Forex trading in South Africa has become easier to get involved over the past ten years, which has also seen many South Africans taking part in it. In this article, you will learn how to get started with Forex in South Africa, the best approach to learning how to trade, profitable South Africa forex trading strategies and which Forex brokers are most suitable.
ALSO READ: Secrets of Online Forex Trading in South Africa
According to the Bank of International Settlements (BIS) 2019 triennial report, the South African rand was ranked as the 18th most commonly traded currency in the world. Since 2004, the rand has remained in the top 20 currencies in the world and is the only currency on the African continent to achieve this ranking in foreign exchange market.
South Africa is home to over 59 million people, with more than 200 000 active traders and some very successful traders. Here’s how to start Forex trading in South Africa.
How to Start Forex Trading in South Africa
Anyone who is interesting in trading forex should at least have a mobile device (smartphone or tablet), laptop or computer, a stable internet connection and trading capital. These are essential basic requirements to get started. Once you’ve done a checklist, you can create an account with any South African Forex broker regulated by The Financial Sector Conduct Authority (FSCA) in South Africa. Here are the easy steps to opening a Forex trading account in South Africa
- STEP 1: Compare different regulated Forex Brokers in South Africa
- STEP 2: To create a Forex account with the chosen broker, you can either click on “Start Trading Now” to trade with real money or “Try Free Demo” to sign up for a practicing account
- STEP 3: Enter your email address and password and click “Create Account“. Alternatively, you can sign up with Facebook, Apple or Google
- STEP 4: Verify your email address
- STEP 5: Complete the verification process
- STEP 6: Fund your trading account
- STEP 7: Download the trading platform and start trading
Why Should I Open a Trading Account With A South African Forex Broker?
Forex brokers in South Africa are regulated by the Financial Sector Conduct Authority (FSCA) and other well-known financial regulators in the world. In addition to Contracts for Difference (CFD), many brokers offer trading opportunities in Commodities, Indices, Stocks and Exchange Traded Fund (ETF). Here are the advantages of opening a trading account with Forex brokers in South Africa.
- They are regulated by the FSCA in South Africa
- Offers low fixed spreads
- Low minimum account opening deposit
- Easy and convenient withdrawal of funds
- Unlimited demo account
- Clean, user-friendly platform
- Offers diverse and safe deposit methods
Is Forex Trading Legal in South Africa?
Forex trading is legal in South Africa as long as it does not contravene money laundering laws and forex traders must declare any profits to the South African Revenue Service (SARS).
South Africa Forex Trading Strategies
When it comes to trading forex, you must have multiple forex trading strategies to increase your chances of making consistent profits. Here is a list of some of Forex trading strategies that you can look at.
- Day Trading
- Price Action
- Trend Trading
- Range Trading
- Swing Trading
- Positional Trading
- Scalping
Risk Warning: “76.4% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.”
Image Courtesy: www.onlinetradings.co.za