This video was sent to us by a student who has the Trade Scalper software. He wanted to know if he was doing everything correctly; mainly placing a trade according to the Long signal generated by the Trade Scalper. Below, John Paul reviews the video and provides commentary. Enjoy!
At first glance, you can probably tell the Trade Scalp signal software provides exact long and entry signals. Each signal is accompanied by a directional arrow. The idea is to place an order as soon as possible, as close to the signal price as possible, after the signal appears. Scalping tends to be fast-paced, so you want to be ready to place a trade soon after hearing the alert sound.
John Paul recommends MIT or LIMIT orders. Keep in mind, you may encounter a tick of slippage. The risk, rather the profit target and stop loss, are based on the ATR (Average True Range). This is common among our trading methods. We like to let price “tell us” where it can realistically go at a given moment.
The trade placement occurs at 1:43 in the video. It’s a Long MIT order that is filled almost immediately. The stop and the target are placed automatically due to the ATM Strategy that was previously created and then selected for this trade. If this trade didn’t work out within four or five candles, then it’s good to get out at whatever price that is, which could be a smaller profit, break-even, or a loss. It’s really important to practice with real-time live data for a reasonable period. Then when you’re ready, you can begin trading markets with a funded account.