10 Key Tips & Tricks for Forex Trading Beginners in Vietnam

It isn’t a cakewalk to pursue Forex trading. However, it need not be all that difficult to. Employing the right Forex trading strategies, you will be able to effectively reap benefits and establish a successful career too! Nevertheless, in this fast-moving world, several beginners tend to dive right into the field and eventually observe loss and misery. Remember, you can easily avoid this scenario if you take enough time to understand the nuances of Forex trading, how professional Forex traders make investments, the art of risk management, and so on.

There are a great many guides which walk you through the transactions in length. Moreover, signing up for a risk-free demo account is also a brilliant solution to try the system out first-hand!

Here are 10 killer tips that will dramatically improve your performance in Forex trading!

1. Getting Rich Quickly Is Still A Fantasy:

Forex Trading Tips and Tricks for Beginners

Often times, novice players make the mistake of striving for the wrong goals in Forex trading. They seek simple and short ways that will lead them to richness quickly. Unfortunately, this bubble needs to be broken and they must realize that such a thing is far from real and one big fantasy within this realm. Instead, sincere attempts must be made for long-term gains which are always lasting and more reliable.

2. Don’t Let Your Emotions Play While Trading:

It is important to not be too excited with an observation unless you really know what is going on in the given scenario. Remember, there are way too many factors at play and you can’t have your emotions get in the way. Keep a calm mind and focus on all the relevant events. It is understandable that there are spurs of moments where you would just feel like making a quick decision. However, stressing again, don’t let emotions influence your reaction.

3. Maximize Trading Opportunities Through Discipline:

Many times, there is a tendency to go astray and get mislead in the course of Forex trading. When you do not employ the right Forex trading strategies, you may not observe desirable results for a very long time. It is therefore important to identify key factors which drive successful investments and then make a routine which will help you get disciplined with how you perform trading. This is absolutely essential as it reduces the risks that you will undertake and minimize losses for you.

4. Random Decisions Can Cost You Heavily:

Depending on a particular system, figure out where you would like to open and close a position before setting foot onto any market. Being able to predict your stance and setting this option before time enables you to prime your focus and avoid guesses. Also, implementing the stop-loss orders, it is very much possible to reduce losses.

5. Too Much Leverage Is Probably Not Good:

While selecting a trade size, you must make sure you do not overdo making small initial deposits that could possibly open up relatively large positions. This is often done to pursue something called ‘leverage trading’, which is trading on margin. This can work both for and against you. So, exercising caution is crucial. It is, therefore, a sincere suggestion to have a responsible approach to trading.

6. Use Stop-Loss Orders Effectively:

There are cases when certain traders hold on to losing positions for a very long time hoping for the market to turn to their favor. Also, they tend to get out of winning positions very quickly in pursuit of an immediate short-term profit, missing out on the bigger pot at a later stage. While you may be tempted a number of times, it is key to hold it together, analyze your options, and then proceed with the stop loss orders.

7. Take Time And Learn The Market:

Beginners often don’t realize the importance of choosing a currency pair. They don’t know how the currencies influence global events. Unfortunately, this will pose a huge challenge in Forex trading. It is imperative to understand the influencing factors involved in order to formulate strong Forex trading strategies. The more informed you become, the better decisions you will make.

8. Manage Your Money Well:

Money management is extremely important when it comes to Forex trading. Most experts are very cautious about how they invest in this field. Seeking professional aid from Forex traders is not a bad idea. In fact, you will have good support to help you as you get yourself into this realm of trading. As a beginner, there is no need for you to invest heavily and increase your stakes. Play it safe and focus on learning the different skills required to excel later on.

9. Monitor Your Positions Properly:

Having an eagle’s eye on your trades will help you gain insights into the market’s movements. This will help you identify the windows where you can potentially invest or possibly withdraw from making a trade. Remember, the Forex trading market is open round the clock and you can’t be lazy or offline when changes are happening so frequently.

10. Develop A Working Trading Strategy:

Spending enough time studying the working mechanisms of Forex trading, you should devise a strategy first before making your first trade. This will give you a good direction to move towards and you will have a good focus on market events. Don’t be hasty and dive right into it. Without a proper strategy in place, you are most likely to take losses which are undesirable.

Experienced developers mainly focus on the process of trading rather than the profits that can be gained. This tunes them and enhances their concentration, not having their judgments clouded by the earnings that can be gotten. WesternFX houses a professional team of Forex traders in Vietnam! Get in touch with our experts and Kickstart your Forex trading venture with a bang! We’re just a call away!

The Importance of Forex Trading Psychology & Money Management

If you ever passed by a casino, you'd notice how hundreds of people stay glued to the games there, that though rewarding, have no guarantee of giving them money. Addiction sets in soon and before they realize, their wallets have been drained empty. It isn't limited to gambling; acts, like smoking, drinking, playing games, eating - pretty much anything, can grow to become addictive.
 

Once an addiction sets in, no matter what kind, it brings nothing but distress! Your focus becomes singled out and several personal and professional aspects of your life are affected. This is why balance is crucial to one's life. Much like other addictions, Forex trading can also become a compelling habit. While it is definitely a lucrative domain and one that can be pursued as a career, letting it consume you can be harrowingly dangerous.   
 

