A Step by Step Guide to Use Cаndlеѕtісk Forex Trading Strategies

Candlesticks are a type of price charts, used to identify the highs, lows, opening and closing prices of a financial commodity for a particular time period. Originally employed by Japanese rice traders hundreds of years ago, what started off as a means of tracking prices in rice markets has today become a tremendous indicator in various commodity markets. 

By studying the patterns and sequences of a candlestick, the future price movements for assets can be gauged while Forex trading in Malaysia. While they do indicate a certain movement in the nearing future, there is no guarantee that this method works all the time! This is why candlesticks are combined with other indicators and Forex trading strategies to derive only the useful signals and filter out unnecessary ones.
 

For most candlestick patterns, both bullish and bearish trends can be seen. 

Here are 4 predominantly seen styles to use Candlesticks in Forex Trading: 

 

Tips to Use Candlestick Pattern in Forex Trading

1) Kicker Pattern: A reversal signal that is rarely seen, the kicker pattern is incredibly aggressive and indicates major trend changes in price charts. Like many, kicker patterns see bullish and bearish variations. The latter occurs after a downtrend, while the former occurs after an uptrend. All in all, a two bar pattern is seen, with a long down candle followed by a long up. Its rarity scales higher from daily charts to monthly, with day charts seeing the most action.
 

2) Engulfing Pattern: Contrary to the kicker, engulfing patterns are seen frequently and are another example of a strong reversal. Comprised of a dual pattern approach, these are said to be one of the most effective in Forex. The name is derived from the occurrence when the second candle (latest at that instance of time) engulfs the candle coming before it. This indicates that the market is seeing more buyers than sellers, or even the opposite.
 

3) Morning Star: This is a three-candle pattern formed on a down move. Initially, a big bearish candle is formed which defines the down trend. Following this a small candle births, and this pattern is closed by a large bullish candle. Two extremes of a trend are covered, with a bearish initiation and bullish termination.
 

4) Evening Star: A mirroring of the morning star pattern gives the evening star! This trend is spotted near rallies and is also a three-candle formation. Much like defined, being a mirror image, its first candle is a large bullish one. This is followed by a smaller candle, and the sequence completes with a large bearish candle.
 

5) Doji: The Doji is incredibly easy to spot and has its opening, closing price very close to each other. Typically this representation can be perceived as the end of a buying uptrend and a selling downtrend. Though they are neutral patterns, after a long buy/sell period, these prove to be significantly more important. The Doji typically appears in "V" patterns like the star patterns.
 

6) Abandoned Baby: A candlestick used to signal reversals, the abandoned baby is rare but extremely reliable. Pairing this up with other indicators like RSI and MACD, you can get sharp results. Like star patterns, the abandoned baby is also a three-candle formation. It starts with a large downtrend-indicating candlestick, followed by a Doji. At the end lies a large white candle that indicates a change in trader sentiment.
 

7) Three Black Crows: Known to have an accuracy of over 75%, this pattern is used to predict a long decline in price movements. Three consecutive black candles form, indicating the birthing of a long-scale downtrend. When bears take over the bulls, the black crows form and this means traders have to brace for a downtrend.
 

Why You Should Trade Candlestick Charts:

1) Precision in Detail: Conventional charts carry no magnitude in their depiction of a trade. Candlestick patterns, on the other hand, display trends with more accuracy. A glance of a candlestick chart can give you a clear idea of future price movement and the reason behind it.
 

2) Coverage of Investor Sentiment: Markets like stock exchange are governed by investor sentiment. Emotions like greed and fear have a huge impact on stock prices. With candlestick charts, you can gauge the value of a particular commodity by reading the buyer-seller interactions.
 

3) Easily Understandable: From novice to professionals, everyone can employ these patterns with ease. Pair this up with a good analytic Forex trading strategy, and you have yourself a reliable indicator. Learning candlesticks take a maximum of a few weeks. The time and effort put in, is undoubtedly worth it.
 

