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 is only two parameters: the size of the deposit and the size of the planned profit.

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

This is unlikely to be achieved with leverage less than 1:100, which means 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, as the result will also be influenced by factors such as the number of trades opened, the profit margin for each order, and the percentage of profitable trades.

But it is the 1:100 leverage that serves as the main benchmark for calculating the transaction volume; the second indicator is the size of your deposit itself.

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

Cryptocurrency volumes

Here, slightly different principles apply: firstly, rarely does a broker offer leverage greater than 1:10; secondly, the speed of cryptocurrency trend movement is several times greater than that of conventional currencies.

Cryptocurrency scalping brokers - https://time-forex.com/brokery-dly-skalpinga

This means that you can earn much more from a single transaction, despite the low leverage and, accordingly, smaller volume.

For example, a deposit of $100, leverage of 1:10, the BTCUSD rate of $20,000 - a trade of $1,000 or 0.05 lots at the current rate can be opened.

To be fair, it should be noted that the high volatility of the cryptocurrency market still doesn't compensate for the lack of leverage; higher spreads increase the time required to bring a trade into profit, thereby reducing the number of intraday trades.

Often, a trader's calculator is used to find the optimal volume of transactions - https://time-forex.com/programmy/mega-kalkuljtor