🔄 Risk Management for Swing Traders vs. Scalpers — What Changes
🎯 The Lesson
Swing traders and scalpers operate in completely different environments.
Volatility, stop sizes, holding time, and execution rules are not the same —
so risk management cannot be the same either.
Most traders fail because they use swing-trading risk rules while scalping…
or scalping rules while swing trading.
Each style needs its own risk framework.
🕒 1. Position Size Changes Dramatically
Scalpers
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Tight stops (5–15 pips)
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High frequency
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Use small lot sizes to control slippage and noise
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Risk per trade should be 0.25%–0.5%
Swing Traders
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Wide stops (40–120+ pips)
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Low frequency
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Can risk 1%–2% per trade because stops reflect structure
Trying to scalp with 1–2% risk is account suicide.
Trying to swing trade with tiny stops is a guaranteed stop-out.
📉 2. Stop Loss Must Match Volatility Type
Scalping Stops:
✔️ ATR on 1–5 minute charts
✔️ Structure-based but tight
✔️ Must account for spread and slippage
Scalping stops are mechanical, not emotional.
Swing Stops:
✔️ Below major swing lows
✔️ Beyond HTF liquidity
✔️ Above/Below key supply-demand zones
Swing stops are strategic, not small.
📊 3. Risk-to-Reward Requirements Differ
Scalpers:
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R:R = 1:1 to 1:2
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High accuracy required
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Many small wins compound over time
Swing Traders:
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R:R = 1:3 to 1:6
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Lower accuracy acceptable
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Big winners cover many losses
Using swing-trade R:R on scalping timeframes leads to missed trades.
Using scalping R:R on swing trades leads to poor account growth.
🔁 4. Holding Risk Exposure
Scalpers:
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In and out quickly
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Exposure is small
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Overnight positions = forbidden
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Spread changes = dangerous
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High-impact news = avoid completely
Swing Traders:
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Hold for hours or days
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Need larger buffers
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Must consider swaps, session transitions, and gaps
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Can survive retracements that would destroy scalpers
Risk exposure duration changes everything.
🧮 5. Correct Position Size Example
Scalper Example:
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Account: $5,000
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Risk: 0.5% = $25
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Stop loss: 8 pips
Lot size = $25 ÷ 8 = $3.12/pip ≈ 0.31 lot
Swing Example:
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Account: $5,000
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Risk: 1% = $50
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Stop loss: 60 pips
Lot size = $50 ÷ 60 = $0.83/pip ≈ 0.08 lot
Most traders flip these sizes by mistake — and blow up.
🚀 Takeaway
Scalping and swing trading are two different businesses.
They require different:
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Stop sizes
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Lot sizes
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R:R structures
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Risk percentages
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Volatility expectations
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Exposure rules
You can succeed with either style —
but only if your risk management matches the time horizon.
Trade the right size.
Use the right stops.
Respect the style.
📢 Join my MQL5 channel for more trading & risk-management insights:
👉 https://www.mql5.com/en/channels/issam_kassas
