Scalp trading stock index futures is a skill that can be learned by those with the will and determination to master it. It is not easy, but it can be simple. Don’t confuse the two because having the skill necessary takes time and work invested into how the market behaves from a price action basis.

Price can really only do one of three things, go up, go down or go sideways. As a scalp trader, you can make money in all three market conditions. A sideways market still has a certain amount of movement to it as prices are locked in a tight trading range. Inside that trading range, there are small opportunities to exploit imbalances. It may not be big, but having at a minimum a 1:1 trade ratio is a starting point. You risk one point and make at least one point and up overall.

One area that gets overlooked is the inner strength that one needs to maintain composure when things don’t go your way. This is an emotional venture, whether one believes it or not. Thinking ahead and mentally preparing yourself for all the possible results is taking a proactive approach and getting mentally prepared for all the different scenario’s that could come your way.


In my last posting  I mentioned some of this and it may be worth reading as I give some good tips on how to address some of these challenges.

It is obvious that scalp trading stock index futures for small gains is all about having excellent market timing. With it, one can do very well. Without it, it will be an exercise in futility. So how does one find and exercise this excellent market timing?  Trading tools can help, but they still only reflect what the original instrument is doing. So in my opinion, tracking and understanding the price is where it all starts. If you know what the likely path of price is to do, when certain conditions are present, then you have the trading advantage and that is exactly what you need. There is really no room for guessing because there is no edge in that and it can not be repeated in the future with confidence. Anything that lacks consistency is not worth the effort.

With that said, trading indicators can be a starting point for those learning. It can bring a steadying effect to any of the orders  you are considering to take on. If not in the right position, you won’t even considering a long or short. Think of it as “training wheels” for your first bike. You don’t plan on leaving them on for the rest of your life, but in the beginning they could help you find the path that could take you down the road.

The same could be said for “trading indicators”. They can help you see what you can’t yet see with your eyes, but over time, will become more apparent with putting in the screen time to learn.

I show the trading indicators to give those who look on a sense of symmetry to the turning points throughout the day. Not every trading signal is a good method trade, but I like to show most of them to give you an idea of what is possible if one used it as a guild or road map. Just following the trading indicators without understanding the price action within the trading method will put anyone at a large disadvantage, because they don’t understand what is going on within the underlying foundation and basis for what makes up a good method trade.

Understanding the price action after the entry is also so important. If after entry, you don’t get the movement you should, can tell you things about the trade itself. It may be on a weak footing where the course of action is to exit the trade and re-assess. There is no problem in that, as it is not guessing. It is the conditional element of trading. “If this, then that”.

This leads right into order positioning and what you can expect when certain price levels or positions on a chart are broken. Lots more can be said in this area and will consider to continue the line of thought in my next posting. Until then the best trades to you all. Vince


In keeping up with my daily postings of my trades, I have last Friday, off on Monday, Tuesday and today Wednesday’s trades below. Monday, I show a view covering 3 days in my larger matching chart to the smaller chart view I usually show which still has all the same signals on it. Will start with last Friday first and work forward.