When people talk about Forex trading online in the short term, they almost always talk about scalping. After all this is one of the most profitable Forex trading strategies, and you can do a scalp effectively with only 100 USD as trading capital. But scalping is also one of the most risky and tiring strategies so people easily make mistakes.
Scalping is a term for trading strategies that prioritizes large quantities of orders that are closed only after a few ticks. Scalping takes advantage of very small price movements on tick or minute charts and often only captures minimal profits for traders.
To determine when it's time to open a position, scalpers always analyze the news and try to jump into bullish and bearish movements. This amplitude or range of movements is not a problem - scalper jumps out after profit of only 5-10 pips.
5 pips is equivalent to 0.5% profit - a very small number. But that is only one deal. Scalper opens dozens of orders every hour. Not everything works, but at the end of the trading day, experienced scalpers often get 5% pure profit which is equivalent to 100% monthly profit, provided that scalper works in routine working hours.
However scalping is very demanding and certainly not for everyone. For one successful scalper, there are hundreds of other scalpers who lose all their money because of using this strategy.
Linkback: https://www.forex.zone/forex-education/29/what-is-scalping-in-forex-trading/1247/