What is scalping?

Scalping is an ultra-short-term trading strategy, where the holding period is usually only a few seconds to a few minutes, with the goal of quickly profiting from small price fluctuations. Traders take advantage of high leverage, low spreads, and fast execution to enter and exit the market multiple times in a short period. This strategy is suitable for highly liquid markets, such as forex, cryptocurrencies, and stock index futures. Scalping requires traders to have a high level of psychological resilience, technical analysis skills, and execution speed, making it suitable for day traders or algorithmic trading programs.