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Scalper

A trader who aims to execute a quick transaction for small profits by trading frequently for small moves instead of capitalizing on larger moves. Scalpers have to act and react quickly to make many small trades within a very short period of time. For example, a scalper might buy at $10.25, sell at $10.35, and buy again at $10.45. It is of utmost importance for scalpers to maintain a low trade cost structure lest that all their profits, and even more, go to their brokers.

The work of a scalper is termed “scalp“.


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