Scalping - lay or back first?

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PeteSw62
Posts: 37
Joined: Thu Mar 30, 2023 9:13 pm

Hi

Am I correct in understanding that the 'risk' associated with scalping is that one half of the trade offer is taken while the opposing offer goes untaken and the odds change significantly? Is that risk more or less depending on which offer is taken?

I suppose I'm wondering whether that is the advantage to placing the initial offer with the global settings of "offset bet" so that the opposing offer is only made when the opening offer is made?

Thank you
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Euler
Posts: 26689
Joined: Wed Nov 10, 2010 1:39 pm

If you are truly scalping, it should make no difference. When trading you should ignore your immediately liability and focus on the trade value, the amount of the actual trade.
Anbell
Posts: 2421
Joined: Fri Apr 05, 2019 2:31 am

PeteSw62 wrote:
Sat Apr 01, 2023 7:44 am
Hi

Am I correct in understanding that the 'risk' associated with scalping is that one half of the trade offer is taken while the opposing offer goes untaken and the odds change significantly?
Yes - this is correct. That is the risk.
Anbell
Posts: 2421
Joined: Fri Apr 05, 2019 2:31 am

PeteSw62 wrote:
Sat Apr 01, 2023 7:44 am
Is that risk more or less depending on which offer is taken?
Not really. The risk is basically the same, regardless
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Crazyskier
Posts: 1310
Joined: Sat Feb 06, 2016 6:36 pm

Anbell wrote:
Sat Apr 01, 2023 10:20 am
PeteSw62 wrote:
Sat Apr 01, 2023 7:44 am
Is that risk more or less depending on which offer is taken?
Not really. The risk is basically the same, regardless
Though I would add that you lose more per tick (if the price goes against you) for a lay to back, than a back-first.

CS
PeteSw62
Posts: 37
Joined: Thu Mar 30, 2023 9:13 pm

Ok thank you all.
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wearthefoxhat
Posts: 3617
Joined: Sun Feb 18, 2018 9:55 am

PeteSw62 wrote:
Sat Apr 01, 2023 7:44 am
Hi

Am I correct in understanding that the 'risk' associated with scalping is that one half of the trade offer is taken while the opposing offer goes untaken and the odds change significantly? Is that risk more or less depending on which offer is taken?

I suppose I'm wondering whether that is the advantage to placing the initial offer with the global settings of "offset bet" so that the opposing offer is only made when the opening offer is made?

Thank you

If you're at the beginning of your scalping journey, I'd say start with backing first then, offset a Lay tick. (can use the global settings to automate it)

If you are using the make market function (as long as it's a stable market) then either side could be matched first. You would then have to make sure you have have a sufficient bank if the Lay odds are on the larger size.
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