4) Year-old Testimonial to its Correctness: Rice traders from over 200 years ago used this tactic to affirm price action in markets. Hence, for people believing this to be coincidental, or a tactic based on luck, it has been in use for centuries and proves to be one of the most reliable strategies.
 

Your Forex trading career can see tremendous growth when you employ the right indicators and Forex trading strategies. Get the best of both, sign up with WesternFX! Our experienced brokers will provide you with proven methods and equip you with the most adept of trading tools. With our assistance, you can ace Forex trading in Malaysia!

4 Things to become Successful in Forex Trading in Malaysia

In any field, you will notice that the successful lot are always disciplined in their approach and are a league above everyone else. The path to becoming a successful Forex trader is one that is ridden with challenges. Foreign exchange is no cakewalk; thousands of traders enter the currency markets only to return back with disappointing losses. No matter how effective a strategy you implement, if your approach and trading personality aren't proficient, leave along winning, even thriving in Forex will be difficult!
 

To become a successful trader, you have to start thinking like one, and acting like one. 

Tips to become Successful in Forex Trading in Malaysia

Here are 4 tips to grow as a Forex trader in Malaysia:
 

1) Keeping it Real: Ambition and drive are undoubtedly key attributes to have as a Forex player, however without keeping realistic goals, you will never see any improvement. If you have a target of making $10,000 in winnings, it is something you can work towards. Wanting to make a billion dollars right off the bat is unachievable and will only end up clouding your vision! Have goals that are achievable, tasks that are doable, and maintain a realistic approach.
 

2) Overnight Success is a Fictitious Concept: From the outside, Forex trading in Malaysia looks very lenient and lucrative. There is this huge misconception that simply becoming a currency trader will make you rich! To profit consistently and enjoy healthy returns, you have to exercise tremendous resilience and patience. Some trades will reward well, while some might completely empty your account! Such is the volatility of Forex; and to win in a domain this chaotic, you will have to play it safe and play it slow.
 

3) Practice is the Key to Many Doors: Vladimir Horowitz quoted, "The difference between ordinary and extraordinary is practice." Successful traders are at the peak, not because they got lucky, but because they practiced. In Forex, you can learn and test out your approach on demo platforms; this facility is what makes currency trading attractive to several.   
 

4) Plot Your Movements: Forex trading doesn't do well with improvisations. While you may have to make nick-of-the-moment calls on some days, going into trades without any plan will do plenty of harm! Plan out every move you want to make; from entry points to Forex trading strategies to stop orders. Stay ahead of the game.
 

Forex trading in Malaysia is a quick-growing field today, with thousands entering these markets. Equipped with the right mindset and strategy, you can embark on your journey to success right away! Join the ranks of successful Forex traders today, with WesternFX! Assisted by our experts, you will transition into a professional in no time.

4 Crucial Tips to Get Consistent Results in Forex Trading

In the beginning, Forex will leave you absolutely fascinated, and you will be mighty impatient to kick-start your FX career. However, down the line, results aren't as you expect them to be. Maintaining consistency is no easy ordeal. Your approach to each trade has to be tailor-made to perfection! Be it the strategy employed, or the platform used - consistency defines success in Forex. Starting off, several traders are clueless as to how to enter the markets, and what to do once in.
 

Only with a consistent routine can you expect to yield well! 

Ideas to Get Consistent Results in Forex Trading

Here are 4 tips to better your trading approach:
 

1) Stick To Your Plan: Diversification should come in approach, not in strategy. Traders are quick to change their strategies when they don't notice immediate results. This is a costly mistake. Once you have a good trading plan to command, stick to it till the bitter end! While it may not birth the best of profits, changing midway might lead to monumental losses, which you want to avoid. Plan the trade, trade the plan.
 

2) Follow A Schedule Regularly: In an environment as erratic as Forex, traders are bound to go off-track. To maintain and follow a routine is easier said than done! Halfway into a trade, another one might seem better. Staying committed and resilient is the secret to winning in the long run. Maintaining a list, and keeping a regular track of your trades is a good way to start. This will help you contain you, and your trades!
 

