Swing trading vs scalping...

[effx]

I'm going back and forth on these 2 style of trading.

With swing trading i can target big pips and less stress but with scalping system i only need to target a few pips (small movements)...

Hmm.. which one do you suggest?

[Enivid]

I prefer swing trading. Scalping often leads to the overtrading and eventually to a pure gambling in my case. And with swing trading I have so much more free time!

[joeee85]

everyone can try forexproindicator . Thumbs up for this indicator .

[Enivid]

Originally Posted by joeee85

everyone can try forexproindicator . Thumbs up for this indicator .

What is this forexproindicator? And where can we get it?

[joeee85]

Originally Posted by Enivid

What is this forexproindicator? And where can we get it?

Hi Admin , are you sure I can share it here ? cause i do not wanna break the forum's rules . I'm not working for the company nor advertising for this indicator , I'm just sharing something i think it's good . But if any one of you are interested to know about this indicator , feel free to PM me .

[Enivid]

Originally Posted by joeee85

Hi Admin , are you sure I can share it here ? cause i do not wanna break the forum's rules . I'm not working for the company nor advertising for this indicator , I'm just sharing something i think it's good . But if any one of you are interested to know about this indicator , feel free to PM me .

Oh... It's a proprietary indicator. I am not very fond of those. Usually they turn out to be no better than the other free custom indicators.

[FXexpert]

I use swing trading, scalping can lead to overtrading as Enivid said.

[Karl Strauss]

Hi All,
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Karl Strauss
Harvard University

[effx]

i see you guys are more into swing trading. The problem is i read that you need a big account to sustain the draw down because we're targeting at least 50 to 100 pips in bigger time frame.

[Sinnerman]

Originally Posted by effx

i see you guys are more into swing trading. The problem is i read that you need a big account to sustain the draw down because we're targeting at least 50 to 100 pips in bigger time frame.

Hold on, hold on... If you choose the right broker and you apply proper money management rules, there is absolutely no reason why a swing trader would need a bigger account than a scalper. Trading a $100 position with a 1,000 pip stop loss is essentially the same as trading a $10,000 position with a 10 pip stop loss - in both cases you have exactly $10 at risk. The only difference is that if you include the spread, you actually have a much higher probability of having your 10 pip stop loss hit than the 1,000 pip stop loss, simply because the spread is a much higher percentage of your risk. If the spread is 3 pips, as soon as you enter the trade you will be 3 pips down, which is a big deal if you have a 10 pip stop loss, but not so much of a big deal if you have a 1,000 pip stop loss.

It's all relative. To put it succintly, swing traders generally have a higher probability of their trades achieving success, if you think of the market as nearly random, so a swing trader's "mathematical expectancy" will generally be higher. However, if a scalper manages to produce a viable positive mathematical expectancy, his long-term profitability will generally be higher than a swing traders (not to mention his stress levels). In other words, it is more difficult to produce a profitable scalping system, but IF you manage to do it, then it will most likely be VERY profitable due to the high volume of positive expectancy trades going through.