4 Costly Psychological Mistakes Forex Traders Make

Forex trading has a lot to do with the mind and the heart, but as a beginner, these factors are beyond traders. Though known to be one of the most profitable financial markets, currency exchange comes with several risks of its own. As a beginner, you might not see it clearly, but your trading mindset plays a vital role in defining the outcome of your trades. 

Novices are known for underestimating market risks, trading due to greed and making many such expensive mistakes. Avoiding such errors itself will ensure that you have a successful career as a Forex trader!

forex trading strategies

Here are 4 common psychological mistakes you should avoid as a Forex trader: 

1) Expecting Overnight Profits:

Expectations cause nothing but problems in the world of Forex trading. Since profits ultimately rely on accurate speculations, there's a lot of room for expectations. As a Forex trader, expecting is natural; when you've invested a good few bucks, to make more in return is a normal feeling. However, expecting overnight profits can lead you astray and foil your trading efforts. 

2) Trading Emotionally: 

Always leave emotions out of your trades. Confidence and fear are two extremely sensitive emotions to deal with while trading currencies. If you get too confident, you overtrade and lose, and if you fear too much, you don't trade at all! So only invest emotions like you invest capital - carefully. 

3) Counting Your Eggs Too Early: 

Never count your eggs before they hatch. One of the biggest mistakes Forex traders make is banking on profits they have yet to earn! Getting your hopes up will only break your heart and mind later when you realize that you've lost your trades. So always be braced for the worst and have adept Forex Trading Strategies at the ready. 

4) Playing It Too Safe: 

Risks are what make Forex trading the exciting financial market it is known to be. Playing it safe on such grounds is a foolish mistake! Be ready to take risks when you have to and pull out of a trade when you have to. Strike a balance between risking and backing out! 

These mistakes will be incredibly expensive on you, not by bringing in losses, but by taking you away from profits before you can even realize! Don't make the same errors others make, start off with an easy Forex Demo in Philippines before you step into the live trading markets. Reach out to WesternFX today and avail our world-class brokerage! Our seasoned traders will provide you with stellar trading guidance and see you through to victory!

Why It's Important To Realize That There's No Holy Grail In Forex?

If you go around the Forex trading markets looking for the perfect trading method or a holy grail to follow, you will end up amusing many traders! Every trader who has spent a good amount of time exchanging currencies knows that there is no holy grain in Forex. There are no Forex trading strategies or systems that will help you achieve 100% profits. 

 

 

Brokers conveniently tell you to sign up with them and promise you big profits, but that's just a grand hoax. Experienced traders know that chances of losing money are much higher than chances of making it. However, novices are unable to differentiate between myths and realities, and end up working with brokers who rob them in broad daylight. 

 
Sticking to the misconception of there being a single successful plan of attack will leave you neck-deep in losses. To survive in the Forex trading markets, you will have to come to terms with and embrace the ever-present volatility. At no point in time will you be able to make accurate speculations, because the Forex markets are prone to economic shifts. Factors like inflation, national debts and export/import play a vital role in deciding how the markets are going to behave.

 
Here are 3 reasons why believing in a one-shot approach will never work out in Forex:

 
1) No Trader Can Be Ready For All Volatilities: 

 
Forex trading has the potential to get dangerously ironic when it pitches a number of uncertainties against you, and while you prepare for one, the other leaves you troubled. So keep in mind that it is impossible to dodge losses and risks in Forex. Even with risk management means like stop orders in place, a few losses have to be taken. Instead of trying to avoid losses, the better method is to embrace risks and move on towards better trades. 

 
2) Economic Factors Affect The Market:

 
trying to control the market is an insane thing to even think of, let alone try. The Forex Trading markets are tied with a country's economy, political and social factors. This means that any changes in said factors will lead to big changes in currency values. And even with years of experience, not all of these changes can be taken into account while making a trade. 

 
3) No Strategy Can Always Succeed: 

 
Forex trading allows you to employ a variety of strategies in your trades. From short-term approaches to long-scale Forex trading strategies, you can work with any approach. But none will guarantee profits. To win trades is up to you, not the markets.

 
Partner up with WesternFX and get yourself the best Forex Trading Strategies in Philippines. Our experts will equip you with top-notch approaches and see to it that you emerge amply successful! Call us today to get started with Forex trading.

6 Factors That Influence Forex Exchange Rates

In the field of Forex trading, it is very important that you stay aware of the exchange rate at all times. This value is what helps determine if a currency pair is worth buying or selling. The exchange rate of a country determines its economic strength, which is what makes the former a very important trading criterion. 

A currency's value and a country's economic stability are determined by certain underlying factors. And as Forex traders, being able to understand these factors will give the necessary momentum to get ahead of market risks and make steady profits from all movements. When a country's economy is strong, it is safe to trade its currency - that's the general idea of studying exchange rates. 

