Proof that scalpers can make money

I am of the opinion that scalping has more to do more with the amount of ticks or points and less to do with the time. I consider 1 to 8 points in the ES as a scalp. Especially, if it is a one legged move. If two legs then I generally consider it an intraday swing scalp. It can happen in 5 minutes or it can happen in one hour. One tick is a scalp. Two ticks are a scalp. One point is a scalp.... For me 4 points is a scalp. It may occur over 2 min or it may take 20 minutes. I still consider it a scalp. On volatile days I even consider 12 points to be a scalp.

I know it is perhaps not the traditional definition of a scalp but it is my definition and I am anything but traditional! For myself I am not interested in taking a scalp less than a point. Even though 2 ticks is a scalp I consider only taking trades that I believe will render me at least a 1 point profit. One point is my minimum scalp.

Therefore, if I take a trade and it took 3 hours to render me a 4 point profit I consider that trade to be a scalp. Granted that would be very unusual but still I see it as a scalp. On the other hand I may capture 4 points within 2 minutes of entering the trade. That too is a scalp, for me.
 
Let's agree to disagree that as a scalper,
a) we've to obey entry rules once our setup gets triggered,
b) exit rules can be flexible and is up to each individual scalper,
c) stop loss rules must be executed if entry rules are violated.
 
QTrader20 said:
Believe it or not, I find scalping setups are much less risky than day trading setups and my scalping style is much less stress than day or swing trading.

On average, my trading system produces few different high probability scalp setups to trade everyday. It is so rare these days that I end up with three consecutive losing trades, unless I make random trades with itchy fingers when I get bored.
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scalping is definitely less risk as long as you follow your system. it's also a more consistent money maker. But i wouldn't consider your strategy scalping. more like intraday trading. still much less risk than holding positions overnight though. Generally the more trades you have, the more reliable your strategy is.
 
I just read the OP. Initial thoughts.

50 trades is statistically insignificant. If you need to be told that nobody can help you.

Ive been in the game a long time. 21 years. I know from experience new traders usually choose intraday scalping as they have small accounts and are action junkies.

The odds are stacked against you and you have huge psychological pressure to scratch a living with a small account.

You will normally hear gurus say things like start off making $100 a day, then $200 etc, you will take it out on your wife/partner/friends. this will eat you out from the inside.

This is completely wrong as you are making a psychological anchor to a daily target. When you don't make that target or lose you judgement will be clouded.

You will hear people quote 90% of retail traders lose. The 10% winners is a snapshot so it's a false positive. Most of the 10% winners is due to luck in a snapshot, on a rolling basis nearly everyone is losing on shot time frames. The market moves to liquidate you, it really is as simple as that.

Then you have the burnout factor of intraday scalping day in day out for years. I haven't seen anyone last 10 years. It will suck everything out of your life, I have seen this over and over again watching traders self combust on a trading floor.

This is why you are better off trading once a day with your small account and saving from running a business/job. Preferably the former if you have the intelligence and motivation. You won't do this because making $100 on a $10k small account isn't exciting enough for you and it won't pay the bills.

Once you have a 250k+ account the pressure is completely off, it's a complete mindset shift. An experienced trader will comfortably make 50k a year from a 250k account without over leveraging. You shouldn't peg that 50k to the account size or timeframe though as the market will give you what its going to give you. Once you have 500k account the is so little pressure to make money on a daily basis. It really doesn't matter if you are up or down 10k. You have to understand the market will give and take and you have to be at peace with that.

just my 2c.
 
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So far so good on Monday morning across multiple accounts..........

I executed a wrong order from scalping account last Friday while getting distracted on ET... one losing trade already :banghead:
 
ShadowHunter said:
I just read the OP. Initial thoughts.

50 trades is statistically insignificant. If you need to be told that nobody can help you.

Ive been in the game a long time. 21 years. I know from experience new traders usually choose intraday scalping as they have small accounts and are action junkies.

The odds are stacked against you and you have huge psychological pressure to scratch a living with a small account.

You will normally hear gurus say things like start off making $100 a day, then $200 etc, you will take it out on your wife/partner/friends. this will eat you out from the inside.

This is completely wrong as you are making a psychological anchor to a daily target. When you don't make that target or lose you judgement will be clouded.

You will hear people quote 90% of retail traders lose. The 10% winners is a snapshot so it's a false positive. Most of the 10% winners is due to luck in a snapshot, on a rolling basis nearly everyone is losing on shot time frames. The market moves to liquidate you, it really is as simple as that.

Then you have the burnout factor of intraday scalping day in day out for years. I haven't seen anyone last 10 years. It will suck everything out of your life, I have seen this over and over again watching traders self combust on a trading floor.

This is why you are better off trading once a day with your small account and saving from running a business/job. Preferably the former if you have the intelligence and motivation.

Once you have a 250k+ account the pressure is completely off, it's a complete mindset shift. An experienced trader will comfortably make 50k a year from a 250k account without over leveraging. You shouldn't peg that 50k to the account size or timeframe though as the market will give you what its going to give you.

just my 2c.
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You guys kept responding without reading my post carefully... Didn't I repeatedly say about hundreds to thousand of trades through back-testing & forward-testing for years?????
 
Option_Attack said:
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spot on. the most consistent trader I have met used to work on my floor. 19 days a month he would make 2k - 3k on his 500k account. always happy and relaxed. roughly 1 day in 20 he lost between 3k to 10k. You knew those days as he would leave the floor without saying a word. we were trading highly co-integrated energy spreads. from the trade expectation above you can probably work out averaging into positions was involved.
 
ShadowHunter said:
spot on. the most consistent trader I have met used to work on my floor. 19 days a month he would make 2k - 3k on his 500k account. always happy and relaxed. roughly 1 day in 20 he lost between 3k to 10k. You knew those days as he would leave the floor without saying a word. we were trading highly co-integrated energy spreads. from the trade expectation above you can probably work out averaging into positions was involved.
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If you're what you say you are, I'd love to hear and appreciate any input from industrial experts. Thank you for your opinion :)
 
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