The trader usually opens a position in scalping and watches how the market behaves. The trader has to be there full-time to watch the market. They are the take profit and the stop loss; he is the one to close the trade whether with a loss or gain. When the forex market moves in his favor, he waits for some time, and when it starts to move against him, he closes the trade before he makes a loss. However, if a trade is entered and the market immediately moves against them, they wait, hoping the market will reverse and advance in their favor. But if it continues to move against anticipation, the trade is closed with a loss.
The scalping forex strategy is riskier and should be practiced by forex traders with a substantial amount of money in their account so that in case of any misbehaving of the market, they will not be stopped and their market wiped. With large amounts of funds, you can trade using more oversized lots, meaning that you gain a significant profit for every few pips that the market moves in your favor. By this, you will close your orders just when the market moves by a minimal number of pips, which is common in the forex market. The market will mostly move up and down while forming a bar, line, or candle, depending on the one you are using on your chart. Therefore, with the larger lots, you can be guaranteed profit in any position you open.
However, we should all keep in mind that the larger trade lots also mean more significant losses in case the forex market moves against you. So, if you enter with a large trade lot and your account cannot withstand substantial losses, you will risk being called.
This is why it is always a must to have an indicator during scalping to help guide you when opening a trade position. The free scalping forex indicator is designed for such purposes.
Using the free scalping forex indicator
The forex indicator has a zero line at the center of its mt4 chart. This is the indicator line that, when crossed, tells whether to sell entry or buy.
The buying entry signal is when the zero line is crossed upwards, and the color of the histogram becomes yellow. The indicator will draw a vertical line on the chart to indicate where to buy.
On the other hand, the selling signal arises when the zero line is crossed downwards, and the color of the histogram becomes red. The indicator will draw a vertical line on the chart to indicate where to sell.
After opening an order, you are advised to close it when resistance or support is reached.
Should never use the free scalping indicator during forex economic news as the news causes the forex market to react very fast, and the indicator may not be effective.
Scalping Forex Indicator Free Download