Scalping is a very short-term trading strategy in which traders aim to extract many small profits from minimal price movements. Positions are typically held for only seconds to a few minutes. Scalpers focus on highly liquid markets with tight spreads and fast order execution, as even minimal transaction costs can significantly affect profitability. In forex trading, scalping is especially common, particularly in major currency pairs. The strategy requires high concentration, quick decision-making, stable technical infrastructure, and strict risk management. Scalpers often use Level 2 market data, order book analysis, and short-term chart patterns. Due to the high trading frequency, cumulative transaction costs play a major role, which makes the choice of broker and account type particularly important for scalpers.
