Top 10 Best Scalping Forex Brokers

by | Jan 9, 2018 | Best Brokers | 0 comments

Would you like to give scalping a go, or are you a veteran just looking for the best scalping forex brokers?

Then read on.

We have searched for, and compiled a list of the top 10 brokers for scalping (even encouraging it, in some cases).

But that’s not all.

To understand this all better, let’s see what scalping is, and what features and services should be offered by a broker to be one of the best.

best scalping forex brokers

What is Scalping?

Scalping is a trading technique which focuses on profiting from the subtlest price variations of a financial asset.

The Scalper, is the trader who, more than anyone else, can achieve returns regardless of the general trend of the underlying asset. An index which loses an overall 2% value in one day could mean quite a few percentage points of profits for a good scalper.

A scalper doesn’t care for the trend direction of the financial asset, as long as it keeps moving.

How does scalping work?

The old (and correct) adage “let profits run, cut losses short” isn’t particularly relevant to scalping, at least as regards letting profits run. The scalper takes advantage of the market’s micro-oscillations, which have a set duration in time, from a few seconds to a few minutes, which is why it bears slim profits.

People who use this technique settle for small, yet fast, profits, continuously opening new positions on the market, trying to exploit its many oscillations, cutting losses to a minimum.

To take advantage of the continuous price variations, scalpers must dedicate several hours of activity to graphs, keeping a steady and constant focus and carrying out many operations. It isn’t rare to see scalpers performing even more than 100 operations in just a day’s trading.

How does the Scalper Trader earn?

As we’ve already mentioned, given the nature of scalping, the profits earned with just one operation are quite slim, ranging from a couple of pips to a few tens, at most.

So, for scalping to produce real profits, traders must focus on two things:

  1. finding many trading opportunities throughout the day;
  2. having a high percentage of trades closed with profits.

Other categories of professional traders, generally speaking, aim at having a good Risk/Returns ratio (from 1:2 up), which allows them to sustain even smaller percentages of success, even below 50%, still generating profits. However, this isn’t the case for scalpers. Taking profits after such short times, the Risk/Returns value tends to be quite low, which forces scalpers to keep an extremely high percentage of winning trades to constantly generate profits.

This activity isn’t for anyone. Besides having solid technology assets (such as PC, monitors, etc.) and a fast, stable connection, scalping requires extremely high self-discipline and concentration.

Furthermore, obviously, it is necessary to work with a good scalping Forex Broker, preferably one from the list below.

How much money does scalping require?

In addition to the high psychological capital, scalping normally requires a certain amount of financial resources. Having to profit from small market investments (a few pips or points at a time), to have noteworthy profits, the investment volume must be kept high.

Therefore, scalpers must have an appropriately funded account, or else work on a high financial leverage, which however does notably increase risks.

The best financial assets for scalping

High liquidity assets are among the preferred scalping markets, to avoid that the lack of buyers and sellers increases the spread between purchase and sell price to an excessive amount, making profits harder to achieve over the short term.

Highly capitalized and traded assets are therefore favoured, such as indexes, forex trades, and other assets which tend to have a good quantity of variations over the trading day.

The forex broker features for scalping

Given this peculiar activity, it is necessary to find a broker presenting the following basic features:

  • Availability of high liquidity assets (high capitalized assets, index and exchange rates);
  • Possibility to analyze markets with several indicators, possibly customizable;
  • “Market depth” visibility;
  • Direct market visibility, not an “artificial” version of it (dealing desk);
  • Exclusive intermediation activity, possibly directly on the market;
  • Swift order execution;
  • High financial leverage;
  • Bare-boned brokerage fees;
  • Easy trading platforms, fast and intuitive.

Given the peculiarities of scalping, not all brokers encourage it. Some even forbit it.

Best Forex Brokers for Scalping

This is why we have prepared a ranking of the 10 best broker for scalping. These brokers, besides not forbidding it, favour it through several services aimed at excelling in the above-mentioned features.

