A Guide to Creating a Minimalistic Scalp

Hello traders,

This is my first topic on Forex Factory. I came up with my minimalist strategy which has brought me an average of about 20 pips per day over the past three months. Forex scalping doesn’t need to be complicated at all. This simple strategy has basic indicators that can be applied to currency pairs with low spreads. Use on 1 minute charts as the indicator period is adjusted for that exact time frame.

Time range:

1. 1 minute chart

Trading hours:

1. London time, American time

Currency pair:

1. Low spreads (EUR/USD, USD/JPY)

index:

1. Apply the 12-period exponential moving average (EMA 12) on the close
2. Apply the 26-period exponential moving average (EMA 26) on the close
3. 55-period moving average (MA 55) applied to closing prices

Entry rules for long trades:

1. The 12 EMA crosses the 26 EMA and the 55 MA from below
2. Open a buy position
3. Place protective stops below recent swing lows

Short trading entry rules:

1. The 12 EMA crosses the 26 EMA and the 55 MA from above
2. Open a position to sell
3. Place protective stops above recent swing highs

Exit rules for short and long trades:

1. Watch price movements. Exit the trade when the profit is 7 to 15 pips.

You can look at any other metric besides this if it suits you. I often use DAILY PIVOT and use WEEKLY PIVOT to check the 15M time frame for broader information.

index:

Entry point:


Stop loss and take profit:


all the best!