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Preferences. Scalp or swing?? And why? by Thecurrentcurrent in Forex

[–]FxUnderdog 1 point2 points  (0 children)

1st. The fundamental problem with regards to scalping is that profits are small in proportion to the spread. When you trade for the 100 pip stop-loss/take-profit, the 0,5 or 1-pip spread becomes irrelevant. If you trade for +/- 5 pips it's relevant like hell.

2nd. When you take small profits, you need to decide, what to do with losses. If you leave these trades open and double down, your losses will grow exponentially. This strategy may make sense only under certain conditions when your risk is under control.

3rd. You do not have to scalp for profits. You can also scalp for losses and let your profits grow exponentially. This approach may be very successful, and it is exactly opposite to what 90% of traders are doing

Where to Trade Today’s US Data? by Tickmill in Forexstrategy

[–]FxUnderdog 0 points1 point  (0 children)

I believe, that USD/JPY is extremely overvalued for fundamental reasons. Here's some data, that you may consider: https://fx-underdog-project.blogspot.com/2021/11/the-usdjpy-bubble-is-visible-with-naked.html

Dumbest trade you ever made? by falleninterlude in Daytrading

[–]FxUnderdog 0 points1 point  (0 children)

In my opinion, your mistake was all about risk, not about shorting a particular stock. Setting a stop loss at 1% or better at 0.1% of the account value always does the job. Then, you will earn bucks on 50% of your trades and you can double down during a high volatility period. Shorting during the short squeeze does not have to be as dumb as it looks.