Online financial trading is a complex and difficult task. It requires advanced knowledge and practical skills to be a successful trader. But before you start trading, it is important to have access to software and web-based platforms that can connect you with trading exchanges. Online brokers are the main providers of such software. In this guide, we focus on how Kenyans can access markets for online trading safely from their home.
Trading software types and how to select them
The primary way to access online trading from Kenya is through advanced trading and charting platform software that can provide you with uninterrupted price data. This high-quality data then can be analyzed through the platform’s indicators and other inbuilt technical analysis tools. Trading software comes in many shapes and flavors and can be divided into
- Charting platforms
- Trading platforms
- Web traders and mobile traders
Charting platforms like TradingView offer price data and an immense number of trading tools and indicators to analyze charts. Trading platforms like cTrade and MetaTrader 4 and 5 are one of the most advanced platforms that can be used to analyze and trade markets. Web traders and mobile traders will often offer basic trading functionality.
Mastering one of these platforms is necessary for a successful trading career, and since each platform has its pros and cons, it is important to have your options for FX trading software compared and rated by experts. You should also conduct your own research and see which ones suit you the best, as different traders have different personal preferences.
Local vs global trading brokers for Kenyans
Online brokers are like a bridge between traders and exchanges. The best way to access markets is to research and find safe brokers who can be trusted with your hard-earned money. After this, it is critical to use advanced trading software that can assist you in the technical analysis offered by these brokers. The broker of your choice has to offer one of the professional platforms mentioned above.
For regulations, let’s dive deep into the Kenyan Forex regulations. CMA or Capital Markets Authority is a Kenyan regulatory body overseeing the Forex brokers’ activities in the country. While it is good to trade with locally regulated Forex brokers, sometimes it is better to use other brokers who are offering better terms for trading.
In this regard, Kenyans should not limit themselves to only local brokers and should always try to reach out to better brokers. The VPN could be used to access brokers regulated by other jurisdictions, but generally, most brokers accept Kenyans as global traders and there should be no need for VPN. Since M-Pesa is a popular payment method in Kenya, make sure your broker supports your payment system, and that it is possible to safely deposit and withdraw funds.
This is very important in trading, and you should always check for brokers’ offered deposit and withdrawal methods. Another aspect of trading is a reliable internet connection that works without interruptions, to make sure your trades go through the software and are sent to exchanges. This little thing can quickly become an issue if the internet is unstable or extremely slow. Many developing countries experience bad internet and any Kenyans starting a trading business should also check their internet stability.
Trading risks and how to mitigate them
Speaking about trading, it is impossible to not mention the risks involved. Trading is very risky, and it involves risking money to predict future price movements and get profits. The best way to approach trading is to gain a deep understanding of financial markets and who are their participants.
After this fundamental and technical analysis and how to conduct each of them. Accessing the online trading industry is easy, and anyone with an internet connection can easily open and operate a trading account. After finding the proper broker and having the necessary knowledge, it is a good idea to test your trading knowledge and skills on a demo account before going live. After all these steps are done, it is time to become a trader.
Wrapping everything up
When trading from Kenya, there are certain things to look for. First, it takes deep knowledge of financial markets and practical skills to trade. When you have a basic understanding of trading and its peculiarities, it is time to search for a proper broker.
The best broker for Kenyans is the ones that are either locally regulated or are regulated globally but accept Kenyans. Another key factor is that the broker accepts popular payment methods used by Kenyans.
Since trading is a risky business, you have to be careful and gain knowledge to control your risks, and this comes after getting the necessary education. Trading on a Demo account will assist Kenyans greatly in becoming professional traders. Also, make sure your internet connection is stable to trade without issues.
See Also >> How Safe Is It To Trade Forex In Kenya?