News Trading, Dollar Cost Averaging, Flipping, and Scaling

MegaTrader allows news trading, dollar-cost averaging (DCA), flipping, and scaling, provided these are executed with structured strategies and within position size limits. Traders are expected to understand the risks involved and avoid behavior that compromises account integrity.

MegaTrader does not prohibit trading during news events. Traders are free to open or close trades around high-impact economic releases. However, you do so entirely at your own risk.

Important Notes:

DCA is allowed at MegaTrader. It involves entering a trade with multiple executions at varying price points to adjust the average entry.

However, DCA should be part of a structured strategy. It is discouraged to engage in “averaging into oblivion”—repeatedly adding to a losing position without a clear plan until the trade hits breakeven or minor profit.

Poorly managed DCA can lead to excessive drawdown exposure and potential account risk.

Flipping refers to rapidly reversing a position (e.g., going long, then immediately short, or vice versa). MegaTrader does not prohibit this behavior, but it must be done with clear intent and within normal trading volume.

Consistently flipping to avoid losses or manipulate metrics may trigger a review.

Scaling—gradually increasing or decreasing position size—is permitted, as long as total exposure remains within your plan’s contract limits.

Exceeding contract limits—even momentarily—may result in automatic disqualification.

Unsure if your method complies with these practices? Contact us at [email protected] or reach out via live chat in your portal.