Forex trading is beneficial for traders in a growing economy like Thailand. Before you begin Forex trading in Thailand you should first have an idea of the currency you plan to trade. The forex trading market needs a constant technical analysis to stay afloat in the market. You should do your research before engaging in Forex trading Thailand.
Here are some steps you need to do to start trading.
Know Your Needs
Carefully know your needs as a trader before opening an account and start forex trading. Many international brokers have trading platforms open to Thai traders and some even accommodate Thai traders by having an option to fully translate their websites into Thai.
For beginners in Forex Trading Thailand, you might be more comfortable looking for a trading platform that has good customer service more than any feature. This will greatly help you in your trading venture and you will learn more about the market and how forex trading Thailand works.
For traders who have ample experience in the market, you might be more comfortable staying on using the same platform. Look for a broker that offers your favorite trading platform or explore different trading platforms that offer new features.
Regardless if you are a beginner or a long time trader, before opening new accounts, you should consider opening a free demo account first. Demo accounts in trading give you an idea of the broker’s dealing spreads, slippage, and response time. It will also give you an insight into the forex market and give you the feel of the platform experience.
Pick a Reliable Broker
There are important factors you should consider before opening an account with a broker. Making sure the broker you choose for your trading venture is reliable will give you fewer headaches in a competitive market. Some factors you should consider are the following.
The security of your funds is the most important thing you should consider when starting to trade currencies. Research on the reputation of your broker and the regulatory agency in charge of its operations. Reliable brokers have oversight from regulatory agencies like the UK’s FCA (U.K.’s Financial Conduct Authority), the CySEC (Cyprus Securities and Exchange Commission), the U.S. NFA (U.S. National Futures Association) and the ASIC (Australian Securities and Investment Commission).
The dealing spread is used by online forex brokers to act as market makers to make money, by buying at the bid side, and selling at the offer side of the exchange rate. To improve your trading profit, keep your transaction costs low. You can do this when Forex brokers offer competitive dealing spreads.
Type of Broker
What type of broker is dependent as to where they base their forex quotations. Different types of brokers vary in their ways of handling transactions and executing orders. These are the different types of brokers:
- No Dealing Desk
As the name implies, this type of broker has no dealing desk. NDD broker’s liquidity in the forex market comes from multiple forex quote providers. This type of broker offers the best composite quotes from that. An NDD forex broker generally charges a commission or they widen the dealing spread to make a small profit on each trade executed.
- Market Maker
A market maker is a broker that will take the other side of the trade and offset any substantial trades. They offer traders a two-sided market that comes from a specialist forex trader operating as part of the broker’s dealing desk. This type of broker has an objective to get a portion of the.
- Electronic Communications Network
An Electronic Communications Network or ECN forex broker does not have its dealing desk. ECN broker provides an electronic platform to enter bids and offers through their system. One advantage of an ECN broker is a trader is given some kind of anonymity. A trader who does not wish to give that they are on the bid or offer might want to choose ECN.
Online forex brokers have their proprietary platforms but besides, they offer trading platforms by MetaQuotes. They offer technical analysis tools for trading. This trading software is customizable and can be set to automated trading.
Customer Service/Educational Resources
For beginner traders, customer service and educational resources are profitable tools for trading. You can learn market moves and consult errors or questionable circumstances that may arise from novice trading.
Varying account types are available for different purposes. It enables different people to open an account with varying sizes of minimum deposit or maintaining balance. Different perks accompany different account types.