There is a forex trading strategy that takes nothing more than 60 seconds form the point of entering the trade to the point of exit. This is one of the quickest strategies and time frames there is, and the profits made from this method of trading may not be much but it adds up if done over and over again. This method of trading is known as scalping.
Most traders must have come across the term “scalping”. It is one of the strategies that can be used to trade the forex market, and is based on real time technical analysis. The goal with this method is to hold a trade for a very short period of time and closing it out for small profit.
What traders need to know about this strategy is that it demands a high level of concentration and time as well. Since the strategy is based on real life happenings in the forex market, the trader will need to pay attention to every detail as that may make all the difference. Also, since, in this case, it takes just 60 seconds from the start to end of a trade; the trader will have to trade a lot of it for the sum total profit to amount to something substantial.
FEATURES OF THE 60 SECONDS FOREX STRATEGY
Here are some features of the 60 seconds forex strategy
- It can be used to trade every currency pair
- Its time frame is nothing more than one minute. Traders need to abide by this for the strategy to work as planned.
- It makes use of the following indicators: Stochastic 5, 3, 3, 50 EMA, and 100 EMA, all available and compatible with the metatrader platform
- This method of trading the forex market works better in a highly volatile market.
THE PROS AND CONS OF THE 60 SECONDS FOREX STRATEGY
Some of the advantages of this strategy are
- Limited exposure to risks
- Takes advantage of smaller moves which are known to occur far more frequently than larger moves
- This trading strategy can yield profits even in a quiet market environment
Some of the disadvantages of this strategy are
- A large deposit is needed to make a reasonable profit from a bunch of trades
- Information about the market may not be readily available to most traders, unlike bankers and dealers
- There is need for good reflexes, mathematical skills, and a good instinct.
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