yogeshwartyagi Posted November 27, 2011 Share Posted November 27, 2011 Traders that use scalping because open and close big no. of trades daily they pay big commission in form of spread to brokers, still some brokers dont allow scalping. What do you think the reason may be behind their doing so? Quote Link to comment Share on other sites More sharing options...
senger Posted December 5, 2011 Share Posted December 5, 2011 Scalping is the best way to get money in Forex, but certainly we have an obstacle stands higher spreads. So we have to search for small brokerage Quote Link to comment Share on other sites More sharing options...
yogeshwartyagi Posted December 5, 2011 Author Share Posted December 5, 2011 Scalping is the best way to get money in Forex, but certainly we have an obstacle stands higher spreads. So we have to search for small brokerage  I agree with you @senger, in scalping we open and close a trade for only few pips and if we have to pay higher spread most of earning we make shall go to broker, so we should take every effort to get lowest spread, we should also explore about plans that offer spread back on trading a certain no. of lots. Quote Link to comment Share on other sites More sharing options...
budado Posted December 7, 2011 Share Posted December 7, 2011 scalping is now allowed by some broker because they want you to loss. That's simple I can think about. Just think like this. If you trade and have big pips loss. That means you loss a lot. But that would not going to happen if you do scalping. Although I don't understand also why they bothered simply because they can still earn via pips differential. But I guess.That's what this is all about. Differentials. Quote Link to comment Share on other sites More sharing options...
luke1 Posted January 28, 2012 Share Posted January 28, 2012 The scalping method can make more money much higher than the Long Term strategy here. this is why many brokers still do not allow the trader to do this. Because it is not good for the Broker company. Quote Link to comment Share on other sites More sharing options...
flybiz08 Posted March 28, 2012 Share Posted March 28, 2012 This is true and if the scalper involved is very successful. Another thing to consider is the broker type and that is important. Most market makers if not all od not allow scalping as they may take a lot of losses if the scalper is very successful. Quote Link to comment Share on other sites More sharing options...
adnan007 Posted March 29, 2012 Share Posted March 29, 2012 The main reason as per my views is the fact that scalping allows traders with the facility to earn a few pips by opening huge position, say a trader can also earn $100 per pip by opening a huge position. This might be the reason why many forex broker doesn't allow it. However, there is not always the necessity the trader will end up in profits but in most cases a scalp trader do finish up in profits. Quote Link to comment Share on other sites More sharing options...
budado Posted April 6, 2012 Share Posted April 6, 2012 The scalping method can make more money much higher than the Long Term strategy here. this is why many brokers still do not allow the trader to do this. Because it is not good for the Broker company. Actually this is not true. Base on reviews many brokers site stats. Does traders you frequently trade using scalping method has higher chance of losing all of their funds than those who trade long term. In fact theirs so many well known bots, veteran traders, institution that have good earning using long term method but theirs none that uses scalping method that last ten years. In short some who have gain great profit using scalping in the end they incur more loses than those who trading using long term. Quote Link to comment Share on other sites More sharing options...
yogeshwartyagi Posted April 6, 2012 Author Share Posted April 6, 2012 I dont agree completely with the view expressed by you my friend @budado, there is no reason to consider scalping more risky than other trading strategies. In fact as scalpers do not play for big profits their stop loss are also tighter and so there is no way thinking they can lose big on single or few trades, rather it makes the trader confident of making profits in small amount again and again with a feel of safety. Quote Link to comment Share on other sites More sharing options...
antthenait Posted May 1, 2012 Share Posted May 1, 2012 Though scalping is the best way to make better profit from any foreign exchange. But still now some broker won't support this scalping. I hope that very soon each and everyone should accept this. This procedure can make some changes like little improvement. But it can not make some big changes. Quote Link to comment Share on other sites More sharing options...
euro Posted October 15, 2013 Share Posted October 15, 2013 I've heard that they have to pay liquidity coverage on your scalping so therefore they do not profit from it. IF they do make a profit then they have pay for their liquidity coverage so basically they don't make any money. So its not profitable so they don't really care for it. Plus, when you scalp, you profit and requests way too many payout so they don't like that either cause its too much work, inconvenient, jamming their system and also cash outflow. They also lose members as scalpers lose they also close off their account so no long term earning from them. Quote Link to comment Share on other sites More sharing options...
fxchamp420 Posted October 24, 2013 Share Posted October 24, 2013 Most brokers are just bucketshops that hedge against your position to profit when you lose.. So when you scalp there and make alot of cash they dont want to pay and just give you the boot...IF they are a legit broker they will always pay and help you scalp as you both will be making good money... Quote Link to comment Share on other sites More sharing options...
