VWAP (Volume Weighted Average Price) scalping uses the VWAP line and its standard deviation bands as dynamic support/resistance for intraday scalp entries. Institutional algorithms weight their execution toward VWAP, making it a self-fulfilling level. Price below VWAP = short bias; above = long bias.
VWAP resets daily (session-specific), Standard deviation bands (1σ, 2σ, 3σ) act as dynamic S/R, Mean reversion: price tends to return to VWAP, Anchored VWAP from significant events for multi-day context, VWAP slope indicates intraday trend
Long entries: price pulls back to rising VWAP, holding above with volume. Short entries: price rallies to falling VWAP, rejected below with volume. Fade moves to ±2σ bands back toward VWAP. Open drive away from VWAP: trail entries in trend direction.
Mean reversion target: VWAP from the bands. Trend target: opposing band. Stop: beyond VWAP (or beyond the recent swing against you). Close all positions by session end — VWAP is an intraday indicator.
1M, 3M, 5M for entries with VWAP calculated on the session
VWAP is most reliable in liquid instruments (ES, NQ, SPY, major forex pairs). On low-volume instruments, VWAP becomes less meaningful because fewer institutional algorithms are using it.
1-minute scalping uses pure price action — candle patterns, micro-structure breaks, and support/resistance — on the 1-minute chart to capture small moves (2-10 ticks in futures, 5-20 pips in forex). This is the fastest form of discretionary trading, requiring rapid decision-making, tight spreads, and minimal latency.
Momentum scalping captures the initial burst of a move — breakouts, gap fills, news reactions, and session opens. Rather than fading moves or capturing spreads, momentum scalpers jump on explosive moves early and ride them for 5-30 ticks before the momentum fades. Speed of entry and aggressive stop management are critical.
The Bollinger squeeze scalp identifies periods when Bollinger Bands contract to their narrowest width, indicating extremely low volatility that typically precedes a sharp expansion. By measuring the bandwidth or using a Keltner Channel inside the Bollinger Bands as a squeeze indicator, traders anticipate the explosive breakout and scalp the initial directional move that follows the compression.
Tape reading analyzes the real-time stream of executed trades (Time & Sales) and the order book (Level II / DOM) to identify institutional activity. Tape readers watch for large orders, icebergs, spoofing, and absorption patterns to scalp entries ahead of imminent price moves. This is the most granular form of order flow trading.