3) Keep Away From Distraction: You will fall prey to a lot of noise and distraction when inside Forex! From videos to blogs, to forums, several outlets exist today where contradicting opinions are discussed; currency movements are speculated, and so on. These platforms are quick to catch your attention and divert it completely! Steer away from any form of distraction and believe in your approach.
 

4) Consistent Little Profits Are Greater Than Rare Big Ones: Foreign exchange is known for its variety when it comes to trade plans. Short-term, medium-scale and long-term Forex trading strategies exist, all equally lucrative when implemented well. Chasing big profits will take time, and the process is amply unpredictable. Short-term traders, however, carry lesser risks and yield just as well.
 

A Forex trading strategy will only take you half the way, to reach out and attain the final profit, needs a dedicated approach. One that you will find is with WesternFX. We house some of the best brokers, who will deliver impeccable brokerage, and assist you through every tradable brokerage, and assist you through every trade! Call us now, and get ready to master Forex trading in Malaysia!

Risk Management in Forex Trading - How To Manage Risks

Foreign exchange today, stands atop the peak of the trading world. Carrying a value in trillions, and tens of thousands of traders participating, Forex exchange is a giant of a field! The desire to make good money exists in the hearts of every man and woman. For some, trading is a formula to make a quick buck. This lure of profits is what sets the trap for several FX players. While lucrative on the outside, the fact remains known only to traders, that winning in Forex is no easy task. Only 10-15% of the players make it out successful, while the others face scary losses!
 

The element of risk is one that can't be eliminated in trading. Be it stocks, currencies, or futures - there is always a chance of your trade turning awry. While not a field of the gamble, Forex is definitely one that has similar repercussions. While good currency trades reward you magnificently, bad ones can effortlessly wipe out all your winnings. This risky nature of Forex trading is what makes it a field that needs immaculate levels of focus. 

Risk Management in Forex Trading

One side of the balance scale has profits, so it is only obvious that the other have losses. Technical and fundamental analysis has become a necessity to thrive in Forex. Without the understanding of price movements and market behavior, forget profits, even existing in FX markets will become impossible. Economy is such that big and small pairs alike move like a roller-coaster. While some days they are dominant and traders enjoy an uptrend, on other days even the best of currencies plummet down. To gauge this unpredictability isn't possible by humans or bots. However, Forex exchange despite of its chaotic nature still sticks to a trend. With the right research, an adept trader can easily get hold of this trend and capitalize on it, to make consistent winnings.
 

With all said and done, risks lie in plenty. While some losses only cost a few hundred dollars, others can wash out your earnings! 

Here are 4 efficient tactics to manage your risks and make healthy profits:
 

1) Analyze The Potential Losses Beforehand: The most basic step to take, in order to prevent losses from piling, is to speculate the various risks. Forex is a field of analysis and prediction, while the environment might be chaotic; it is always possible to speculate. You can start off by seeing the various ways your trade could go wrong. This will help avoid the said methods and focus more on profitable openings. Risky trades often yield better; knowing the right measure of risks to take is the formula to winning Forex. Professional traders reach the top by performing in-depth fundamental and technical analysis. These two methodologies are indispensable and will become the stepping stones to your trading success.
 

2) Study Market Liquidity: Forex trading is one of the most liquid fields in trading. It has a value of $5 trillion today, and this is only growing! A market is said to be liquid when there are a good number of buyers and sellers. An increase or decrease on either side can lead to an imbalance, which will inevitably birth bad trades. Studying price movements helps beginners and professionals alike, to win more and lose less. Forex exchange has a plethora of currencies to choose from; not all are profitable at every instance. Major pairs like USD/EUR also see drops! Studying price movements helps pick the best currency at a particular point of time.
 

3) Dedicate Risk Capital: When you know losses will happen at some point or another, why not allocate an amount for it? Risk capital is an amount which is committed to losses. While trading with $10,000, keep $2500 as capital you are willing to lose in a trade. Keep 2-3% of your trade investment as risk capital.
 

