Stocks & Commodities V. 23:10 (76-78): Scalping As A Trading Style by Vadym Graifer
Product Description
Stocks & Commodities V. 23:10 (76-78): Scalping As A Trading Style by Vadym Graifer
Scalping got a bad name during the 1998–2000 market boom, mostly thanks to the media. Does scalping really deserve the bashing?
Scalpers inhabit an area of fairly small trade movements and feed off the table of bigger fish. The casualty rate is high (although this statement cannot be limited to scalpers only), but those who survive are well prepared to profit, in spite of the constantly changing trading environment. This ability to adjust immediately is worth it, as such a skill is necessary to prosper in difficult and quickly changing markets.
BUT WHAT IS SCALPING?
The basic definition of scalping is a trading style in which a trader takes a profit on the first leg of a movement, not allowing the stock any meaningful retreat. It is based on an assumption that it is easier to get a higher amount of winning trades when profits are taken faster, minimizing the cases when relatively small profits evaporate and turn into a loss. This is contrary to the more conventional and commonly accepted approach where a trader lets profits run, risking losing them on a reversal or a severe pullback, and trying to make up for a diminished win/loss ratio by a bigger ratio of winner vs. loser.
Scalping got a bad name during the 1998–2000 market boom, mostly thanks to the media. Does scalping really deserve the bashing?
Scalpers inhabit an area of fairly small trade movements and feed off the table of bigger fish. The casualty rate is high (although this statement cannot be limited to scalpers only), but those who survive are well prepared to profit, in spite of the constantly changing trading environment. This ability to adjust immediately is worth it, as such a skill is necessary to prosper in difficult and quickly changing markets.
BUT WHAT IS SCALPING?
The basic definition of scalping is a trading style in which a trader takes a profit on the first leg of a movement, not allowing the stock any meaningful retreat. It is based on an assumption that it is easier to get a higher amount of winning trades when profits are taken faster, minimizing the cases when relatively small profits evaporate and turn into a loss. This is contrary to the more conventional and commonly accepted approach where a trader lets profits run, risking losing them on a reversal or a severe pullback, and trying to make up for a diminished win/loss ratio by a bigger ratio of winner vs. loser.
FOR THOSE ORDERING ARTICLES SEPARATELY:
*Note: $2.95-$5.95 Articles are in PDF format only. No hard copy of the article(s) will be delivered. During checkout, click the "Download Now" button to immediately receive your article(s) purchase. STOCKS & COMMODITIES magazine is delivered via mail. After paying for your subscription at store.traders.com users can view the S&C Digital Edition in the subscriber's section on Traders.com.
| Take Control of Your Trading. |
| Professional Traders' Starter Kit |
| All these items shown below only $299.99! |
| Click Here to Order |