What Should a Trader be: Dependent or Independent?

In the forex trading industry in Vietnam, there are many styles for traders to adopt. They can choose to trade short-term or long-term, swing or scalp, trends or technical. Despite all this, success is not a common find. Consistently successful forex traders in the industry are far and few in between. Why is this so? It all boils down to how one approaches their trading and what their attitude is.

Attitude, while forex trading in Vietnam, is a make or break factor. Not all traders have the right attitude for succeeding in the industry.

Let us Examine This in Two Cases:

Situation 1:

A trader who has been in the industry for a while has been tasting success recently. He’s developed a trading plan and followed it up consistently to the point that it has to succeed in raking in good revenues. On his new trade, he decides to get experimental. He finds a new trade set up, it convinces him, and he decides to open a position on it. However, just before opening the position, he decides to scout online to know more and see if he is on the right track. This stirs up doubts, and he ends up not making the position. The trend, however, holds up and posts gains. This is a dependent trader in the market. He has a good plan and goes by his trading strategy, but suddenly develops doubt and misses out on a good opportunity.

Situation 2:

A trader who has some years of experience behind him has recorded both success and failures. He has a trading plan which he has carefully put together from scratch. He always trades on the basis of his plans. A real stickler for discipline, he charters his forex trading strategies meticulously and never deviates from them. Even when heavy predictions from the news or industry insiders come, he still does not panic and goes by what rules he has in place. He is an independent trader in the online trading market and he has a high chance of succeeding in his positions.

The two situations show that traders who tend to react to every piece of information they receive and trade on the basis of the information are likely to face a lot of failures. It is wiser for traders to stick to their plans and follow them with discipline if they intend to taste consistent success in the long run. However, for traders who doubt their trading decisions from time to time, it is wise to take a counsel from reputed forex brokers who can assist them in developing better strategies. Online brokers in Vietnam like WesternFX are of immense help in such situations.

5 Habits you can Inculcate from Seasoned Forex Traders

There’s no such thing as guaranteed success in the Forex market. Yes, there are plenty of opportunities for wins, but how you get there is the hardest part. You might load yourself up with knowledge, have an excellent game plan and have all the resources you need to trade. But that’s not everything! Your attitude, habits, and mindset can also determine how your performance shapes up in the Forex market. Successful traders stay focused, build a positive aura,   keep refining their strategy and remain persistent.

If you want to join the ranks of big-time traders, here are five habits you can derive from them and step up your trading game:

1)    Knowing you will fail

Success and failure are a part of trading, and one can never expect trades to always swing in their favor. One of the most harmful beliefs you can nurture is the notion that failing once means that you’ll fail always. Even experts lose money, but they wait it out, find the perfect opportunity and bounce right back.

2)    Developing a healthy routine

By ‘healthy,' we aren’t just referring to a good trading routine, but also to your overall health and well-being. Inculcate healthy personal habits. Stay fit, eat well and get to work. Excellent physical and mental health will reflect in your trading performance in a positive manner.

3)    Limiting exposure

We’ve got day traders, swing traders, position traders, and scalpers who specialize in trading over specific time frames. The problem with beginners is that they want to do it all and simply cannot stop over-analyzing the market. Seasoned traders limit their exposure to the market. Identify which markets you’re interested in, take it slow, and make a conscious effort to limit market exposure.

4)    Be disciplined not addicted

You need to develop the discipline and patience it takes to watch the charts and make moves in the market. There’s a fine line between exercising discipline and addiction, and most traders fail to see that. Professional traders follow a prescribed plan and enjoy trading. Do not turn into an addict and make ‘bad’ trades.

5)    The drive to learn more

No matter what you’ve achieved, you can never know it all. Learning is a continuous process, whether it’s about Forex trading or yourself. Learn from your mistakes, refine your strategy, adopt new things and do not be afraid to experiment. That’s the only way you can grow – both as a trader and as a person.

While this is by no means an expansive list of habits observed by professional traders, it does offer a glimpse into the level of dedication and commitment shown by seasoned Forex traders. Etch out a similar identity for yourself. Start your trading journey with WesternFX today!