How To Start Your Trading Year Right Under the Trump Administration

The day is here and the official president of the United States of America is none other than the billionaire tycoon Donald John Trump. Now that he is in office, changes are in order. While the rest of America adjust to their new president, the rest of the world is getting ready for the repercussions that the Trump Presidency will definitely have.

For traders, it’s a more obvious effect. Right off the bat, the market is already on edge as the succession occurs. So far traders are doing their best to cope with a more volatile market. Meanwhile others are getting ready for the possible effects of Trump’s administration. Here at Forexask we have created a list of advices that we think will be useful to you as Trump takes the reins of the most powerful economy of the world.

Keep Calm

Right off the bat, keeping calm is the most obvious and perhaps the most logical thing to do. If you have seen the market recently, there’s no doubt that you know how nervous everyone is.

Each of Trump’s tweets causes market movement. Every speech he makes brings about big changes. And every move he does already affects most market participants. This is why, now more than ever, you have to keep calm. Traders must keep in mind that most of the sudden price changes are just knee-jerk reactions. Soon enough, investors and market assets return to their normal movements.

In short, to stay ahead of the volatility, keep your attention to Trump while maintaining composure in time of sudden changes.

Keep Tabs on the Peso

Keep your attention on the peso, the Mexican peso that is. The reasoning behind this is because Donald Trump is keen on getting Mexico out of US soil. Most of his statements on illegal immigration are set against Mexico. This means that the Mexican peso could be your best indicator for how your assets will be affected by the market.

Keep the VIX in Check

The CBOE VIX or the Chicago Board Options Exchange Volatility Index is the fear gauge. It basically presents the market’s expectations within a 30-day volatility period. This is another indicator so you can anticipate any uncertainty before the sudden price fluctuation hits.

With Trump in office, what to expect is the unexpected. Keep your eyes peeled on the right news so that you would be able to fare well in his term.