A trader who uses the scalping strategy seeks to profit from the market by taking small but frequent profits. This section explains how it works. When it comes to trading, scalping is a general term that refers to a very short-term trading style in which the trader seeks to ‘skim off the top,' that is, to make small, but frequent, profits out of the market. According to the theory, small price movements are easier to predict than large ones, and vice versa. Traders who scalp the market fall into the categories of "day traders" and "high frequency" traders. This is due to the fact that they generally prefer not to hold positions overnight, but rather to open and close their trading positions throughout the day in order to accumulate profits through frequent intraday trading activity rather than overnight positions.