Short Term Scalper Strategy vs. Long Term Strategy
September 5, 2009 by ZBradford
Filed under FAP Turbo Robot, Forex Robots
Fap Turbo has two different strategies Short Term Scalping Strategy and Long Term Advanced FAP strategy. We are using only the Short Term Scalping Strategy.
The Scalping strategy is not a tradional scalping method. Other Automated programs scalping strategies seek to make hundreds of small trades every minute, which causes instability in the market and is banned my all major brokers. The FAP Turbo Scalping Strategy seeks to make 5-6 profitable trades per day. This keeps you in a stable position and is allowed by brokers.
Postitive Points
- Its low risk- FAP Turbo has built in stop-loss.
- You can make a lot of money fast.
- It is programed to react to the market without emotion. So it want risk your money “just in case” it goes even higher. It functions only by the facts.
Negative Points
- Because it is low risk their are times that it could make more money, but it would come at a higher risk. Its your money I’m sure you don’t want to risk lossing it all in one shot.
- If the market fluctuates to much it won’t trade at all. Once again this reduces risk and can also be seen as a positive aspect.
- Its not perfect, but nothing is, chances are a human would have greater errors. And you would still need to pay them.
The long-Term method in general seeks to make one to two trades over a weeks period. The idea is so ride out some of the bumps the market creates and switch currency when it peaks. Many people mix long-term and short-term methods to created a winning mix.
Positive points
- Lower risk than scalping
- You have the opportunity to make larger gains at one time.
- It rides out some of the low points to make a profit down the road.
Negative points
- You can have larger losses if the market is not coming back.
- Sometimes the market won’t rebound for a while so a portion of your capital may be tied up.
When you look at the two different strategies they both have strong and weak points. We choose to run our tests using just the scalper strategy. Having done research outside our tests some experts believe that if you have at least one currency trading long-term it can make up for some of the losses the higher risk short term scalping strategy brings.
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