Scalping trading is one of the many tactics that can be used for the purpose of making money in trading activities.

As is known, money has indeed become one of the main goals of people in trading.

So, what is scalping? Check out the review below.

What is Scalping Trading?

Basically, scalping is a strategy carried out by traders by buying and selling commodities or stocks for a short period of time.

In fact, the time period between buying and selling this can be only a few minutes or a few hours. This scalping strategy has also become one of the methods chosen by many traders who want to make profits quickly.

Although at first glance it is almost similar to day trading, scalping will usually use a larger capital. In addition, if day trading will be carried out by traders every day, then scalpers or scalpers will only trade for a very short period of time, aka not every day.

In this case, scalpers will take advantage of small movements of certain commodities to pocket money. Because they are not affected by fundamental analysis or news, usually scalpers already have their own technical patterns consisting of various indicators.

Indicators Scalpers Always Look For

Scalpers or scalpers must also pay attention to every detail of small movements to be able to earn money. Well, here are some indicators that scalpers should pay attention to.

1. Moving Average

   This is the easiest indicator and is widely used by scalpers. In fact, almost all trading platforms have this indicator. The way it works is also quite easy, including for new traders.

   Related to that, you as a scalper only need to determine the time frame for trading and then put a number of moving average combination lines. However, test it first before operating it.

2. Stochastic

   The stochastic indicator has a slightly different way of working from other indicators. Scalpers generally only use this indicator to complement other indicators that are incorporated into one system. Well, if you are looking for recommendations, most reliable traders will usually advise you to combine this indicator with moving average bands or Bollinger.

3. Bollinger bands

   This scalper indicator has a low time frame and is widely used by traders. Although this one indicator is quite effective for use in ranging or sideways markets, the results will be different if used for trading when prices are trending. Because you may be at a loss. The reason is because bollinger bands are often difficult to scan for breakout bands. It will also affect the position that will be taken by the trader.