Scalping

Scalping
A trading strategy that attempts to make many profits on small price changes. Traders who implement this strategy will place anywhere from 10 to a couple hundred trades in a single day in the belief that small moves in stock price are easier to catch than large ones.

Traders who implement this strategy are known as scalpers. The main goal is to buy (or sell) a number of shares at the bid (or ask) price and then quickly sell them a few cents higher (or lower) for a profit. Many small profits can easily compound into large gains if a strict exit strategy is used to prevent large losses.


Investment dictionary. . 2012.

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  • Scalping — is the act of removing the scalp, usually with the hair, as a portable proof or trophy of prowess in war. Scalping is also associated with frontier warfare in North America, and was practiced by Native Americans and white colonists and… …   Wikipedia

  • Scalping — (englisch to scalp: „skalpieren, das Fell über die Ohren ziehen“) bezeichnet das Vorgehen mancher Fondsmanager, Herausgeber von Börsenbriefen, Wirtschaftsjournalisten und anderer umgangssprachlich bisweilen „Börsengurus“ genannter Personen, zu… …   Deutsch Wikipedia

  • Scalping — Scalp ing (sk[a^]lp [i^]ng), a. & n. from {Scalp}. [1913 Webster] {Scalping iron} (Surg.), an instrument used in scraping foul and carious bones; a raspatory. {Scalping knife}, a knife used by North American Indians in scalping. [1913 Webster] …   The Collaborative International Dictionary of English

  • Scalping — Scalping. См. Обдирка. (Источник: «Металлы и сплавы. Справочник.» Под редакцией Ю.П. Солнцева; НПО Профессионал , НПО Мир и семья ; Санкт Петербург, 2003 г.) …   Словарь металлургических терминов

  • scalping — 1 n. The sale of something (especially a ticket for a popular show or sporting event) at a price far in excess of its face value and usually just before the event s beginning; the buying of a security by someone with inside knowledge, such as a… …   Law dictionary

  • scalping — Removal of all or part of the scalp, with hair attached, from an enemy s head. It is best known as a practice of North American Indian warfare. At first confined to eastern tribes, it spread as a result of bounties offered by the French, English …   Universalium

  • scalping — buying up the good IPOs. Bloomberg Financial Dictionary The practice of trading in and out of the market on very small price fluctuations. Scalping normally involves establishing and liquidating positions quickly, usually within the same day,… …   Financial and business terms

  • scalping — noun ( s) Etymology: from gerund of scalp (II) 1. a. : an act of scalping b. : the process of scalping …   Useful english dictionary

  • Scalping — Scalp Scalp, v. t. [imp. & p. p. {Scalped}; p. pr. & vb. n. {Scalping}.] 1. To deprive of the scalp; to cut or tear the scalp from the head of. [1913 Webster] 2. (Surg.) To remove the skin of. [1913 Webster] We must scalp the whole lid [of the… …   The Collaborative International Dictionary of English

  • scalping — n profiteering, particularly by re selling tickets at an inflated price ► This is a shrewd and practised Londoner trading in what the Americans call scalping . We call the business touting , and this summer ticket touts are set for a final beano …   Contemporary slang

  • scalping — Removing the scalp or a part of the scalp of a person. The making of a short term profit by an adviser in respect of investments through taking advantage of the market reaction to advice given by him. Securities & Exchange Com. v Capital Gains… …   Ballentine's law dictionary

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