This article looks at the decision making methods you can use on the foreign exchange Singapore.
When you trade on the foreign exchange Singapore you should consider the methods that you are using to make decisions. There are three types of decision makers on the foreign exchange Singapore that you should know about. When you know about these types of traders you can determine which one you are. When you know this you can determine whether or not you are making the right decisions on the market. The three types of decisions makers are the informed traders, the uninformed traders and the intuitive traders.
The Informed Traders of the Foreign Exchange Singapore
All traders should look at being an informed trader. When you are this kind of trader you will have all the information that you need about the market before you trade. These traders can be technical or fundamentally minded. It is important that you consider what you need to look at in order to be an informed trader.
If you are a technical trader then you will need to know about technical analysis and the different ways that you can analyse the forex charts. You should be able to determine the movements of the market through technical indicators and predict what this will mean for you. There are a number of different indicators that these traders will be able to use along with the analysis of the price patterns.
If you are a fundamental trader then you will need to understand the fundamental drivers of the market. You will also be looking at forex news to determine what is going to happen on the market. To be an informed fundamental trader you will need to be able to determine the market sentiment and how the news is going to affect the market.
The Uninformed Trader
Being an uninformed trader is something that you should always avoid. When you do not have the information that you need to trade with you are going to be looking at your emotions. This can lead to losses on the market that you could avoid.
The Intuitive Trader
The intuitive trader is another type of trader that you have to be careful of. If you are trading in this manner you are going to be relying heavily on your feelings about the market and what will happen. This type of trading will be closely linked to emotional trading and you need to consider this. Emotional trading can produce profits in the short-term, but will rarely offer you consistent income over the long-term.
There are many intuitive traders who combine their feelings with technical analysis. To do this you are going to look at what you feel the market will do. You are then going to complete analysis on these emotions. This is the best way that you can be an intuitive trader as you are going to be making informed decisions about the market and what you should be doing.
When you trade on the foreign exchange Singapore you should consider the type of trader you are. The type of trader you are can affect the trading that you do and the amount of risk that you face.