One of the most liquid investment instruments, forex trading has its own obstacles. (Image via: BusinessLIVE)

One of the Most Liquid Investments, 4 Tips for Smooth Sailing on Rough Waters of Forex Trading

Alfonsus Adi Putra
Market & Investment
Foreign Exchange & Interest Rate
Jul 06, 2019
2099
Foreign Exchange (Forex) is a term for investment where you trade currencies in the foreign exchange market. While forex offers you almost unlimited opportunities to partake in the global financial market, forex is also one of the most liquid investments.

However, keep in mind that as other investments are, forex investment is also a tricky and volatile investment. So, you will have to be careful about your step. If you are interested in forex investment, we have 4 tips for you, traders. These tips are brought to you by Money Investindo Futures, no. 1 broker in Indonesia.

First, never forget the stop-loss order. Forex trading is somehow unpredicted and to avoid the unpredicted, always use a stop-loss order. The order sells securities when the forex reaches a specific price to limit the trader’s loss. In other words, the stop-loss order is fundamental because it prevents traders from losing both short and long positions due to the volatility of the forex market; hence, making your trading more comfortable for you.

Second, know your market and never act based on your emotions. Some traders only use technical observation to analyze the market while neglecting the fundamental observation. Use both observations to know deeper about the forex market. And, in the decision-making process, it is important not to let your emotions get the better of you. This to prevent you from huge loss and regret.

Third, always use money management strategies & never over-trade. This applies not only to forex but also on every investment. Never think about raising the initial risk of more than 3%-5%, just because you want to seize a bigger opportunity. Moreover, never see a timeframe only from one perspective. Looking at more than one timeframe helps traders to chart the course of trading in the future.

Fourth and the last tip for you is to plan your trading carefully. If you fail to plan, then you plan to fail. This is the combination of the 3 previous tips. Trading is all about planning and observation. Observe any event and incident that happen to correlate with the forex market. For example, the U.S. Dollar (USD) is sensitive to the conditions in Wall Street and Australian Dollar (AUD) depends on the movement of the mining and commodities market since Australia gains its GDP from those sectors. Therefore, pay attention to such occurrences in order to determine your next moves.

There you are, traders, 4 tips in order to ensure your safety in this volatile investment. By following these tips, we can assure you that your forex profit will double, triple, and quadruple in no time. Stay tuned for other forex or investment tips from us.

Source: https://mifx.com/blog-read/tips-ahli/52/7-tips-dari-expert-untuk-trading-forex

Market , Investment , Forex , Currency , Trading , Tips-&-Tricks , Profit , Education