Forex Price action scalping: Only scalp when the spread plus commission is one PIP or less.Use a 70 tick chart with a 20ema and no other indicators. Target of 10pips and a stop around 6 to 7. Using indicators is a losing proposition that will only add confusion and doubt. The market cannot be beaten. A trader can only strive to be those in it less proficient than himself. We have no guarantees; we just trade probability. Those who strive for glory in trading are simply deluding themselves. Double Doji break: 1. 2. 3. 4. 5. Look for a pullback to around the 20ema. Look for two dojis or small candles in a row. The key: temporary, compressed in decision. Entry bar: takes out high ( for longs) or low ( for shorts) For there is no point speculating over other traders’ motives. All he has to go by is what takes place in the chart on a recurring basis. And this task should be to exploit repetition. 6. Do not front run a break. First Break: 1. First bar in a substantial pullback that gets taken out in the direction of the trend. 2. Enter with trend to capitalize on a quick resumption of the market’s original intent. 3. There are three conditions: (1) a strong trend with bigger frame participants; (2) full-fledged pullback; (3) the first pullback to go against the trend. Second Break: 1. A superior setup than the First Break. 2. It is a pattern that could be seen as to first breaks following each other in relatively quick succession. 3. If the first break fails, this is the second with-trend attempt to end the pullback. 4. Enter at the moment the second signal bar gets broken in the direction of the trend. 5. As long as the market is trending and not running into obvious resistance, we should consider every orderly pullback a temporary event and use it to our advantage by trading our setups at every possible turning point. 6. And there is arguably no higher probability of a winning trade in the market than to take that trade with-trend after a pullback peters out. Double Doji break, first break, and second break are with-trend entries. but also in keeping them from slipping back into the box after a break. trades go sour all the time. 3. we immediately enter the market on a break of the box. (2) as a horizontal pullback in a strong trend. the more players will spot the same break. We should always bear in mind. There are three likely places where this can show up: (1) as a block of bars in the end of a pullback. nothing more and nothing less. the whole idea of losing will become a non-issue. Inside Range Break: 1. giving in to a sudden burst of boredom after a prolonged spell of inactivity is like walking away from investment that is just about to sprout. though. Losses are the costs of doing business as a trader. Prices that break through this barrier are already exhausted. A most simplistic description would be to characterize the pattern as a cluster of price bars tightly grouped together in a narrow vertical span. (3) as a block of bars in a non-trending market. Preferably. a scalper’s task is all about tuning in to the beat of the market with as little information as possible. meaning that the top and bottom side of the pattern clearly represent resistance and support. There needs to be buildup. 2. If prices eventually break free in the direction of the path of least resistance. less is definitely more. 3. The 20-bar ema can be an excellent aid not only in pushing prices through a barrier defense. the barriers of this block of bars are made up of several touches each. . In a scalper’s world. 4. that regardless of our wonderful setups. The range will ultimately crack. to accelerate towards the nearest barrier. once broken free. But once we understand that giving profits back to the market is part of the exact same process as taking profits from it. A range-break trade in the middle of the range. Although not nearly as detrimental to a trader’s overall results as the other case. 4. The longer it lasts and the more defined the barriers can be drawn. because there is no pre-breakout buildup. pre-breakout tension is one of the better leads to a dependable breakout. New strategy could ever be devised to prevent that from happening. Think of a coil being suppressed by a now-weakening force that is bound to give in. Back is a terrible way to celebrate and often leads to a very classic trap. 4. It is not uncommon for prices. Look for a proper squeeze: prices are literally being sandwiched between the 20ema and the barrier line. Range Break: 1. That makes the broken horizontal barrier the signal line to our entry point. 2.Block Break: 1. As is the same with the BB setup. But not all breaks are created equal. 3. 2. At the end of the day. What is a false break? When the market comes down from a high of pattern straight to the lower and it breaks the low almost instantaneously. which will enhance the likelihood of necessary follow-through. and this one folly will no doubt continue to entertain the public for as long as there are traders. A well-chosen tipping point is not just a spot on the chart. is to minimize the damage in case the market turns sour on the trade. . the average stop will be about 6 to 7 pip. 8. Fight as hard as you can. This is a profession. the maximum loss on any trade will be determined before the actual trade is put on them will stand for as long as the position is active. The essentials are pretty easy. not a constant game of win or lose. is a surefire way to remain forever stuck in the non-profitable phase of trading. It has been a recurring theme in many trading anecdotes. This is like a breakout pullback. but only in the direction of the target and never the other way. The cluster basically hangs around the barrier. but resilient enough to not prove the initial break false. 7. To set up can be classified in two ways. To protect a trade from ever becoming a loser by pulling a stop to breakeven is simply asking for an early exit.5. It cannot be stressed enough how important it is to not hit the X. on the other hand. Tipping Point Technique: 1. Such is the nature of trading. 3. They can never be defeated. 2. Not exiting an invalid trade is the cardinal sin of trading. The idea behind this. 2. and that his commitment. is free to be adjusted as the trade progresses. When prices take your time. 3. It must bear technical significance. even when it hurts. obviously. grabbing whatever tiny profit. Advanced Range Break: 1. 5. A trader has to rise above his fears of losing and giving back profits. button when confronted with these very typical counterattacks. But. And so can be the reluctance to pull the plug on a position when it is time to bail out. In this scalping method. The urge to get out of the trade when it is still technically valid can be extremely powerful. on the other hand is the true disgraceful feat. Bailing out of very healthy trades at the slightest sign of counter activity. It is not uncommon for a trade to come dangerously close to being stopped out. either on top of it ( for possible longs)or below it ( for possible shorts). Fight it. For example. These two little quirks reside in each one of us. sometimes the barrier level is running right through the center of it. The target objective at all times is 10. fortunately. the stop level. The first is as a clustering number of bars stagnating around the broken barrier level. The second is more of a pullback variety. there is a wicked clever enough to stop these little demons right in their tracks. Whereas the target level should never be tampered with. 6. Respecting a stop can never be a shameful act. disrespecting one. This last point to get out – the ultimate tipping point – usually lies a pip above or below a signal bar or at a level above or below the top or bottom in a particular pattern. 4. the power of demoralization can be excruciatingly strong. To simply do what needs to be done.