Forex scalping is a trading strategy used by forex traders that involves buying or selling currency pairs with only a brief holding time in an attempt to make a series of quick profits. The purpose of scalping is to make a profit by buying or selling currencies and holding the position for a very short time and closing it for a small profit. Forex scalpers look to make a large number of trades, taking advantage of the small price movements, which are common throughout the day. While scalping attempts to capture small gains, such as 5 to 20 pips per trade, the profit on these trades can be magnified by increasing the position size.

Here are some key points to keep in mind about forex scalping:

• Forex scalping involves trading currencies with only a brief holding time, and executing multiple trades each day.
• Forex scalpers keep risk small in an attempt to capture small price movements for a profit. The small price movements can become significant amounts of money with leverage and large position sizes.
• Forex scalpers typically use ECN forex accounts, as a normal account may put them at a disadvantage.
• Scalpers must be highly disciplined, competitive by nature, and decisive decision makers to succeed with these types of trading strategy.
• Various technical trading systems exist to aid in scalping, many of which are offered directly by online brokers or exchange platforms.
• Scalping is high-speed trading and therefore requires lots of liquidity to ensure quick execution of trades. Only trade the major currencies where the liquidity is highest, and only when the volume is very high, such as when both London and New York are trading.
• Scalping is not for those looking to make big wins all the time, but rather for those who like raking in small profits over the long run to make an overall profit.

Forex scalping can be a profitable trading strategy, but it requires discipline, a sound trading plan, and a thorough understanding of the risks involved.