Here at Trade Forex South Africa, we show you how to do Forex Trading South Africa and hopefully successfully aid to increase your capital on a daily basis. Remember though it takes times and effort. Also Know not every trader makes it, in fact majority fail. However if you got the stuff you could be a percentage that makes the cut.
Forex trading South Africa can be quite financially rewarding as well as provide loads of fun as you get to understand the fundamentals and technicalities that make it a great deal and investment channel. The truth be told, just as it offers great opportunity, it also comes with its own share of risk. Our goal is to ensure your entry into the market is successful, thus we also review and recommend to you some of the best forex brokers online to deal with. When you have what it takes to succeed in this market, we can proudly be happy that we have attained our goal.
Forex Trading Defined
Before now, we used to exchange money if we had to schedule to board a plane to travel. Then, we would exchange our money into traveler’s check or the equivalent so that we could find it easy to transact overseas. While this no longer holds much due to wide use and acceptance of credit cards, the practice of selling and buying a currency in exchange for another still exists. This is forex trading in function and does take place on the global currency marketplace. You don’t have to have millions of dollars to start trading on forex, as anyone with as little as $100 to someone with thousands or millions up to the biggest of banks trade on the market by buying and selling currencies daily for financial increase.
This market is assuredly the biggest financial market you can find on earth. Since it has to do with dealing with international currencies sales and purchases, it has many financial centers located around the world. As a trader on this market, you have the opportunity to buy and sell currencies Monday through to Friday.
So how does Forex Operate?
Forex trading operates within the dynamics of supply and demand. Selling one currency with ease means there are other people standing by to buy them for exchange. As a forex trader in South Africa, you will have the capacity and leverage to make loads of profit by buying currencies & then exchange or sell right after the price has gone up in your favor.
The beauty of this market is that you can trade and invest whether the price is increasing or decreasing. Technically, this is referred to as – going long, or going short. It’s fun when you are able to speculate on currencies when they are dropping in value i.e. going short or when they upsurge in value i.e. going long; and still be able to make good profit from any point.
Are You New to Forex Trading South Africa?
Thinking of knowing how to trade in the Forex market, you need to learn the nitty-gritties and follow through with guts and some level of patience.
How about Starting Now? Consider the following pointers to help you get started trading forex in South Africa, and making your initial deposit, trading and growing it.
- You can start by finding and signing up with any broker as recommended here on our website. Choose the one you know suits you best.
- Next, you will be required to open an account with your preferred forex broker. Doing this through their website, you will need to provide details such as name and phone number.
- Expect the company to call or mail you. This will comprise request to help you in any way required to ensure you start correctly.
- After this, you will be asked to verify your identity & personal data. You will need to submit requested documents to get approval.
- Finally, make your initial deposit for trading live on the forex marketplace. You also will get access to forex trading training materials.
Forex Trading Featured Divisions
These are some of the expected sections to find once you have successfully registered with a broker. This however depends on the broker, as some will have all, some and even more…
Forex trading platforms provide the opportunity for new traders to create Demo accounts. With this feature, a new trader can without risking any capital familiarize himself with the broker’s functionalities and make decisions. Though it’s called demo account, it comprises same exact features that you get from live account. Here you can quickly learn what it feels to trade with MT4 or the platform’s custom apps/software.
If you have interest in trading cryptocurrencies such as Bitcoin, Etherium, among others; some brokers provide this feature.
Forex Trading Apps
Some brokers provide Forex trading apps that can be utilized for trading, finding price quotes, comparing currencies, and making analysis.
What does it look like to Trade Forex?
As a forex trader, you will find yourself spending ample time looking at the way the value of specific currencies change every second and over time. This is done through chart evaluation.
Is Forex Trading Money-spinning?
This is dependent on a wide range of factors such as the trader’s experience level and other social/emotional factors. It can be a really money-spinning investment or not – based on how you make your transactions, and also due to market conditions during when a trade is on hold. All of these factors put together can determine if your forex trade will be profitable or not. It is not a win-win business all the time, as traders are likely to lose a part of their trades at any given time. Your goal would be to set a target with an attainable win-loss ratio that will be to your favor. One general rule you need to keep as a trader should be to invest nothing more than 2 percent of your overall capital into any single trade. One more important thing, never think of ever trading any sum of money that you can’t afford to lose!
Availability of Forex Trading Tools
Forex trading platforms provide several trading tools to help you trade forex easily. Some are designed inbuilt within the platform and you can find some other good stand-alone tools sold by third party vendors that will help give you that extra edge in your trading.
Forex trading South Africa and tax
Your forex trading gains is not tax exempted. And even if your forex broker is overseas, you still need to pay your tax.
Forex Trading and FSB Regulation
FSB is South Africa’s financial and investment regulatory body. FSB is there to protect the public from financial irregularities. The body is known to also regulate Forex trading brokers in the country.