How dangerous is scalping?

Not nearly as dangerous as you might think. 

In his best-selling book, The Black Swan, Nassim Nicholas Taleb talks about "the problem of silent evidence." He points out that people look at history from the perspective of the winners - those for whom the positive scenario has occurred. 

And what about the losers?

Trading, especially scalping, is no different. Traders talk rarely about the dangers of scalping. 

Yet they call scalping as one of the easiest trading techniques to make quick money. 

True, if done correctly.

Whether you're trading forex, stocks, cryptocurrencies or commodities, scalping requires dedication, attention and some knowledge. Proper, in-depth technical analysis is key here. And while these aren't skills you just learn overnight, it doesn't take decades to master them. 

After you get comfortable with technical analysis, you need to choose or develop a trading strategy.

And then you follow that strategy to the letter. 

Scalpers often do not know which signal to choose. This is usually because they clutter their trading charts with multiple technical indicators that contradict each other. 

The solution? 

Keep it simple!

You don't have to use ten trend indicators or momentum indicators. 

When scalping, the less the better. 

That's why I have developed a scalping technique with the heikin ashi chart that does just that: You can see at a glance if you should scalp or not.

And believe me: the process to develop this technique did not come by adding.

I developed the technique by leaving things out.

Leaving out more and more:

- Simplify charts (heikin ashi!)

- Omit indicators

- Omit overinterpretation

- Omit overtrading

- Omit second class signals

Until things became crystal clear and simple.

And guess when I became profitable?

Exactly.

After I took all these steps to simplify.

Success has more to do with omitting than adding....