Kardec Trader explains why scalpers fail: they don't recognize market states like consolidation and balance. Successful scalpers aim for moves back to balance, take small losses immediately when wrong, and place stop-loss orders one or two ticks below recent highs to avoid slippage.
So the model 2.
Is using the market state that is the opposite.
So is using consolidation and is when.
The profile is.
Protecting.
From breaking here and breaking here. What we are trying to take is.
The out of balance condition that get back.
Inside balance.
We don't go here. This is an error that everyone is doing. The probability is not high. You go here probability that you will.
Go to balance really high. And if you are wrong, you want.
To be wrong immediately. If you have big.
Sell orders here, immediately here it's your stop loss. A small trick.
For the scalper.
Aggressive scalpers.
There is a way to.
Avoid slippage.
Put the stop loss not above the high. Because above the high there are a lot of orders. And what you see is that market will.
Accelerate.
You see that the market, even if it's a failed auction.
Now it's going down, it accelerates.
So you lose an additional amount of.
Tick that you can protect. How you can protect them?
Just pure stop loss. One or two ticks below the highest.