4) Leverage Carefully: Leverage is one of the reasons players win big and lose bigger. Forex, being a field of tremendous capital value, offers traders the provision to hold high positions without owning much capital themselves. Leverage is money borrowed from brokers, in order to hold high-value positions, which would otherwise be impossible. In an aim to make big earning, traders tend to leverage huge amounts, only to lose them later. As tempting as it may seem, take smaller levels of leverage.
 

Forex exchange lies profitable as ever, and all the more risky. To win a trade in foreign exchange is easier said than done, with the levels of risks it houses! With a good understanding of the possible risks and losses, Forex becomes a more approachable field, and immensely lucrative. Get yourself a world-class broker by your side, and surf through the risks all the way to profits! Call WesternFX today and hire from our team of stellar brokers. We will equip you with impeccable strategies, both to monitor risks and reel in the profits. Avail our brokerage, and dominate Forex trading in Malaysia!

How to Avoid Losses in Forex Trading? | Tips to Minimize Losses

In foreign exchange, there is no 100% guarantee of winning. Given its volatility, losses are obvious. As a Forex trader, you might spend a lot of time plotting methods to completely avoid downtrends and keep dodging losses; but there is no such Forex trading strategy! Currency trading houses scary levels of unpredictability, enough to topple a trade completely, no matter how braced. Avoiding losses is a dream, but minimizing them and their impact is definitely possible and required to survive in Forex's chaotic markets.
 

The first step to becoming a successful Forex trader is learning how to minimize your losses.
 

Here are 4 amazing ways to do it:
 

Forex Trading Loss Management

1) Dedicating Risk Capital: When you are working on a trade with $100,000, keep $10,000 as a dedicated risk capital. You can't avoid losses, so be prepared for one to occur, is the best approach to Forex! Despite the apt placement of stop-loss and other such measures, there will be days when losses find a way in. However, with a dedicated amount of money placed, you can proceed fearlessly into the markets - knowing that said amount will be lost eventually.
 

2) Using Sharp Indicators: Not all indicators offer precise information. With a good indicator in place, you can speculate all the possibilities of a bad trade occurring. This might not always play out, because a Forex trade can change courses at any instant! However, the smart approach is to always have indicators in place; and since they work on past values and are mathematically accurate, you can definitely rely on them to some extent. Read these 3 things to keep in mind while trading Forex!
 

3) Expecting a Bad Trade: A more philosophical approach to trading; your mentality in a trade speaks a lot and plays a huge role in deciding the outcome! Overconfident traders often end up investing in all the wrong places, and ultimately face losses. Enter every trade, thinking it will end up in a loss - this way, you are prepared not only to avoid a loss but to face one when it occurs!
 

4) Placing Stop-losses: One of the best money-management tools in Forex, stop-losses are a must if you have a risky trading style! These mechanisms will automatically withdraw your position from a trade, whenever a losing trend is noticed. When you specify a certain loss threshold that you can afford, it will pull you out of the trade if it goes beyond the said threshold, making sure you don't incur heavy losses.
 

Loss management in Forex trading will aid hugely. The more losses you minimize, the bigger the room for profits. Especially when working with leverages, these measures will be necessary to ensure you don't incur irreparable losses. A good broker's assistance can turn the worst trade around! Get yourself the best broker in town and ace Forex trading in Malaysia! Call WesternFX today and avail our superior trading solutions. With us besides you will make consistent profits in no time!

Tricks to Choose a Better Forex Broker in Malaysia 2018

To achieve trading success in Forex, the first and foremost requirement is a good broker. Forex traders often seem to believe they are completely responsible for the outcome of an exchange; brokers play as big a role as traders do in currency trading. Under a reputed brokerage, even a bad trade can be turned profitable! However, finding a good broker is no longer a simple job, it's a challenge. Several agencies scam novices with lies of confirmed profits, and big wins. However, there is no formula in anyone's hands to make guaranteed profits!
 

