Is scalping allowed on my PU Prime account?
Scalping is limited. There is no minimum holding time applicable. You can open and close positions within seconds, and there is no daily limit on the number of trades you place, subject to applicable platform limits and trading conditions. Any activity identified as abnormal trading remains strictly subject to the applicable financial regulations, regulatory supervision, and the terms of your Client Agreement.
What is scalping?
Scalping is a short-term trading strategy that aims to profit from small price movements.
- Holding period: Positions are typically held for seconds or minutes.
- Trading frequency: Traders usually place multiple trades throughout the day.
- Profit target: Each trade aims to capture a relatively small price movement.
What conditions apply to scalping?
- Minimum holding time: No minimum holding period applies.
- Daily trading frequency: There is no daily trade-count limit.
- Platform limits: Applicable order and position limits still apply.
- Trading rules: Scalping remains subject to PU Prime’s applicable terms and trading conditions.
What should I consider before scalping?
Frequent trading can make costs and execution conditions particularly important:
- Spreads: The difference between buy and sell prices affects the cost of each trade.
- Commissions: Where applicable, commissions add to your trading costs.
- Slippage: Your execution price may differ from the requested price.
- Market volatility: Rapid price movements can affect execution prices and trading results.
Small profit targets do not guarantee a profit. Trading costs and unfavorable price movements may outweigh the gains from individual trades.
