Scalping - Which Technicals to use?

[Danny1984]

Hi pls can any one give me a good technique for trading the forex market,i do trade around resistance and support levels for now but its not so profiting.

 

[tape reader]

I've been scalping for quite some time now (US stocks).
I'm using fast stochastics, the price oscillator (it's like a MA crossover histogram), MAs, support and resistance lines, time&sales, and I'm using candlestick bars as indicators (the bars themselves and/or formations).

I've found that volume can be VERY misleading. Though I keep looking at it.
I've also found that Level II is not so very useful. But it's nice to have it.

 

[KB_BigBiker]

Newbies

Hello,

How are your all, hope doing well..

 

[Carlosyabrudy]

I use MA and Momentum.... has worked out 50% of the times but my timing could be a lot better.

Have started incorporating RSI too...

I use one MA on price....
MACD
Momentum
RSI

5 min charts.... 1 min charts to confirm....

10 point system for the Footy
10-20 points for the US30...

£1-5 a point..... depending on certainty

 

[apollo1970]

Hi everybody, been spread betting for 6 months, started poor but things improving, would like to use 20 & 50 day MA cross overs, does anybody know any sites or software that can alert you when this happens ?

 

[tape reader]

Hi everybody, been spread betting for 6 months, started poor but things improving, would like to use 20 & 50 day MA cross overs, does anybody know any sites or software that can alert you when this happens ?

MA crossovers is one of the basic alerts in eSignal.
Normally it requires some code writing skills but not for this one.

There are some futures brokers too who'll send you an alert or call you up.

 

[stesens]

This post brings out the most important point for a scalper (like any other trader).

You get your advantage by waiting until the odds favour a move in the scalp direction of xx points. Then you take it, place stop and target and wait again (not long for a scalp). A (good) trader is like a (good) poker player. She waits for a good hand and then plays to win.

On technicals try a couple of emas to look for bounces from them. If you want another indicator try a stoch or maybe a rsi or cci ... whichever one seems to you to show overbought/oversold situations where the ema bounce is most likely to happen. Set your targets for a small measured move back in the direction of the original trend (some use keltner or bollinger bands to provide targets). Scalps with the trend are the easiest hands to play but you need to learn to wait.

If you're getting a 75%+ win rate than a 1:1 winsize/losssize is acceptable but even for high reward scalping 1.5:1 to 2:1 ratio is going to make profitability easier to achieve.

very interesting Nine
I trade futures with SB and normal platform
can you suggest more tecnique?

usually I start with 1£ bet and the average if going up or down and take profit

bye

 

[paddlepop]

Good advice Nine!
Just to add a bit of meat to your post I detail my personal settings for scalping and the reasoning behind them.
I use 3 ema's 15/20/50.
I highly recommend the use the 'K' setting of Stochastics 8-3-3 and not the 'D' as it gives early warnings of changes in momentum.
CCI is better for scalping than RSI in my opinion, as it has more functions than RSI. It has divergence, hidden supports and resistances that can be used as horizontal levels or fucrums for the trendlines as well as finding the peaks and troughs if the setting is correct for the timeframe in use.
I agree CCI is more complex but if it is learned then it is a gold mine. I look to match chart peaks and troughs with CCI and Stochastics peaks and troughs for safer scalps.
If the ema's have just started, then scalp with the trend using overbought/sold CCI and Stochastics signals.
A tip I have learned is to watch the ema's to see how long they have been going then look for divergence on either or both the CCI and Stochastics.
I call this 'swing scalping' as I am looking for big scalps at the end of a mini trend but exit when there is danger shown via the CCI and Stochastics.
As a summary, scalp in the direction of the trend until the ema's suggest it is at an end and then look to find the top/bottom of the chart via the CCI/Stochastics/trendlines and then get the big swing scalp at the end.
Finally, trendlines are ALWAYS drawn on opening prices and ignore spikes and opposing candles.
I use two CCI's for better control. a longer term and a timeframe specific CCI, this ensures I identify all the peaks and troughs as well as the recognising the overall trend direction - as confirmation of the ema's.
The reason for the ema's is that you need to know when a mini trend is starting as you should expect divergence, whereas when the trend is coming to an end, the divergence gives you early warning of a swing scalp.
Using the swing scalping technique, it should return an average of well over 1% per day but it requires total concentration.
Unless traders have the time and the patience, trade something less time consuming.
Good luck to all you scalpers, and remember, swing scalping is the most profitable.
Regards.
George
"Trade what you see and not what you hear or hope."

2George, CCi in what period?

Thanks

 

[asiatrader98]

Hi I am scalping everyday but just capture the spread for a living
& only position trade when the big move run:clap:

 

[Lord Lucan]

Hi I am scalping everyday but just capture the spread for a living
& only position trade when the big move run:clap:

Hi Asiatrader,

What market do you trade?

Thanks

 

[SFL Trader]

Don't use any technicals. They're worthless. Keep staring at the order book and watch the size. Mr. Black is right. You should probably look into futures but since you are in the UK, you should probably go with the Bund/Bobl/Schatz or the Eurostoxx.

 

[jimbob42]

SFL

A most interesting site and a most unique approach to advertising.
Thanks for the link

 

[SFL Trader]

I call it like I see it.

Thanks for taking a look.

 

[ftse1001]

Don't use any technicals. They're worthless.

B*gger - hadn't realised

4 years of profitable full time trading using a MACD and HA Candles.....

I believe technicals work

 

[fxnovixe]

can some one give the best resource available to learn different forex scalping tactics?

 

[One Eyed Shark]

sure you will find something here Trading Systems @ Forex Factory

 

[clbfjc]

Does anyone use marketdelta, if so what do they think and how do they use it.