A lot of student's perception coming into our program about trading is usually one that consists of taking money, buying stocks, holding and praying that it will eventually go up.
Though that is true for a lot of traders and investors around the world, there is also a different way.
What if you could trade in the market in as little as one or two hours and often get the same results as you would buying shares of a company and holding them for months or even years?
It's called scalping and it's one of many strategies we teach at LearnToDayTrade.net.
Even though scalping is not necessarily a secret strategy or underground trading method, it is an uncommon approach to trading mainly because people just simply don't know how to do it.
But it can be one of the most financially rewarding methods if learned and practiced correctly.
So, what are some of the benefits to scalping?
1. Time. Probably the biggest reason many successful traders choose scalping as their main strategy is due to the fact that you can trade for as little as one or two hours and produce a very rewarding result, often surpassing that which they would get working a forty hour week job.
2. Leverage. A lot of traders come to the table with a lot of talent but don't have the capital to create a long term career out of trading. Leverage allows traders to use a large amount of money for a short amount of time.
If used responsibly, this can give traders the capital they need to go into the market and make hundreds of dollars in hours or even minutes.
One common strategy used among students in our education program uses a five minute Total Number Threshold chart. These trades can typically close in as little as ten to twenty minuets. Pending on leverage and account size, these scalps can produce $50 or even $100 dollars per trade.
Take three or four of these opportunities in a couple hours and you can see how it's possible to make $200 or $400 in a short amount of time.
3. Flexibility. There are many ways to scalp and many markets to do it in. The currency market, for example, is one that allows our students to trade at a time that fits their schedule. They can scalp before or after work and spend only a couple hours doing so. This is especially beneficial as this can provide extra income in a short amount of time and not have the heavy burden of a second job.
Does scalping have to be risky?
Scalping absolutely does not have to be risky. We spend a lot of time teaching our students proper position sizing and how much money they should be risking on any given trade.
We also spend time teaching trade recovery techniques like hedging and price averaging.
These are techniques that can reduce the amount risk you might take on in a trade and give you options in case something goes wrong.
But it is one of the many things we teach in our program that gives our students an edge in the market and allows the time to focus more on what is important to them.
Watch a live demonstration of scalping.
If you would like to learn more about scalping, there is a free webinar that introduces our indicators and using them to scalp the market.
You can access that here.
We will also be holding a live scalping event and forum in March. You can learn more about this amazing opportunity here.
Looking forward to making it great!