3 RULES FOR PROFITABLE TRADING ADVISERS SCALPERS

3 RULES FOR PROFITABLE TRADING ADVISERS SCALPERS

3 rules on how to choose and profitably trade forex advisor for scalping. We look at market activity, choose the right broker and examine the trading conditions.

Scalping on Forex, even though it is one of the most difficult technically and psychologically types of trading, has long been deservedly popular. Naturally, the creators of advisers did not bypass scalping.

At the moment, an indescribable set of paid and free scalping robots based on different principles and trading strategies is available to the trader. Some advisors trade only at certain hours, some trade regularly. Some advisers work better, some worse. But, as a rule, a scalping Expert Advisor shows profit for a certain period of time, after which there is a period of calm and a series of transactions with a loss.

Often, the implementation of a particular scalping strategy in an adviser reaches the point of absurdity, which leads to the broker closing the trading account on which such an adviser is installed.

What rules should be followed in trading scalping advisors on forex?

RULE NUMBER 1. SCALPING – ONLY AT THE RIGHT TIME

First of all, you need to understand that increased volatility is the first enemy of a scalper adviser; he loves when the market is calm. Therefore, if the price draws long candles, which, as a rule, is observed during the coincidence of sessions, it is necessary to forbid the adviser to trade, wait for the calm phase, and only then begin to scalp again.

To a large extent, this refers to the events of the exchange calendar. Even novice traders know that before the publication of important economic news, volatility can increase significantly; therefore, a scalper adviser trading during this period can quickly bring a loss to your deposit.

For robots that trade only during certain hours (usually night scalpers), the GMT Offset parameter is relevant, which reflects the difference between your broker’s time and GMT. Periodically, this parameter needs to be checked, especially during the transitions to winter or summer.

On Fridays, when the trading week comes to an end, and in the last 2-3 days of the month, large market participants often close their positions. This time is also not suitable for a scalping robot, which is easy to see when testing any scalping Expert Advisor.

RULE NUMBER 2. WHEN “LESS” MEANS “BETTER”

The second, but no less critical, the point is the choice of a forex broker, or rather, the choice of a suitable spread for the currency pair on which the adviser for scalping trades, the amount of commission (if any) and the speed of order execution.

Before installing a scalping robot, check all of these conditions. Naturally, the smaller they are, the more comfortable the Forex advisor will feel. Ideally, you can spend a little time to choose a broker and the type of account on which there will be minimal spread and time for execution of orders.

RULE NUMBER 3. DO NOT BE LAZY TO TEST THE ADVISER

In addition to the terms of trade, of course, you need to pay attention to the adviser itself. Using the test results, you need to figure out what logic is the basis of the robot, what size take profit and stop loss it sets, how many transactions it opens and how long it keeps them open.

Do not be lazy and test the adviser in the tester, not forgetting the size of the spread. For example, if a scalping Expert Advisor sets stop losses of 200-300 pips (for 4-digit quotes), then the word scalper is unlikely to apply to it. The stop loss for a scalping robot should not exceed 50-60 points (depending on the currency pair being traded). Otherwise, it will already be a robot-outstripped and not a robot-scalper.

If the lifetime of a transaction opened by a scalping adviser is no more than 1-2 minutes, be prepared for the fact that a forex broker can block your trading account.

If testing shows that the average retention time of an open transaction is of the order of several minutes, then such tests have nothing to do with the real state of affairs, and such a robot, at best, will trade at zero, at worst it will merely merge the deposit.

Pay attention to the average profit per trade. It should be at least 2 points. The number of transactions – the more, the better. If the number of sales is small enough – this is a reason to suspect that there is a natural fit for the story.

However, it should be remembered that the test results are not accurate in the first instance, and the real effects of future trading may not coincide with them.

Having spent a little of your time and observing these simple rules when testing scalping advisers and trading on a real deposit, you will see that the correct selection of a forex broker and a scalping robot will allow you to get stable profits in the Forex market.