One of the best scalp trading strategies is the "EMA Cross + RSI" strategy. It combines trend-following with momentum confirmation, making it effective for short-term trades. Key Components: Exponential Moving Averages (EMAs):
Use a fast EMA (e.g., 9-period) and a slow EMA (e.g., 21-period).
The crossover of the fast EMA above the slow EMA signals a potential buy opportunity.
The crossover of the fast EMA below the slow EMA signals a potential sell opportunity.
Relative Strength Index (RSI):
Use a 14-period RSI to confirm momentum.
For buy signals, RSI should be above 50 (bullish momentum).
For sell signals, RSI should be below 50 (bearish momentum).
Time Frame:
This strategy works best on 1-minute, 5-minute, or 15-minute charts.
Risk Management:
Use a stop-loss below the recent swing low (for buys) or above the recent swing high (for sells).