Listen to An Experienced Forex Trader

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Cameroon Online School of Forex trader making profit. Whatsapp +237675421156 to learn Forex trading.

Hello, traders! Meet an experienced analyst from Indonesia, who joined FBS team in 2007! Reza Aswin! He would like to share his trading journey with you and give useful advices for beginners! Sign up for a trading account here fbs.com is one of the best brokers in the world.

How and why did you become a financial analyst? 

When I got a master degree in the global marketing in 2000, the university offered me a scholarship to study macroeconomics in international trade. While I was studying, I was working as a marketing analyst in a water company in Jakarta, Indonesia.

 In 2005 I quitted my job and joined a futures brokerage company as an investor. Finally, in 2009 I became an analyst in a financial company.

What is your approach to analyzing markets? 

When I’m analyzing the market, I mainly use fundamental analysis. This approach can help to define the direction of the market for a short, medium and even long term.

What are your favorite technical tools and indicators? 

I prefer using candlestick patterns and the Fibonacci retracement.

What do you think about trading on the news? 

Trading on the news may be risky if we do not master fundamental analysis and do not understand economic data and effects that will occur in the future. Detailed fundamental and technical analyses and also risk management can help you to minimize losses in every trade. 

What is your favorite trading instrument? How often do you trade? What trading style do you prefer? 

Financial and economic data plus geopolitical factors are my favorite instruments. They help to find out the current market movements. Moreover, I choose the currency pair based on the current focus of market players.

 Speaking about the style of trading, I usually wait for the strong trading signal, thus minimizing the risk that occurs in every transaction.

What advice can you give to novice traders? 

Beginners always make the same mistake. They look at future profit opportunities, but forget about risks. As a result, when prices don’t move the way they expected, they start to panic and make even more losses. In addition, newbies often have the wrong money management. It’s a mistake to think that the small capital can generate large profits. 

Instead of that, you should understand that only the optimal capital will produce maximum profits with a relatively low risk. I highly recommend novice traders to invest their time in learning before investing their money. Many beginners don’t do this, that’s why so many of them fail.

Before you open a position, consider these 3 things.

Money Management: Money Management is not a risk and reward, but it is a standard calculation of your potential profits and losses. The main idea is to define the optimum capital for each transaction to generate maximum profits with low risks. 

Fundamental Analysis: The understanding of fundamental analysis will greatly help you to find out the future direction of the market.

 The knowledge of macro and microeconomics allows you to predict the movement of certain currency pairs.

Technical Analysis: Technical analysis helps you to determine entry and exit points in accordance with the direction of the market based on existing fundamentals. 

If you use all the above in combination, you will minimize your risks.