Forex trading strategies in Philippines

Here are 6 major factors that influence the Forex trading industry: 

1) Inflation Percentage: 

A country that has a lower inflation rate will see more appreciation in its currency value. Low inflation periods lead to a very gradual rise in the value of commodities. When a country's inflation rate is low, its currency value will rise to keep up with the demand. However, countries that have a high inflation percentage will see a falling currency value. 

2) Current Account: 

Foreign investment earnings and trade balance are what a country's current account comprises of. Everything from export-import to debt information is reflected on this account. When a country spends more on import than it earns through exports, depreciation is caused. 

3) Political Stability: 

If a country's political stability is in shambles, no growth can be expected from it while Forex Trading. Countries that have good leadership across all levels are bound to bring economic growth. This also indicates that the country is more focused towards development, thereby making its currency a safe investment choice. 

4) Interest Rate Changes: 

High interest rates provide high rate to lenders, thereby leading to an appreciation in currency value. 

5) Public Debt: 

When a country has a lot of debt incurred, investors are less likely to invest in it and the country itself won't be in a position to acquire foreign capital. This would ultimately lead to their exchange rate dipping. 

6) Terms of trade: 

The terms of trade is a ratio used to denote the export-import value. When a country has higher export prices than import prices, the demand for said country's currency increases, thereby leading to an appreciation of its exchange rate. 

Many Forex traders ignore the weight these factors carry in the foreign exchange market! Don't make the same mistake; with exchange rate knowledge, finding profitable trends to capitalize on will be a breeze. Master your Forex trading skills with Forex Trading Strategies in Philippines experts at WesternFX by your side! Avail our world-class currency trading brokerage today and see the magic happen.

Why Forex Trading Is Perfect For Your Future?

If you're one of those people who want to change the career trend and do something different, Forex trading might just be the right choice. A field with trillions of dollars floating around, Forex exchange has been quick to rise to fame. Today, there are thousands of traders who compete against the raging currency markets for a chance at making big profits. While there are a lot of hurdles to cross, the end result is incredibly fruitful. For those who want to invest in a bright future, Forex is the best start! 

Forex Trading

Here are 4 reasons why a Forex trading career is the perfect way to ensure the best future: 

1) You Are Your Own Boss: 

Forex trading is an incredibly flexible field, which means you are the one to call the shots. There are no higher-ups to answer to, and no extreme rules to curb you from getting creative! Everything from the trading timeframe to the currency pair chosen is your decision. Additionally, since Forex is a 24/5 market, you are free to trade whenever you want, you can say goodbye to the arduous 9-5!  

2) Become Financially Stable: 

As a Forex trader who sees consistent profits, you will become financially stable swiftly. With some practice on a Forex Demo account, you can move to live trades and start making money. Your first few exchanges might not bring in the profits you expect, but Forex is a field where patience dominates! So with enough time, you will achieve financial stability and see healthy wins come by regularly.

3) Learn Time Management: 

Time management is a skill needed for life, not just its sub-aspects. And as a Forex trader, you'll become the master of time management. Being a domain where patience is the ultimate virtue, Forex trading will put you up against a number of exchanges where waiting is the only way to see profits!

4) Forex Has Myriad Opportunities: 

You will never run out of opportunities in Forex. One of the most liquid markets in the world, in Forex, there is always a counterparty for your deals. No matter the timeframe or the value, you are bound to come across buyers or sellers for your deal. 

Get your very own Forex demo account today and learn trading! With the right guidance, any novice can blossom into a fine currency trader. At WesternFX, we have trained and guided several beginners, and set them on the path towards victory. Backed by our incredibly knowledgeable experts, you will see Forex Trading success come by swiftly! Call us now to get started! 

How To Pursue Successful Forex Trading In Philippines

Forex trading is often a volatile market space with extreme levels of fluctuations. While it creates abundant opportunities for traders to make profits, it certainly doesn’t make the task easy. It is essential to have an understanding of the potential risk factors and keep yourself from losing heftily. Calculating risks should be the primary goal when you enter this market.

Here are the top 3 pointers on how to succeed in the volatile Forex trading market of the Philippines.

Tips for a Successful Forex Trading in Philippines

1. Risk Management:
 

As the Forex trading market is quite volatile in nature, it is important to exercise caution always. The higher the volatility, the more stringent should your actions be. Consider this as a rule of thumb to make safe and profitable trades. Enabling stop-loss orders and position size can be useful to keep yourself from the dangers of unexpected fluctuations. However, they don’t guarantee a safe exit. So, it is mandatory to manage your functions when the market appears to be riskier than usual.

2. Following and Tracking Trends:
 

Trends can be both short-term and long-term. It is essential for the Forex traders to have a close eye on both in order to arrive at the best possible trades and boost their profitability. Forex trading strategies must be carefully structured so as to enable maximum growth with minimum loss. For long-term trends, employing higher time frames may be beneficial. Working on hourly timeframes will limit your chances of bagging a good sum as certain currency pairs may follow an uptrend over time, and if you are not patient enough, you will lose the gains.

It is always better to seek the broader picture before you make an important decision in Forex trading.

