Scalpers typically aim for a high frequency of trades with short holding periods, thus prioritizing a favorable risk-reward ratio (RR) to maintain consistent profitability. Generally, scalpers might look for RRs like 1:1 or even 1:2, where for every unit of risk, they aim to make at least one to two units of profit. However, the ideal RR can also depend on factors such as market conditions, the liquidity of the asset, and the scalper’s strategy and risk tolerance. In volatile or less predictable markets, scalpers might opt for a smaller RR to increase the likelihood of hitting the target quickly. Effective scalping integrates tight stop-loss orders and quick profit-taking to capitalize on small price movements while managing risk efficiently. Ultimately, the best RR for scalping varies among traders based on their experience, skill level, and specific market approaches.
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