Intraday Scalping Tips

1. Trade Only High-Volume Stocks, Indices, or Currency Pairs

Liquidity is the lifeline of scalping. You need instruments with tight spreads, fast order execution, and consistent movement.

Why High Volume Matters

Ensures quick entry and exit.

Reduces slippage during volatile periods.

Offers clear price patterns and clean breakouts.

Allows placing large position sizes without affecting price.

Popular choices include:

Indices: Nifty 50, Bank Nifty, S&P 500

Stocks: Reliance, TCS, HDFC Bank, Tesla (in US market)

Forex: EUR/USD, GBP/USD, USD/JPY

Commodities: Gold, Crude Oil

Avoid low-volume or penny stocks — they often trigger false breakouts.

2. Use the Right Time Frames for Scalping

Successful scalpers combine multiple time frames to confirm entries and exits.

Recommended Setup

1-Minute Chart: Entry timing and trade execution

5-Minute Chart: Short-term trend identification

15-Minute Chart: Market structure or bias

Daily Chart: Major support and resistance

How It Works

If the daily and 15-minute chart show bullish bias, and the 1-minute chart forms a breakout pattern, the probability of success increases. Multi-time-frame confirmation reduces false signals and emotional trades.

3. Use Key Indicators with Precision (But Don’t Overload)

Scalping requires fast decisions, so keep indicators minimal. The best combinations are:

a) Moving Averages (MA)

EMA 9 & EMA 21: Identify short-term momentum

EMA 9 crossing above EMA 21 = bullish momentum

EMA 9 crossing below EMA 21 = bearish momentum

b) VWAP (Volume Weighted Average Price)

VWAP acts as an intraday support/resistance for institutions.

Price above VWAP = bullish environment

Price below VWAP = bearish environment

c) RSI (Relative Strength Index)

Use RSI with 70/30 or 80/20 levels to spot exhaustion.

d) Supertrend

Helps identify direction and allows trailing stops.

Tip: Combine VWAP + EMA + RSI for powerful scalp entries.

4. Master Key Scalping Strategies
a) Breakout Scalping

Trade breakouts of:

Previous day high/low

Intraday supply/demand zones

Round numbers (e.g., 100, 500, 1000 levels)

Look for volume confirmation to avoid traps.

b) Pullback Scalping

Enter when price returns to:

EMA 9/21

VWAP

Trendline
These pullbacks offer low-risk entries.

c) Range Scalping

When the market is sideways:

Buy at range support

Sell at range resistance

Perfect for low-volatility phases.

d) Quick News-Based Scalping

Scalpers take advantage of sudden volatility during events like:

FOMC meetings

RBI policy announcements

Non-farm payroll

Quarterly earnings

This requires high experience and fast execution — beginners should avoid high-volatility news setups.

5. Maintain Strict Risk Management

Scalping involves multiple trades, so losses must be extremely small.

Golden Rules

Risk 0.5%–1% per trade

Use tight stop losses (0.3%–0.5% of price)

Target 1:1 or 2:1 risk-reward

Never average loss-making trades

Why Stop Loss Is Mandatory

Without strict SL, one wrong trade can eliminate 10 successful scalps.

6. Use Pre-Defined Entry and Exit Rules

Emotion has no place in scalping. You must follow clear rules:

Enter only after a candle closes over key levels

Avoid chasing fast-moving candles

Book profit quickly if momentum slows

Exit immediately when your stop is hit

Consistency comes from mechanical execution.

7. Focus on Market Timing

Scalping works best when volatility and liquidity are highest.

Best Times to Scalp

Opening hour: First 30–45 minutes

Mid-session: Breakouts or trend continuation

Power hour: Last 1 hour of market

Avoid lunch hours — the market becomes slow and choppy.

8. Watch the Order Flow (Advanced Tip)

Order flow tools like:

Level 2

Depth of market (DOM)

Time & Sales (Tape reading)

Help identify:

Hidden buying/selling pressure

Fake breakouts

Liquidity zones

Scalpers use order flow to time ultra-precise entries.

9. Keep Your Mind Calm and Avoid Overtrading

Scalping demands high focus. Overtrading leads to impulsive decisions.

Rules to Avoid Burnout

Take breaks after every 3–5 trades

Limit to a maximum of 10–15 trades per day

Avoid revenge trading

Stick to your strategy, not emotions

Mental exhaustion is one of the biggest enemies for scalpers.

10. Practice on Demo Before Going Live

Scalping is not suitable for complete beginners.
A demo account helps you:

Understand order execution

Practice SL placement

Backtest fast setups

Improve timing

Once you achieve consistency, switch to live trading with small capital.

11. Keep a Trade Journal

A trading journal helps identify:

Most profitable strategies

Common mistakes

Best market conditions for your style

Winning and losing streak patterns

Document:

Entry reason

Exit reason

Chart screenshots

Emotions during the trade

Journaling sharpens discipline and reduces repeat mistakes.

12. Use a Reliable Broker and Fast Internet

Since scalping is execution-sensitive:

Use a low-latency trading platform

Ensure low spreads and commissions

Maintain high-speed stable internet

Disable unnecessary background apps during trading

Execution quality directly affects profitability.

13. Stick to One or Two Assets Only

Avoid switching between multiple stocks or pairs.
By focusing on one instrument:

You understand its behavior

You predict its reaction to levels

You avoid confusion

You improve accuracy

Scalpers trade familiarity, not variety.

Conclusion

Intraday scalping is a powerful trading style, but it requires discipline, precision, and emotional control. By choosing liquid instruments, using proper indicators, applying strict risk management, and practicing high-probability strategies, scalpers can achieve consistent intraday profits. Follow the technical rules, stay calm, avoid overtrading, and maintain a journal to track progress. Scalping rewards disciplined traders, not emotional ones.