Trading the financial instrument has been gaining huge popularity in today’s world. In the past trading, the financial instrument was only limited to the large banks and institutions since a huge amount of trading capital was required to trade the live assets in the market. But now a day’s most of the reputed brokers are now offering a high-leverage trading account to the traders which enable them to execute high-quality trades in the market with relatively low amount of trading capital. There are many methods of trading the financial instrument and among different trading styles, scalping has gained huge popularity among the novice traders. Since scalping is done within a very small timeframe so in order to make consistent profit from scalping it’s highly imperative that you chose the right online trading account. In this article, we will discuss the things that we should consider to open a trading account as scalpers.
The speed of execution and tight spread: Scaling generally refers to the term of trading the financial instrument in the smaller time frame. Most of the time the duration of the trade usually varies from few seconds to few minutes in the market. The professional trader’s aims for 10 – 20 pips in each trade with very tight stop loss. So you should be extremely careful while choosing your online trading account for scalping since it requires extreme fast trade execution. Your broker should provide you direct market access from your trading platform so that your orders are filled instantly without any delay. The second thing that you should consider is the offer spread of the trading instrument in the market.
Figure: Extremely low spread, best trading environment for scalpers
If you trade in the high spread instrument than chances are very low that you will become profitable scalpers in the market.SO always try to find reliable brokers offering tight spread with lightning speed execution of the trade.
Robust trading platform: Having a robust trading platform is a must for the scalpers in the financial industry. If you are relatively new in forex trading then you might not understand the importance of the trading platform. But you should be 100 percent sure that your trading platform is able to execute trades in the market without any delay and stop orders and take profit levels are filled at the exact price without any slippage. If you have slippage in your trading account then you might face huge loss while trading high lot size in scalping. As a trader, you should also make sure that your trading platform has all the essential trading tools arranged in a user-friendly manner so that you can do your technical analysis in your robust trading platform with a great level of ease.
Cross-device technology: Most of the novice traders tend to trade the financial instrument from one specific type of device but if you look at the professional traders than you will notice that they can access to their trading platform from a wide range of the device. Your online trading account should come up with the cross-device technology so that you can access to all the offered financial assets in the market from the various electronic device. Some trading platform lacks a great deal from device to device. For instance, you might have full functionality of your trading platform in PC but when you use your smartphone you might have limited access to your trading tools in the market. So make sure that your trading platform has no such limitations and you can easily trade all the assets and do all forms of analysis in the market from your single trading account.
Summary: Scalping is one the most profitable and riskiest method of trading the financial instrument in the world. If you truly want to become a profitable scalper in the world than is highly imperative that you have the right trading account with the right trading platform in the market. Make sure that all your trades are executed directly in the market and there should be no slippage in the execution of your orders in the market. And while executing any trades in the market consider the current spread of the market since it will make a great deal of difference in your trading performance.