Differences in Day trading and Scalping in Forex Trading

In short-term forex trading, there are two terms of trading strategies that are often used. Both are day trading and scalping. In general, day trading is conducting short-term trading transactions, usually in one day. Likewise Scalping, transactions tend to be large in a short amount of time. rnWith a similar trading process, it's natural for those of you who are just learning online forex trading, these two strategies might look similar. However, there are quite large differences in the way of forex trading both of these strategies. Trading Period A day trader, as the name suggests, trades in a matter of hours every day. The average day trader opens a position within a period of 2 to fifteen hours each day. Meanwhile, a scalper actually trades in a very short period, usually in only one to five minutes. Large Capital Used If a day trader allocates funds with the aim of getting a consistent profit in daily trading, it is not the case with scalpers. A professional scalper opens account positions with large amounts of capital and produces profits quickly in trading a few minutes. Some scalpers also open several positions at the same time in a trading session to double the profits they get. With a trading style like that, a scalper has a greater risk than most day traders. Risk Management and Experience To become a scalper who is able to gain profit consistently requires considerable experience. This is because a scalper has never doubted his predictions. When opening a position with a large amount of capital, he already knows the direction of market movements so that in a matter of minutes, his trading position has made a profit.rnOf course, this is not suitable for beginners in forex trading. So, for those of you who are studying online trading, the day trading method is recommended. Trading Results With such a fast trading method, a scalper is able to collect trading results very quickly. If a day trader needs one or two days to get his trading results, then in the same period, chances are that a scalper has scored several profit transactions.