Scalping

Short holding times on low timeframes, with strict rules because costs take a bigger share of each trade.

Recommended timeframesContext on M15, execution on M1 / M3

Sample content, pending review by Bangrazka

Overview

Scalping aims for small moves inside the active session. Spreads and commissions are a large share of each target, so only liquid instruments and the most active hours are suitable.

Objectives

  • Capture short moves with tight, defined risk
  • Trade only in high-liquidity hours
  • Keep costs below a fixed share of the target

Suitable market conditions

  • Tight spreads
  • Active session
  • Clear intraday direction

Tools and indicators

  • Market structure
  • Fair value gaps
  • Session high and low

Market bias

Follow the M15 structure; never scalp against it.

Fair value gap
Illustrative diagram, not real market data.

Entry rules

  • Wait for an M15 pullback into a zone
  • Enter on an M1 break of structure in the M15 direction

Confirmation

  • Momentum candle away from the zone
  • No major level directly in the way

Stop loss and take profit

  • Stop beyond the M1 swing
  • Target the nearest liquidity pool

Risk management

  • Lower risk per trade than swing approaches
  • Hard daily trade limit
  • Stop after two consecutive losses

Valid example

M15 bullish. Price pulls back into an M15 fair value gap, M1 breaks structure upward, entry with a stop below the M1 low.

Invalid example

Spread widens before a release while price is in the zone. Skip the trade.

Common mistakes

  • Overtrading
  • Ignoring costs
  • Scalping in thin markets

Advantages

  • Many opportunities
  • Short exposure to the market

Limitations

  • Costs matter a lot
  • Mentally demanding
  • Sensitive to execution quality

No strategy guarantees profit or a particular win rate. Test any approach on a demo account and size every trade from a fixed risk.