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Scalping pay more spread to broker still some broker dont allow it, why?


yogeshwartyagi

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That is it, and I think it takes a broker with a very strong server to do so. I also think that the number of scalpers are really increasing in recent times. Well, it is more important that the trader himself goes for the broker that offers even a tighter spread and not just that which allows scalping.

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  • 3 weeks later...
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Its not really that they don't want it. Its just some restriction on how long you can hold your position. Some does not allows us to open and close our position in less than two minutes. I think if you do scalping its okay also. I do scalping and I hold my position for 30 minutes on average and that is more than 2 minutes minimum requirements in some forex broker sites.

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well, require time to process the order into the market. while if traders implement scalping, which can open and close position within minutes, there are no time to brokers process the order and withdraw back. so, brokers which allowing traders to conduct scalping usually act as a market maker. they are does not process the order into market.

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I'm sure that the reason why some of the brokers don't allow scalping is because they don't have the server that scalping needs. This is because scalpers need a very fast and dedicated server in other for them to be able to execute their trades well and this fast and dedicated server is not available in all brokers so that there won't be delays in execution time.

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I don't think saying that scalping is not allowed is some how put out of context. Its more or better to say that theirs an holding period. Some think that its not allowed but actually I don't know any forex broker site that does not allow scalping. They just have time minimum required to open and close position. So if you can just hold your position for five minutes and close it then I don't see any reason why we say its not allowed scalping. Its not allowed to close position too early. That's all.

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scalping is form of order which it opened and closed within minutes, and even second. brokers don't want to transfer such order approach into the market. well, if brokers allowing traders to conduct scalping, usually brokers will act as a dealer. which mean, brokers does not process the order into the market.

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  • 2 months later...

I don't know if scalping pay more spread as far as i know all kind of trading are same as long as you open it during the spread is low then it will be low. About don't allow it i am sure that is all about server problem, some brokers simply does not have good servers to handle so many request from scalpers.

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I'm sure that the reason why some of the brokers don't allow scalping is because they don't have the server that scalping needs. This is because scalpers need a very fast and dedicated server in other for them to be able to execute their trades well and this fast and dedicated server is not available in all brokers so that there won't be delays in execution time.

I think so, so if we want to do scalping, we must choose broker which allow traders scalping. But we also must follow the rules. And every broker has own rule for scalping.

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scalping is form of order which it opened and closed within minutes, and even second. brokers don't want to transfer such order approach into the market. well, if brokers allowing traders to conduct scalping, usually brokers will act as a dealer. which mean, brokers does not process the order into the market.

But since it is faster than other usual trading like swing that is why the server has problem with it, Also it is common for scalping to open more than one postion, can you imagine in few seconds there are very much orders which make this broker like got an attrack from DDOS.

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Scalping might be one of the best way for a broker to earn from their clients, but only for honest ones. If a broker is scam than he will never allow that, as they are market markers so they need time to steal our money, but with scalping we can earn fast and close it, so that’s why most don’t allow it. I trade with a true ECN broker like OctaFX, as they allow me to do scalping as they are a legitimate and true ECN company, so they are happy if we make profits not like other brokers.

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Scalping might be one of the best way for a broker to earn from their clients, but only for honest ones. If a broker is scam than he will never allow that, as they are market markers so they need time to steal our money, but with scalping we can earn fast and close it, so that’s why most don’t allow it. I trade with a true ECN broker like OctaFX, as they allow me to do scalping as they are a legitimate and true ECN company, so they are happy if we make profits not like other brokers.

Some brokers limited your chance to scalp, you will never do scalp fully and you must wait for certain time. This is one of their way to reduce a lot of traffic. Honestly i also agree with you that broker who does not allow scalping is a scamming broker, and for sure i think that is unregistered dealing desk which is bucketshop type broker.

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  • 1 month later...

It is because brokers are doing desk dealing so they cannot control the traffic if people do scalping. We must remember that no matter can stop a client from scalping unless it has low leverage, so they have to set rules like we have to keep trades open for certain time or the keep the check on the percentage we could make up from one trade.