Braving the chaotic world of Forex requires impeccable brokerage. 

Here are 4 factors to keep in mind while choosing a Forex broker in Malaysia:

Forex Broker Selection Tips

 

1) Legitimacy: As said before, Forex brokers are in plenty; the good from bad, no one can tell. Before delving in, you should know if your broker is who he says he is, and if the agency is regulated. To prevent scams, and protect traders, establishments like NFA (National Futures Association) and CFTC (Commodity Futures Trading Commission) have been placed in charge. Several other bodies exist, depending on the genre of trade, and the location - FCA, PRA, AMF, etc. Ensure your broker is regulated by one such body.
 

2) Commission Costs: Transaction costs and commissions are permanent in Forex. It is crucial to find a broker who charges justly. Usually, better brokerage comes at high costs, but it's worth the pay! However, make sure you review Forex brokers thoroughly before accepting to pay and avail their services.
 

3) Trading Platform: Trading is facilitated through the help of tools called trading platforms. These are loaded with mechanisms to gauge markets, study their movements and speculate outcomes. Without these platforms, judging markets is an arduous task. Platforms vary from one broker to the other; get yourself a broker who provides the best.
 

4) Customer Care: While you might think brokerage stops with a trade, it carries further beyond! The way a broker treats his partners tells a lot. During your trading venture, you will require expert assistance on one too many occasions. Your agent should provide the best solution, without delay. Be it a technical one or even a small query - customer service tops every other factor of rating.
 

The path to becoming a successful Forex trader is often paved by a good brokerage. Albeit, your skills will have to be impeccable, so will the agent's! You can get yourself a world-class Forex broker in Malaysia today and conquer the world of currencies - call WesternFX! We will equip you with the best of services and solutions, and ensure you skyrocket to your goals!

3 Things To Remember While Trading Forex Online

Gripping the Forex trading markets might seem easy, but holding on isn't! Currency trading is known for its unpredictability and the sheer chaos it houses. Day in and day out, traders enter a foreign exchange with an aim of profiting huge, only to return back with mounting losses. Succeeding in foreign exchange requires immaculate levels of skill, consistent research, and thorough market knowledge. Only 5-10% of traders manage to make it to the top. For starters, equipping yourself with a good Forex trading strategy is the best way to ensure success.
 

Here are 3 things to remember while trading Forex online:

Things to Remember in Forex Trading

1) Devise a Top-notch Strategy: Without a good trading strategy, leave alone winning, even surviving a trade will be impossible! There exist several plans for traders to choose from, depending on their style and the kinds of outcome they expect from a trade. An important thing to remember about Forex is its extreme volatility, and how any trade can turn awry in an instant! With the aid of a proven strategy, you can maneuver away from any and all obstacles!
 

2) Don't Cross The Line: Overtrading is a serious problem several players face in Forex. Being a leveraged environment, the temptation to "invest just a little more, a little longer" is too high! Though margins and leverages are for a trader's benefit, misusing or overusing them will lead to dreadful consequences. Example, a leverage of 100:1 will allows you to hold $100 of trade value for every $1 you own, so with $10,000 in your hand, and $1,000,000 as leverage, you may have a rich trade, but losing this would result in losing the complete $1,000,000, not your initial capital of 10,000.
 

3) Stop Losses with Stop-losses: Unpredictable environments, high rates of volatility, and a plethora of external factors to tip the balance - how can one avoid losing money under such dire circumstances? With the use of stop losses! These wonderful elements help traders focus completely on their game without having to worry about price movements. With a stop-loss in place, you can fearlessly involve in a trade; should a certain amount of loss incur (preset by the trader), the mechanism will automatically pull you out of the trade!
 

Mastery over Forex comes to those who are willing to brave the odds with unbreakable resilience! Across the hurdles, immense profits await; get yourself to the professional side, hire the best broker - WesternFX! Our tested Forex trading strategies and impeccably developed platform will pave the path to your trading success.