1. Pepperstone

Pepperstone scalpingOperating since 2010, Pepperstone has quickly become one of the best forex brokers in Australia and in the world (as its many awards can prove). The ECN access through cTrader with DMA (Direct Market Access), the low commission fees, and the reduced spreads make this broker ideal for scalping thus our best scalping broker.

2. FxPro

fxpro scalpingFxPro is one of the most famous Non-Dealing Desk forex brokers. An English broker famous all over the world, its quality of execution, innovation, and platforms, make this the perfect candidate for scalping. Through the development of several technologies, FxPro has always welcomed traders looking to easily automate their strategies (see cAlgo Algorithmic Trading, FxPro Library, FxPro Quant Strategy Builder, and FxPro VPS).

3. Markets.com

markets-com scalpingMarkets.com has been one of the fastest growing brokers over the last few years, thanks to its notable investments and the quality of their service (particularly for their multi-language support division, available 24/5, which has also earned them some awards). Markets.com is managed by Safecap, a Playtech PLC subsidiary, listed in the London Stock Exchange and part of the FTSE 250 Index. The goal of this broker is to work on as many markets as possible, to become a landmark not just for forex, but for the whole online trading world. With this vision in mind, it welcomes scalpers as well.

4. IC Markets

icmarkets scalpingRanked as one of the top 10 best forex brokers in the world, IC Markets is one of the fastest growing brokers in Australia. Its headquarters are in Sydney, and it has offices all over the world, including Vietnam and China. Its high financial leverage, low spreads, the absence of a withdrawal commission fee, the multitude of available trading platforms (including cTrader), make this an ideal candidate for scalping.

5. OctaFx

octafx scalpingOperating since 2011, OctaFX has been awarded the “Best ECN Broker in Asia – 2014” by the Global Banking and Finance Review, and the “Best Broker in Central Asia – 2014” by the Forex Report Magazine. The broker operates on many underlying assets, highly liquid and suitable for scalping. They also offer great promotional activities, such as their trading contests, carried out through their demo accounts, which do however include real money prizes. Their 50% bonus on deposits is also extremely interesting. Currently, OctaFx does not accept USA clients.

6. Divisa Capital

divisa capital scalpingDivisaFX, founded in 2008, provides premium conditions for institutional clients and professionals. The features of their offer suit scalping strategies quite well. This broker requires clients to open their accounts in United States dollars. However, clients can make deposits in GBP, EUR, and AUD. The funds will be converted to the main currency and credited to a business account.

7. Intertrader Direct

intertrader direct scalpingFunded in 2010, InterTrader Direct offers extremely low spreads and operations traded directly on the market (no dealing desk), through a proprietary web platform or through the MT4, which makes this a good broker for scalping. Its leverages aren’t too high, but it is possible to trade over 46 currency pairs, many indexed, and commodities.

8. Titan FX

titan fx scalpingTitan FX is a new generation broker. It is a ECN broker which provides the possibility to trade over the forex market and on commodities. Thanks to its cutting-edge technology, it provides next generation trading conditions: institutional level spread, swift order execution, high level liquidity, and the security over registration and financial supervision, all essential elements for scalping.

9. Activtrades

activtrades scalpingActivTrades was founded in Switzerland in 2001, as a small brokerage firm, then it moved to London, in its current headquarters, in 2005. Some applications they have developed allow to perform calculations which ease operating decisions. Besides, ActivTrades offers a free Authochartist account, which is considered the market leader in intraday trading tools, with access to the latest findings, such as Key Levels and PowerStats, great assets for your scalping.

10. RoboForex

roboforex scalpingDespite the name, this broker does not offer automated trading services, but it focuses on offering a wide variety of Forex Trading services, professional ECN accounts (through cTrader), and business accounts to individuals and businesses alike. It’s high leverage (1000:1), and its interesting Cent Accounts are suitable for anyone wanting to learn, particularly scalping.

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Top 10 Best Scalping Forex Brokers ultima modifica: 2018-01-09T09:00:03+00:00 da Carlo

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