 

I hate this kind of tied down so I only trade with OctaFX broker because they are known for scalping and it is available on their site that all the technique which includes scalping, hedging or news trading is allowed, therefore we can relax and also they have low spread of just 0.2 pips.

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  • 2 weeks later...

I get a profit in the forex business using scalping techniques. I opened and closed the trading no more than 2 minutes. I need the speed of execution and low spreads to gain maximum profit. I am now comfortable trading with this system in my broker

 

To get maximal result, we must be able to understand market movement in forex. We can try to use demo account to help us understand market, get the best trading strategy for trading.

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To get maximal result, we must be able to understand market movement in forex. We can try to use demo account to help us understand market, get the best trading strategy for trading.

 

yes, but the fact is not easy to get the maximum trading. therefore we can try to trade using a demo account first for us to understand the movement of the market very well. In this way we were able to succeed in forex trading

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yes, but the fact is not easy to get the maximum trading. therefore we can try to trade using a demo account first for us to understand the movement of the market very well. In this way we were able to succeed in forex trading

And what is the correlation between that and scalping paying more spreads but most broker does not allow it? It seems your are a bit out of topic dude. Well, if we see clearly that most of scalpers especially to experienced one tend to send more than one request and usually in shorter time,makes it more like DDoS to server rather than normal request to ask or bid, this is one of the reason, but i am not sure if scalping paying more spreads at the moment.

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And what is the correlation between that and scalping paying more spreads but most broker does not allow it? It seems your are a bit out of topic dude. Well, if we see clearly that most of scalpers especially to experienced one tend to send more than one request and usually in shorter time,makes it more like DDoS to server rather than normal request to ask or bid, this is one of the reason, but i am not sure if scalping paying more spreads at the moment.

 

I think because it will also influence their server. But regardless it is true or not, i don't know. I also ever do scalping when trading. Some of broker allow traders to do scalping, but with rules. And i think we should know about it.

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We think of the gross implications it has on the broker itself. It's not all brokers that have the server to accommodate the requirements of scalping. That is also what I see as the major reason a lot of them do not allow this and most often, the main reason they are simply good with the form of trading they offer.

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We think of the gross implications it has on the broker itself. It's not all brokers that have the server to accommodate the requirements of scalping. That is also what I see as the major reason a lot of them do not allow this and most often, the main reason they are simply good with the form of trading they offer.

Actually a good broker or broker that claim they are one of the best broker around the world should have a good infrastucture to support all kind of legal action from their client including scalping. If they don't it is fraud to the client. So if your broker cannot accept scalping then you should questioning their credibility, since you did legal thing and not hacking.

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  • 2 weeks later...

I think because it will also influence their server. But regardless it is true or not, i don't know. I also ever do scalping when trading. Some of broker allow traders to do scalping, but with rules. And i think we should know about it.

In the broker that i am using right now when you scalp there's no such rules. You can scalp anytime and anywhere you want, as long as you still have margin. And i said it is because server before, right? In fact there are some reasons but most of it because  of server, and also scalpers love lower spread even if you combine it long term still paying bigger fees, but this is not the main reason.

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  • 3 months later...

Scalping is all about making profit in small amount of money and the frequency is faster, my first thought that broker does not allow or limit it because of their server cannot handle a lot of people that will doing scalping in relatively closer time. or the second because they are DD broker that aim to do SL hunter

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when choosing a broker we should be able to know what are the advantages provided by the broker. I now choose a broker that provides benefits to the trader by providing favorable conditions for trade with scalping. I am now with TICKMILL because the broker is giving me the opportunity to trade scalping without any restriction. although trading under one second
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when choosing a broker we should be able to know what are the advantages provided by the broker. I now choose a broker that provides benefits to the trader by providing favorable conditions for trade with scalping. I am now with TICKMILL because the broker is giving me the opportunity to trade scalping without any restriction. although trading under one second

Anyone should do that, searching advantage of broker will be so much helpful for them but not all provide, there are some that were good but now turning and seems like having policy that against their trader. As for scalping, it is all about server condition and if one broker does not allow scalping it means that broker having some secrets or problems

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