Which account to choose for scalping?
Scalping - the most profitable trading strategy that allows you to make almost any price movement. The essence of scalping is to obtain a small profit (from multiple points) for a minimum period of time, ie, the "scalp" in the jargon of traders, hence the name of the strategy. Such transactions per day can gain a hundred, a good profit can turn out as a result. Scalping is one of the most popular strategy among novice traders as it can be used to quickly disperse the deposit. But, as with any strategy, in scalping has its drawbacks, which can reduce profits to zero:
- High resolution spread. At the opening of the transaction you will be charged a spread, and you will immediately find yourself in the red. To overcome it, you have to wait until the price will be the necessary number of points in the right direction. Sometimes the spread is so large that price momentum is at best only enough to close the deal at zero;
- Re-quotes. On Cent and classic accounts often happen requotes - repeated requests for the opening of the transaction at the new price. As a result, you open the deal to a worse price, and combined with the high spread this deficiency makes scalping in a losing strategy.
However, there is a way out of this situation - this discovery ECN-accounts. Through STP technology (through processing of orders), you get a better price from the liquidity provider (bank) no re-quotes and tight spreads.
What kind of account to choose for scalping from RoboForex?
If you are going to scalp at RoboForex, you should open an account with ECN-PRO NDD, as it has several advantages:
- No minimum deposit;
- Floating spread from 0 pips;
- No re-quotes;
- Leverage - 1: 300;
- Small fee - $ 20 for 1 million USD turnover.
Look at the pictures below. When compared with the ECN-FIXSPREAD NDD fixed spread difference is obvious in favor of the bill ECN-PRO NDD floating spreads and the commission.
Figure 1 - The trading account ECN-PRO NDD
Figure 2 - The trading account ECN-FIXSPREAD NDD
If we compare the ECN-accounts of other brokers, then RoboForex best trading conditions for scalping. For example, in AMarkets size of the minimum deposit for ECN account is 1000 $, this amount can not afford not every novice trader.
See also, which offer favorable trading conditions are brokers for scalping.