Nigeria is a developing country, and its economy and its currency rates are highly volatile, giving a golden opportunity to anyone who wants to start trading Forex. So, if you’re ready to start building your capital on international currency rate changes – it’s high time for you to do so. Here we’ll help you fill some initial gaps in your Forex knowledge and explain all the ups and downs that every Nigerian Forex trader has to deal with.
The good thing is that Forex trading in Nigeria is entirely legal, although only if you’re using your personal capital for your benefit. Nigeria doesn’t have any laws prohibiting its citizens from trading with the help of overseas brokers, which means that you can pick any reliable broker from around the world if they have the account type and payment methods suitable for you.
There’s also a downside to it because Nigeria barely has any Forex-related laws at all. The basic ones are in place, but there is no proper licensing body that would regulate the national market and weed out the scammers. We do not doubt that some Nigerian brokers are sincere and utilize transparent business practices. Still, in general – if you’re keen on working with the local brokerage firm – don’t hesitate to do your research to make sure that your money will be safe.
The most hated local Forex traders’ banes are unstable electricity and internet infrastructures. If you lose internet connection or the grid itself goes down before you close the trade – you might lose a lot. That’s why we advise trading from city areas, where the grid is most stable. Stop-loss mechanisms are also important to employ because if you can’t get online – at least you won’t lose more than you’ve planned.
Forex Education in Nigeria
As they said about all the gold rushes in history, those who sold shovels made the most profit. It’s also true with Nigerian Forex trading. It looks like a real Bonanza for many people trying to have an alternative source of income, and thousands of scammers are there to take advantage of it. And if scam brokers can at least be figured out based on feedback on various forums and review sites – unprincipled Forex trainers are still there and making millions on trusting beginners. They’re selling basic Forex trading information for a high price and giving their courses’ attendees confidence to start trading while they know nothing of the actual market and its laws.
The Forex market in Nigeria abides by the general rules that are the same in every country. The growing interest in it ensures that you can find every bit of helpful information on the Internet for free. In that regard – you might want to visit JustForex, which is an esteemed international brokerage firm and has hundreds of thoroughly checked and updated learning materials on trading in general and Forex in Nigeria in particular.
When To Trade Forex in Nigeria
Nigerian timezone is another natural advantage because it’s only 1 hour ahead of London. It’s also not that far from New York, meaning that you’ll have the most active trading hours from 14:00 to 22:00 local time. For most of that time, both London and New York markets are open for business. You won’t need to give up your day job to start trading Forex. It might take a while for you to become a real trader, but if you have patience and clear goals – you can make it without endangering your financial situation, which is the best way for everyone.