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Forex Scalping Strategies

February 22nd, 2011 Leave a comment Go to comments

forex scalping strategies
Is there a limit to how much money you can make trading currencies (Forex) ?

Well, let’s say you have a scalping strategy that can make you 25% per day. I know it’s high but lets say you did. If you start with $2,000, the next day you should have $2,500. The next day $3125 ..
Right? Well lets say you implement the same strategy with $5,000,000, you should be making $1,250,000 that ONE day.
Well back to my original question, is there a point where you cant make that much per day because of the size on the orders, where there wont be no one on the other side to fill your bid/ask because of it’s quantity? I hear that Forex is supposed to be the most liquid market of all.

I know that it is extremely difficult to profit 25% per day, but hypothetically speaking.

Thanks.

i hope i am interpreting your question correctly but i think the others answering have not.

if you have a theoretical scalping strategy worth 25% a day, it will not work with the higher quantities because it becomes much harder to execute a large order all at the same price and before the event occurs that will lead to the profit. it just becomes harder and harder to execute your orders precisely enough for the strategy to work which is why scalpers can do very well but they cannot be really big players. where this happens depends on your strategy.

there is however no upper limit on how much you can make you just have to find the strategy and have sufficient funds to execute it properly. i hope this is clear.

Forex Scalping Strategies – Fibonacci Levels


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