The growing population and economy of South Africa make forex trading in the country very attractive – not only for South Africans but also for foreign-based brokers.
If you are also interested in what Forex trading has to offer, then you are in the right place. In this article, we will show you how you can start with this venture in just four simple steps.
Without further ado, let’s get started!
1. Think about your forex broker needs
First and foremost, you need to consider the need for a reliable broker. It is also worth mentioning that your trading experience and level of knowledge will play an important role in determining what you’ll need a broker.
If you have sufficient experience when it comes to trading, then you can concentrate on looking for a forex broker that has enough advanced training platforms and trading tools. But if you aren’t familiar with this stuff, then brokers that have great customer service departments as well as educational services.
2. Choose the best forex broker
Now that you know what you need in a broker, it’s time to find the best one. However, keep in mind that brokers don’t have the same level of experience. To help you narrow down your options, here are the things that must be taken into consideration when picking the best one:
Choose a broker that is duly regulated by the South African FSCA, NFA (National Future Associations), FCA (Financial Conduct Authority), CFTC (Commodities Future Trading Commission (CFTC) or other major regulators.
Margin refers to the amount of money that you will need to put up in order to hold the trade.
- Demo Account
When choosing a broker, it actually makes sense to consider free demo accounts before committing funds to live accounts.
- Customer Service
Considering this feature most especially if you have limited experience in trading. That being said, look for one that has excellent customer service. You should also consider educational sources like video, articles, audio on forex fundamental and technical analysis.
3. Open An Account
After choosing your preferred broker, you can now open your Forex account. Some forex brokerages base most of their operations in South Africa. However, you can always open your account with forex brokers that are internationally-based that are regulated by the FSCA.
Once you have picked the broker that you want, you can fund your Forex account by following the instructions that are usually included on its official website.
4. Start Trading
At this moment, you can start trading forex online. Keep in mind that you will need a trading plan that has clear money management principles to help you in this extremely inconstant trading environment.
Hopefully, this article has helped you a lot. Nevertheless, aside from Forex Trading, you may also want to consider the Binary options South Africa has to offer.