only make money on Forex by scalping, others claim that this is a guaranteed way to lose your deposit, and that
high leverage is evil.
There are many more opponents of scalping than its supporters, the reason for this lies in the frequent failures that await a trader who does not seriously assess the danger of scalping.
Long-term transactions have much less danger, primarily due to the use of minimal leverage; another option simply will not allow you to survive a major trend correction.
Therefore, unlike scalping, the main disadvantage of long-term trading is a large amount of capital; you can make significant money here only with an amount of at least $10,000. Since the profit at best is 5-10 percent per month.
Advisor for scalping, the best options for scalping robots
The scalping strategy is characterized by maximum profitability, which explains its popularity among traders, but not
every beginner will be able to cope with this type of trading.
Trading on the shortest time frames is quite difficult, and mistakes can lead to losing your deposit. Fortunately, there is an alternative solution, which can be the use of advisors for scalping.
The scalping advisor is an automatic trading script; it uses high leverage in its work and opens many transactions during one session.
This aggressive approach to trading allows you to maximize your returns even with a small deposit.
Below I will give some examples of such robots:
Scalping secrets you need to know
As with any scalping trading strategy, there are secrets, this trading option is quite risky, so in addition to the
pursuit of profit, one should not forget about risk reduction techniques.
Scalping secrets are essentially a set of measures that will help minimize the risk of losing your deposit, without limiting your earnings.
Moreover, these measures relate not only to the trading process itself, but also concern some organizational issues. Now let’s move on to the secrets themselves.
The right Broker is the number one secret.
Scalping is the entry point for a successful strategy
The scalping strategy is one of the most controversial in Forex; most traders simply do not understand how to find an entry point on
M1 or M5.
On such short trends, it is quite difficult to understand the direction of the trend and catch the beginning of its formation, but scalping is not always based on trend trading.
Scalping and pipsing is partly based on intuition, and partly on patterns of trend movement that can be identified over short time periods.
How to determine the entry point when trading scalping?
Differences between scalping and pipsing.
There are constant discussions among traders - What is the difference between scalping and pipsing?
Some argue that pipsing is one of the types of scalping, others talk about the fundamental differences between these strategies.
In order to understand the essence of this issue, you need to compare their main components.
• Leverage - when scalping its average size is from 1:100 to 1:200, when pipsing from 1:200 to 1:500, depending on the preferences of the trader.
Dealing centers and scalping.
More than once I have had to deal with the fact that a broker prohibits trading using the scalping strategy, and not just prohibits, but cancels transactions
(especially if they are profitable), or even blocks the account.
Different companies have their own restrictions on opening short trades, some simply limit their minimum duration to 3-10 minutes, others allow opening no more than 20 trades per session, and still others provide small leverage.
So for what reason do dealing centers not like those who trade scalping?
Time for scalping.
No matter what they say, the time of trading plays an important role when trading on the stock exchange, and this parameter is also important when working on
scalping.
It would seem that it makes no difference at what time to open a trade, but it really doesn’t matter if you are working on a long-term strategy, but with short-term trades a completely different situation can arise.
Scalping trading presupposes the presence of a stable trend, which is why the possibility of sudden price jumps should be excluded.
Profitable scalping.
Scalping trading contains a lot of features that make it impossible to call it simple; everything is important here, from the time when the trade is carried out to the
broker through which it is carried out.
The scalping strategy itself plays a special role, namely the principles on the basis of which entry into the market and completion of transactions is carried out.
At the same time, it is not always possible to adapt any of the usual strategies for scalping; here you need your own approach, taking into account the peculiarities of trading.
Strategic features.
Currency pairs for scalping.
The main feature of Forex trading is that every little thing is important, or rather,
there are no little things in trading.
For example, a correctly selected currency pair for scalping can significantly increase the profit received. The secret lies in the ratio of trading volumes, the large number of transactions concluded and the size of the spread.
For clarity, I’ll give you a small example: you are trading a currency pair with a spread of 2 points (or $20), you have $1,000 on your deposit, and the average transaction volume is 1 lot.
The danger of scalping.
The Scalping strategy has been and remains the most profitable on Forex; in fact, it is a chance to earn quickly and a lot, but in addition to
earnings, there is a high probability of being left without your money.
Therefore, before you start using this trading option, you should clearly understand its dangers; this will help you prepare for possible troubles, and even allow you to avoid some of them.
The troubles themselves can be related directly to trading or be of a purely technical nature; let’s move on to a more detailed analysis of them.
First of all, it should be noted that scalping is not just short-term trading, but trading using large leverage, usually its size is 1:200 or more. This factor is the main reason for the increase in risk.
Trading system for scalping.
Like any strategy, scalping must have a clear organization, only in this case you
will be able to make a profit instead of losing your deposit.
The trading system for scalping includes all the main aspects of trading, from options for entering the market, to the conditions for maintaining transactions and methods for closing them.
A trading strategy usually requires some refinement, since it mainly describes only the main points of trading, but often leaves out money management and additional risk insurance.
The best indicators for scalping on short timeframes
Usually, when starting trading using the scalping strategy, the question immediately arises about entry points.
here , since it is necessary to take into account not only the trend movement, but also the resulting rollbacks.
In this matter, you can trust your intuition or trade based on visual analysis, but the greatest effect is provided by scalping indicators; they allow you to make short-term trading more effective.
Scalping indicators are technical analysis tools that work correctly on the shortest time frames and provide signals to enter the market.
Their most effective use is noted on such frames as M5 and M15; when trading on M1, it is technically difficult to use indicators, but still possible.
Skalping pros and cons.
Very often I am asked, what strategy do you use for trading on the stock exchange?
My answer is Skalping.
Larry Williams One such quote is more than enough to defeat the arguments of opponents of scalping; a man who made more than a million out of 10 thousand dollars in a year proved by his example the right to exist of this strategy.
You can compare how much you would earn if you traded $10,000 versus if you traded conservatively.
As statistics show, conservative traders rarely have an income of more than 200% per annum, that is, the amount of earnings would be only about 10-15 thousand dollars, which is very far from a million.
Reducing risks in short-term trading.
Scalping has always been considered not only the most profitable, but also the riskiest
Forex trading strategy, but the thirst for profit always wins over caution.
Any trader wants to earn as much as possible and as quickly as possible, in order to at least somehow protect themselves from the risk of losing their entire deposit, there are several ways to deal with risks.
Only the right approach to money management will reduce to a minimum the probability of loss during scalping and especially during pipsing.
First of all, these are measures such as diversification, deposit insurance, correct choice of time frame and volumes.
Scalping tactics on Forex.
Unlike trading strategies using a similar scheme, scalping tactics represent a set of
universal techniques that can be used in any of the short-term trading options.
It is on tactics that most scalping trading systems are built, so if you decide to scalp, it would be a good idea for you to know all the tactical techniques of this strategy.
Short-term trading is based on the following points and techniques:
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