3. Keep Distractions At Bay:
 

Many times, Forex traders tend to get distracted by the news tickers and social media. They sway their focus and make them lose track. In most cases, they serve as detrimental factors which limit trading success. It is best to inculcate effective strategies and employ them as and when needed, rather than relying on an external source to indicate your next trading decision. To understand why certain sources are unreliable, consider this. There is a news agency which is interested in cooking up a story about an economic turmoil in Europe.

There is no evidence that their story is true and if you tend to believe it, and base your Forex trading decision on it, you are not going to get the results you expect.

WesternFX houses professional Forex brokers in the Philippines. We offer a variety of services to enable you with the skills and knowledge required to pursue successful trading. We also give you a Forex demo account which trains you to make successful trades over the course of time. Get in touch with us for more information!

Top 4 Essential Skills for Forex Trading in Philippines 2019

The difference between an ordinary trader and a successful trader lies in the vastly varying skill-set. The latter is sharp, disciplined and extremely driven, while the former is lethargic and rigid. Apart from the mentality, there are many skills Forex traders are required to have in order to see success. Several traders make the mistake of going all-in on their trades and ultimately failing to improve on them. As a novice, you can tentatively afford to house ignorance. But if you're looking at making good profits in Forex trading and thrive in the long run, there are some skills you'll have to attain.
 

Here are the 4 most important Forex trading skills you should have:
 

Top 4 Forex Trading Skills to Win the Trade

1) Analytical Skills: If you plan on Forex trading in the Philippines, analytical skills are an obvious must-have. The currency trading markets are unbelievably volatile with massive risks at every cusp! You will have to employ analytical means like fundamental analysis or technical analysis to find out where the markets are moving towards and bag good trades. Start off by reading the theoretical aspect of Forex trade analysis, then move towards demo trading experimenting and self-learning!  
 

2) Mental Fortitude: Many a rough trade will come by to leave you shook. How resilient you are in the face of Forex trading adversities will pave a way for your trading career. Forex trading is a volatile domain with risks abounding. Only when you're mentally adept and firm will you be able to stand headstrong in the face of a risky trade!
 

3) Keeping Apt Trading Records: If you keenly observe Forex trading professionals, you will notice that they all maintain a trading journal or a diary to keep a track of their trades. The reason behind this is simple - when you have a neat collection of your trades, analyzing them becomes easier. You will be able to correct your past mistakes, improve on your Forex trading strategies and ensure you don't commit the same errors again!
 

4) Understanding Forex On The Ground Level: Successful traders spend more time learning than earning. Once the day's trading quota has reached, they dedicate time to research and study further about Forex trading. To truly see consistent wins and have a flourishing track record, you have to learn and understand Forex from the very basics.
 

Forex trading in Philippines is going to be quite the challenge, for novices and professionals. You will need the backing of an expert if you're going to take to the top! Join hands with one of the top Forex brokers today - WesternFX. Avail our world-class Forex brokerage and see stellar results come by! Call us today to know more.

Does CFD Trading Suitable For You – Here’s the Checklist

CFD trading has become one of the most popular trading domains and a very sought after way to invest in other financial commodities. With CFDs allowing traders to employ leverage on financial assets that otherwise can't be leveraged, we can observe a huge shift from the latter's markets to the formers. While lucrative in multiple ways, CFD trading is by no means an easy ordeal. The markets can get nightmarishly risky in minutes and leave you to lose all your trading capital!
 

What makes CFD trading so appealing is that it allows traders to trade without buying the underlying asset. You need just pay for a contract and speculate on an asset's rise or fall in value! In addition to this, markets like the stock exchanges don't allow traders to leverage, but with a CFD you can hold high-value trade positions on any commodity!
 

What is a CFD?

CFD Trading Checklist

CFD means contract for a difference and is a derivative that can be traded on a number of financial instruments like currencies, stocks or indices. You have to buy a contract at a given price and speculate on the asset's value hike, if it goes up when you're selling it, you will make a profit. It is essentially an agreement between two parties to trade the difference in the asset value. The key point here being that the asset itself isn't being traded; only its value is being speculated on.
 

How Does CFD Trading Work?

CFD trading works no different than a normal trade. Take stocks for example, if the value goes up, you will see profits, and if it goes down, losses. So what makes CFD trading so special? As a CFD trader, you need not own the asset. In the stock exchange market, for example, you will have to purchase the stocks. This won't be necessary while CFD trading! Additionally, CFD allows you to leverage your trades to increase the profit potential. 
 

What Makes CFD Trading Unique?

1.    You only pay the spread amount, nothing extra.
 

2.    There's an extensive array of financial commodities like indices and currencies to choose from.
 

3.    One trading platform allows you to access all the other markets you want.
 

4.    CFD trading allows traders to trade both ways. This means that you can profit from falling markets just as you can from ones that are rising.
 

Grab your trading platform today and get started! With WesternFX by your side, you can start CFD trading right away. Our seasoned veterans will provide you with all the tools you need to excel at your exchanges and make big profits swiftly. Reach out to us now to know more!