Two positive emotions, confidence and ambition, morph into fear and greed the second you fail to contain your desires. Traders find themselves addicted to Forex trading for one of two reasons, either they lost a lot of money and want to win it back, or they have made a lot of money and want to make more. The sane trader is the one who knows where to draw the line. He/she finds contentment in profits as they come naturally, and doesn't chase money!
 

Money Management
 

Importance of Forex Trading Psychology & Money Management

 

 

The literal definition of this is how efficiently one manages money. Be it spending or saving, investing or earning, when a trader is able to call the right monetary shots, he/she is bound to see huge success. An adept trader with $1000 can bring in ten times the invested amount while a greedy trader with $10,000 will do nothing but burn the money!
 

While Forex trading, if you're able to manage your capital well and leverage wisely, there is no trade you won't be able to win! Failing to leverage properly is what leads several aspiring Forex traders to an early downfall. Leverage is an element that can break your trade as fast as it can make it. Since this borrowed sum allows you to hold high-value positions easily, there has to be a catch. And the catch is that if you lose a leveraged trade, you lose the borrowed money as well.
 

5 Important Money Management Points:
 

1) Cut Your Losses: The one lesson time will teach too late in Forex, is that you should have cut your losses while you had the chance. Traders often hold on to slim chances of a positive turnaround and believe an efficient Forex trading strategy will magically work. A trade once it starts going downhill may on occasions climb back up in your favor. However, this is where intuition comes in. Is the risk worth holding on to? Should you continue to stand your ground while the trade collapses, you'll end up losing a lot of money! 

 

Hence the reason behind experts always advising traders to cut their losses.
 

2) Don't Risk More Than 4%: Risks are a very tricky element in Forex trading markets. You risk too much, you'll end up neck-deep in losses, and if you don't risk at all, you'll see no big profits. A fine line has to be drawn between the two and treaded upon if you want to succeed in Forex without losing what you earn. Keep the risks healthy but minimal!
 

3) Reinvest: Be it a $100 profit or a whopping $10,000 win; always reinvest your winnings back into the game. Out of the excitement and joy of having profited, many traders blow away their earnings and are forced to begin from scratch. Keep a portion of your capital dedicated for reinvestment. You never know when a trade will move against you. Wisdom lies in being prepared for a rainy day.  
 

4) Employ Stops: Some chances are too expensive to take, which is why stop-losses exist. They allow you to trade risky trends without having to fear the repercussions. Make sure your Forex trading strategies has stops in play.
 

5) Diversify Your Approach: The final and the most effective way to make sure you profit more than you lose is by diversifying. Many traders find early contentment. They stick to just 2-3 currencies and keep circling about. However, there's a lot more the market has to offer! Don't limit your palette, try out different currencies and you will have an incredibly successful Forex trading career.
 

How smartly you invest will define how long you thrive as a Forex trader! Today's competitive markets have made currency exchange a challenging domain. Making profits shouldn't be your first focus, optimizing your investments should be. Foreign exchange can be very generous on days, but getting carried away will eventually lead to losing a lot of money.
 

Partner up with an adept broker and multiply your profits! With the ever-amazing WesternFX by your side, succeeding as a Forex trader won't be as intimidating as you think. Our seasoned veterans will equip you with the most effective Forex trading tips and provide you with unparalleled guidance. Call us now to know more!

Forex Trading Truths Revealed - Myths To Avoid in 2019

Success in Forex trading can be boiled down to be presented as the transition that happens when you go from novice to professional. Every beginner wants to hit this transition at the earliest and make a grand entry into the big league. While risks and market volatilities might be an enemy, there exists a bigger foe that is much simpler - a myth. Myths float all around Forex and divert the ambitious from achieving their ambitions. 

Novices who lack experience fall prey to these misconceptions easily and are thrown off-course!
 

As a Forex trader, apart from maneuvering through the twists and turns of currency exchange, you will have to dodge the myths thrown around. 

Here are 4 false beliefs seen most commonly:
 

Forex Trading Truths Revealed - Myths You Need to Know

1) Forex is a Gamble: Truth be told, it does look like a gamble. There's a lot of money involved, most trades are "win big or go home" and there is an element of randomness. However, Forex trading is far from gambling. It takes rigorous practice and constant researching to make sure your trades are placed right and have a healthy profit potential.
 

2) Forex Can't Be A Full-Time Job: There are thousands of Forex traders in the world who pursue trading as a full-time career option. The analysis, intensity and the overall nature of currency exchange appeals to several, and they have made it a very viable career! If a full-time doesn't work out, Forex trading can also be pursued part-time while pursuing other activities.
 

3) More Indicators Mean Better Results: The more the indicators, the more the confusion. Many traders have this misconception that loading charts with indicators will help them hit the bull's eye on trades and bring home big wins. You need only 2-3 good indicators that work in a synergy and the right Forex trading strategy, to help you reach your goal!
 

4) Forex Trading Is Only For The Rich: Traders climb to the top with only a few hundred dollars to start with. So long as you know your way around trades and follow a disciplined approach, the sky's the limit! On the contrary, Forex has the potential to make one poor, due to its volatility. So make sure you're equipped with the right Forex trading strategy and the necessary tools before trading. 
 

Make sure you don't get caught in these lies that are quick to spread around Forex markets. There are enough hurdles for you to face as it is, these distractions will only make it worse! Clear the path ahead of you and zoom to the top with WesternFX. Our experts will assist you through every step of the way and make sure you ace your trades. Try a Forex demo today and see for yourself, call us!