What do start-ups and forex trading actually have in common?
Today’s generation of people joining the workforce has different values than their parents before them.
Tendencies are changing rapidly, and that’s surely a positive aspect that promotes economic growth. Presently, the most widely-encountered professional goal is starting a business and being your own boss.
The road to success
While being your own boss immediately leads one to think about start-ups, there is another field which allows you to do that. And no, we’re not talking about freelance.
We’re talking about forex trading.
While it is true that it’s a hard one to enter, the rewards can be plentiful, and you have many resources available to gain the necessary knowledge.
Practicing and evaluating potential strategies is vital if you want to master the tools of the trade. Fortunately, most exchange platforms allow you to go for a test run beforehand.
For example, signing up for a Metatrader 4 demo account first is a sure fire way to see if your approach is the right one and to discover what elements need further tweaking.
There is no such option when building a company from the ground up. All you have is market analysis data, but just like in the case of forex, circumstances can change in an instant. This would lead you to believe that start-ups are much more difficult to manage than stocks.
But is there any common ground between them? Let’s find out.
Finding common ground between start-ups and forex trading
According to Forbes Magazine, entrepreneurs who are wildly successful in their field all share similar key traits.
Here are the four main traits which hold true for both foreign exchange traders and start-up business owners:
1. Follow your dreams no matter what
Truth be told, neither start-ups nor forex trading are a walk in the park. But following your dreams despite any difficulty that might occur is what makes or breaks you as a prolific businessperson.
You will have to take risks and make sacrifices along the way to succeed. Renowned traders such as Bill Lipschutz or George Soros are living proof of this.
Nevertheless, the chances you take need to be calculated. It’s perfectly fine to go off the beaten path every now and then, but if market data or even common sense advise you otherwise, you might need to rethink your decision.
Still, don’t give up and always be persistent. Where there’s a will, there’s a way.
2. Gather the necessary capital
Forex trading capital is something you usually need to have on hand if you want to be a respectable plate on the market. This is where start-ups sometimes have it easier. Founders can request funding from official authorities or even people on the internet, and they might get it.
Regardless of the source, having that initial sum of money on hand is vital in both fields.
3. Know when, and where, to sell
Knowing when and where to sell your products or assets is what determines success in both fields.
However, this is perceived in different ways depending on each one. While in the case of new businesses this connects directly to customer service, in foreign exchange it has to do with exiting a trade at the perfect moment. Both involve a deep understanding of these respective fields.
4. Have the right mindset
In a new business, company culture determines future accomplishments.
This mostly refers to how you and your firm are perceived by employees and how much you manage to instill common values in all of them.
At the other end of the spectrum, forex trading is an independent endeavor. But you still need to nourish a ‘winning culture’ mindset, even if it’s just for yourself.
While going into forex trading and starting a business seem like two different actions altogether, there is plenty of common ground between them when you step back and look at the bigger picture.
Following your dreams is essential, and so is having the necessary initial capital to kick everything off.
And after you’re in, selling is the number one most important skill you need to have.
Finally, being in the right frame of mind to promote success is vital, regardless of the field. Thus, it can be concluded that, on some level, these two activities share the same values.
Disclaimer: This is a contributed article from Admiral Markets. Forex trading and investments of this nature carry risks to your capital.