Forex day trading or scalping involves trying to catch small moves in the market, for small regular profits which build up, to make a huge income over time and it's the choice of most novice traders, as they consider it a low risk way of trading - so how do you make huge gains day trading?
In the past, day traders made huge money and trading legends such as Buzzy Shwartz popularized this method of trading but today, day trading and scalping doesn't work and the reason is obvious:
In days gone by a few select traders, had the price information before everyone else and they had a small window of time, to get in and out the market ahead of the crowd and this trading edge, made them huge profits but today this edge is gone - why?
Because everyone has the price at the same time at the click of a mouse, thanks to the internet. If you look at daily volatility, you will see it's random and if you have random volatility, you don't have the odds on your side and that means you can't win.
You will find lots of robot vendors telling you they can scalp x number of pips per day and its a good story and appeals to greedy naïve investors but its not true. Just check for a verified track record and you won't find one - just simulations going backwards knowing the closing prices!
If you try scalping or day trading you will end up making a lot of effort for nothing as eventually your going to lose. If you want to win forget day trading and Forex scalping and look to trade longer term time frames, where you can get the odds on your side and can win. Not only will you have the potential to make huge gains, you will spend less time on your trading.
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