Bagus Posted October 30, 2013 Share Posted October 30, 2013 Most brokers are just bucketshops that hedge against your position to profit when you lose.. So when you scalp there and make alot of cash they dont want to pay and just give you the boot...IF they are a legit broker they will always pay and help you scalp as you both will be making good money... I think there is also because many brokers that give you advantages in get in your trades and they do not try to reduce it in your trades so that obviously you have to do is how to continue to work in this trade with a better course Quote Link to comment Share on other sites More sharing options...
uncle gober Posted October 30, 2013 Share Posted October 30, 2013 I like to do scalping, especially with broker which i'm using now. I get the best trading conditions to do scalping, i get the lowest spread, fast execution in my broker, Armada Markets. Quote Link to comment Share on other sites More sharing options...
rofi93 Posted November 2, 2013 Share Posted November 2, 2013 scalping is more profitable, but scalping is very risky...so, many brokers don't allow scalping...as scalping is very risky i think people should avoid it.... Quote Link to comment Share on other sites More sharing options...
budado Posted November 3, 2013 Share Posted November 3, 2013 Its because of traffic. Since doing scalping add traffic to the market it's going to slow down the broker sites connection result to requote. This is the main reason why I can end up having good profit without any problem at all. I'm sure we all be making one good income in here and I'm sure in two to three years time I can handle my account in forex without doing scalping. Quote Link to comment Share on other sites More sharing options...
uncle gober Posted December 11, 2013 Share Posted December 11, 2013 scalping is more profitable, but scalping is very risky...so, many brokers don't allow scalping...as scalping is very risky i think people should avoid it.... Â I think my broker allowed this scalping method. With Armada Markets all trading strategies are allowed. You can scalp, use expert advisors (EA-s), hedge your positions or trade during news releases. the other, armada markets offer super lowest spread and fast execution. it is suitable for the scalper trader Quote Link to comment Share on other sites More sharing options...
euro Posted December 15, 2013 Share Posted December 15, 2013 I think they don't allow scalping cause scalping cause them to pay liquidity coverage as well and they do not profit from your scalps. Also, they do not like to pay out profit when you gain profit while you scalp so therefore scalping is not profitable for them at all. Also, it causes way too may trades resulting in system jamming. Quote Link to comment Share on other sites More sharing options...
screw_twizz Posted January 1, 2014 Share Posted January 1, 2014 scalping is now permitted by some agent simply because they wish you to damage. That is basic I can consider. Think in this way. In case you business and still have massive pips damage. This means you damage a whole lot. Yet that will definitely not gonna occur should you choose scalping. Even though My partner and i don't get furthermore exactly why many people frustrated given that they can nevertheless gain through pips differential. Yet I guess. That is just what this specific is centered on. Differentials. Quote Link to comment Share on other sites More sharing options...
Decub Posted January 8, 2014 Share Posted January 8, 2014 Sometimes I really find it difficult to understand why some brokers don't allow scalping. I begin to wonder if it does not give them a fair and credible name as brokers that allow scalping it there is a kinda fee they have to pay for allowing their traders to scalp. Quote Link to comment Share on other sites More sharing options...
standart Posted January 24, 2014 Share Posted January 24, 2014 scalping is the fastest way to collect big profit. since it risking high margin per trading. however, it happen if traders good only. however, currently brokers realize that newbies tend to use scalping in trading. so, they are allowing scalping technique and get benefit by newbies losses. especially if those brokers typical dealing desk. Quote Link to comment Share on other sites More sharing options...
Stekin Posted January 29, 2014 Share Posted January 29, 2014 Some brokers don't used to allow the scalping style of trading because it makes the traders who don't know how to scalp to lose big amount of money. This is my opinion but I think this is the reason why the brokers will not allow scalping. After all, they are the one that will be making more money but they choose not to allow it. So I'm sure it will be because traders lose. Quote Link to comment Share on other sites More sharing options...
budado Posted July 12, 2014 Share Posted July 12, 2014 I do believe theirs only a restriction on how long before you close your position. Usually its only about 5 minutes holding period. So if you are a scalper some how its really not a big fuse. I do scalping and I hold my position for 20 minutes to one hour before closing it and I never experience trying to close my position in less than 5 minutes anyway. Quote Link to comment Share on other sites More sharing options...
Decub Posted July 12, 2014 Share Posted July 12, 2014 Sometimes I feel the reason might just be from server. If the broker checks and see that their server might not serve well for that fast execution, they might decide not to. Also, it might be because they don't get adequate clients to scalp and they could see it as a waste of time doing so. Quote Link to comment Share on other sites More sharing options...
budado Posted July 17, 2014 Share Posted July 17, 2014 Most requote happen when the server of our trading platform gets a lot of activity. And usually this happen when theirs a lot of scalper. That's why its very important that the server is not flooded with activity in order to prevent lots of requotes. This is the main reason why many forex broker sites has an holding period of at least three minutes. Quote Link to comment Share on other sites More sharing options...
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