Forex scalping is a trading strategy that involves making multiple trades in short timeframes, typically holding positions for just a few seconds to a few minutes. The goal of scalping is to make small profits on each trade, but to do so consistently.
High-frequency trading (HFT) is a form of algorithmic trading that relies on computer programs to execute trades at high speeds. HFT strategies involve analyzing market data and identifying patterns that can be exploited for profit.
HFT traders aim to make small profits on each trade but to do so at a much higher frequency than general scalpers.
In Brokerpilot we have a special trigger - “Scalpers-HFT” - that will help brokers identify high frequency trades and generate a notification about the situation for the dealer. Each brokerage company has their own policy about the scalper trading that’s why our flexible settings system will help to set the desired thresholds for the notifications. More in depth configurations of settings could take into account session PnL or Total Realized PnL of the trader.
Thus the dealer will always be promptly notified about the certain trader’s behavior and the broker will stop losing money on HFT activities of its clients.