How To Start Forex Trading In Nigeria

How to start trading in Nigeria - 5 essential tips

Starting forex trading is like learning a new skill. It takes practice, patience, and a willingness to study. Traders Union experts have highlighted 5 essential tips for beginning traders in Nigeria.

• 1

  Develop a solid trading system. Just as you plan your route to find the best deals, a solid trading system helps you navigate the ups and downs of the market. It's your strategy, your game plan. Take your time to figure out and study what works for you.

• 2

  Start with micro accounts. Starting with a micro account is like dipping your toes in the pool. It allows you to get a feel for trading without risking too much. As you gain confidence, you can gradually wade into bigger waters.

• 3

  Master the trading platform. The trading platform you use is your control panel. You don't need to be an engineer to use it, but you should know how to operate the basics. Knowing where everything is and how it works helps you navigate smoothly.

• 4

  Conduct market analysis. Understanding patterns, trends, and news that could influence your trades is essential to market analysis. It's like checking the financial forecast.

• 5

  Use risk management and control your emotions. It is crucial to keep your cool and resist letting fear or excitement dictate your decisions when trading. Proper risk management gives you the ability to control the ups and downs of the market much like a safety harness.

Best Forex trading time in Nigeria

In Nigeria, there are four sessions for forex trading. It is advised by TU experts that you consider trading between 10:15 AM and 2:30 PM. The time was selected because, between 10:00 and 10:15 AM, morning volatility typically tends to decrease.

What are the best Forex pairs to trade in Nigerian local time?

If you want to trade forex in Nigeria, you need to know which forex pairs are the best to trade. The most traded forex pairs among Nigerian traders are EUR/USD and USD/JPY. These two Forex pairs are the greatest in Nigeria, according to research, which indicates that 80% of Nigerian traders favour them. On the other hand, you have access to additional forex pairs in Nigeria. The best pairs for traders searching for less volatile ones are AUD/USD and GBP/USD.

How to start trading in Nigeria: step-by-step guide

As a Nigerian, you can begin trading forex by following these steps highlighted by experts at Traders Union:

• 1

  Pick a regulated forex broker. Start by doing your homework and making your choice of a trustworthy, regulated forex broker. Regulatory agencies can help safeguard your interests as a trader by supervising brokers and requiring them to follow certain guidelines.

• 2

  Open a forex trading account by completing your KYC process. You must open a trading account after choosing a broker. In order to complete this process, you usually need to fill out a Know Your Customer (KYC) form and provide some personal information like your BVN, NIN number, and address.

• 3

  Download the trading platform from your broker’s website. Once your account is set up, you'll need to download the trading platform provided by your chosen broker. Most brokers offer popular trading platforms like MetaTrader 4 (MT4) or MetaTrader 5 (MT5).

• 4

  Use local payment methods to fund your trading account: You must fund your trading account in order to begin trading. For Nigerians, a number of brokers provide a range of locally accepted payment choices, including bank transfers, online payment processors, and others.

• 5

  Use the platform to place trades. As soon as your account has been funded, you can begin placing trades. Learn how to use the trading platform, including how to manage your trades, set take-profit and stop-loss levels, and execute market orders. Traders Union experts advise that you should begin with a solid understanding of the fundamentals of trading, risk management, and the instruments you are trading.

Best Forex brokers in Nigeria

RoboForex

RoboForex Review

Open an account

Your capital is at risk.

In 2009, RoboForex Ltd. was established. RoboForex has been offering trading services on a global basis ever since it entered the market for Forex brokers. The broker specialises in trading automation solutions such as the CopyFx auto trading platform, as well as the bot builder. RoboForex supports both 12,000+ CFDs, as well as direct trading in US shares with extra low fees from 0.09 cent per share.

The account type selected on the interface at RoboForex will determine the spreads. For EUR USD, the spreads' is ranging from 0.03 to 1.4 pips for different account types. RoboForex provides a 0% fee on all deposits and withdrawals.

RoboForex is generally governed by Belize's Financial Services Commission. The broker also has a European legal entity with regulation in Cyprus (CySec). At RoboForex, there is a civil liability insurance program in place that offers industry-leading defence against errors, fraud, omissions, negligence, and other risks that might result in losses for clients.

Trading Instruments

RoboForex supports Forex, stock and crypto trading. The broker provides access to trading a total of 12,000+ trading assets.

Deposit and withdrawal

Bank transfer, Debit/Credit card, Electronic wallets

Exness

Exness Review

Open an account

Your capital is at risk.
You can lose your money.

Exness has been in operation since 2008. Exness is the best broker for both active and passive investment. It offers a wide variety of trading instruments along with reliability and innovation. The broker offers a range of accounts, depending on the needs of traders. For beginners, the broker offers cent and demo accounts, and for active traders, ECH accounts with low spreads from 0.1 pip.

Exness offers services via its registered offices in the British Virgin Islands, Seychelles, Curaçao, South Africa, and Cyprus. Retail customers cannot get services from offices in Cyprus or the United Kingdom.

Exness is governed by the strictest regulatory agencies, including the Cyprus Securities and Exchange Commission (CySEC) and the UK's Financial Conduct Authority (FCA). Exness is subject to financial services authority (FSA) and FSCA regulation as a securities dealer (South Africa).

Trading Instruments

Currencies, assets of stock and commodity markets, cryptocurrencies

Deposit and withdrawal

Bank transfer, Debit/Credit card, Electronic wallets (not for all markets)

FxPro

FxPro Review

Open an account

Your capital is at risk.

Since its founding in 2006, FxPro has built a name for itself as a reliable Forex broker on a global scale. Four financial services commissions oversee the operations of the FxPro broker company: the FCA (United Kingdom), CySEC (Cyprus), FSCA (South Africa), and SCB (The Bahamas).

Forex and CFD traders who want a wide range of trading markets should use FxPro. Their range of Forex pairs and the ability to trade equity indices, cryptocurrencies, commodities, and futures set them above competitors in the space.

This broker places a lot of emphasis on ongoing research and development. This results in key advantages such as ultra-fast execution. FxPro is committed to delivering services that strictly adhere to customer requirements.

Traders, regardless of their experience and training level, are assisted in their activities by educational materials that are provided and multilingual support from the company’s specialists.

Trading Instruments

FXPro offers Forex, CFD, and Crypto Trading

Deposit and withdrawal

Bank transfer, Debit/Credit card

Pros and cons of Forex trading in Nigeria

There are advantages and disadvantages to consider before trading forex in Nigeria, and TU experts have highlighted some for you below:

Is Forex haram?

While some Islam claim that because of the uncertainty and interest involved in forex trading, it is like gambling, which goes against the principles of Islamic finance. Others claim that under certain circumstances, such as not charging interest and guaranteeing an instant settlement, it might be acceptable. Muslim academics have different opinions on this, so it’s advisable to stick with brokers that offer separate Islamic accounts.