Not profitable to daytrade, scalp forex?

I still havent understood whats your claim. Are you saying that its going to cost $15 on the spread no matter how much units you buy(as a long its less than one lot)If so, its a rule I'm not aware of.
 
Quote from Daal:

100,000
1.1(rate)
------
90909(other currency)

1.1010(new rate + 10pips)

100,090(result)

+$90 = $9/pip

100,000
4.5000(rate)
22,222

4,5010(new rate, +10 pips)
100022.22
$22 = $2.2/pip

Hows exchange rate not relevant?
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Daal,

I can't tell what you're trying to do with your math. If you want the formula for $ per pip it is far simpler than the above:

$ move per pip = Units traded * pip value

For example if you are trading EUR/USD which has a pip value of .0001 and you are trading 100,000 units the $ per pip is 100,000 x .0001 = $10. You don't include the rate in the calcuation except in figuring how many pips you made or lost on a given trade. I hope this helps clarify the calculation.

So if you have a 1.5 spread and are trading 100,000 units on EUR/USD the cost would be $10 x 1.5 = $15 in spread / commish.

If you are trading with a 4 pip spread and are trading 75K units, the cost becomes: $7.5 x 4 = $30 in spread / commish.
 
Daal

My feeling is if you can’t trade stocks after a few years odds are you can’t trade anything. It’s not the market it is you. This is the hardest job in the world so there is no shame in failing. I think the only shame is trading is bitching. It does not help you take fault and without taking fault you can never have success. I did not saying your bitching but I think the best idea is to stay focused on the market you are trading now. Commissions or spreads don’t matter because all bookies charge fees.
 
Quote from Daal:

Someone havent gotten laid in a while
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Why get offensive?

I do not understand your math either, it's not well formatted. Your spread/commission is based on the units traded and the spread (like TriPack explained). The exchange rate is only a factor when the quote currency is not the same as your account base currency. The funds in your account is never a factor for how much spread you will pay.

More basic information about forex can be obtained from the pages below, I hope you will find it useful.

http://fxtrade.oanda.com/help/
 
Quote from ElectricSavant:

Another thing to note:

At Oanda its is not really streaming flowing quotes, its more like an Interactive broker type of quote, but much slower. What I mean, it is a 5 second snapshot type of quote...

I just thought you scalpers would want to know...also as you know there is not any volume indicators in Forex, but some clever traders use pip frequency...(but at Oanda that may be jaded)

Michael B.
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Can anybody explain what pip frequency is? I have never seen this included in any FX platform. Would I be able to find this in any particular charting package?

Thanks
 
They are out there...I will look...stay tuned...

Michael B.


Quote from Faris:

Can anybody explain what pip frequency is? I have never seen this included in any FX platform. Would I be able to find this in any particular charting package?

Thanks
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In the long run, due to the spread, the average trader will lose money. But that doesn't mean that many traders can't get significant gains in the short run.
 
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