Can You Make Money Trading Forex in Kenya With eToro?
What a great question! If you’re anything like me, you’ve probably heard of FOREX and wondered how it works, as well as if the ads you see on websites are correct. Is it possible to benefit from forex trading in Kenya? Is it simple? To make money on Forex, you’ll need one thing: a good brokerage service.
There are so many reasons why you would need a good brokerage service and one main reason is that they will be in-charge of your money.
They will also be responsible for ensuring that all your trades are well executed and you get the desired outcome while placing a trade or trying to get out of a trade.
Brokers are so important in your journey as a Forex trader in Kenya and most people never give it the attention it deserves.
I try not to promote products that I am not using because I do believe that it is the mark of integrity to promote what you use. I have used eToro for years and I must say it is one of the best platforms that I have used.
Why use eToro?
How much to start trading on eToro?
The sum of money I’d have to spend to get started was another consideration for me.
One thing we must all agree on is the fact that not many people will be willing to dump all their life savings in a brokerage to start their FOREX trading journey. The bulk of the people who want to get into forex trading in Kenya are young and they just want to learn a new skill or start a side hustle.
This means they want to start small and grow. Not to say the other spectrum does not exist, but they are the minority.
With eToro, you can start trading forex with as little as $50 which is an equivalent of Kshs.5000. As a Forex trader, I always say you only risk what you are willing to lose. I believe that is a reasonable number bearing in mind the possible returns.
Is it safe to trade with eToro? How are they regulated?
The other factor for me when am choosing any broker is the regulation.
This is such a critical factor because your money should have a form of security. In most jurisdictions, these brokers are meant to insure the money and they must also have a clear structure of regulation. Etoro has a clean record with regards to regulation.
eToro (Europe) Ltd is a company incorporated under the laws of the Republic of Cyprus and is regulated in Cyprus by the Cypriote Securities and Exchange Committee (CYSEC). It has its address in Limassol, Cyprus. This is the companies you enter into a contract with, once you fund your account.
There are other branches such as eToro (UK) Ltd which is a company with its principle address in London (UK), that is authorized to carry operations within the UK.
It is also important to have access to a demo account so as to be able to understand the details and intricacies of trading Forex. Any brokerage service should be able to offer you a demo account that will allow you to trade with confidence and learn the ropes of this trade.
Opening a demo account with eToro is a very straightforward process and you will get everything a live trader would do. This makes it quite easy to start your trading journey and build your skills and confidence.
Education and Training Resources
eToro platform gives you so many avenues of learning. Even though I believe trading is a skill that requires immense skills and a mentorship by someone who has done it, it is also important to have that ongoing education as you trade. One thing with forex trading is that you will never learn everything. The markets will always surprise you. Therefore, continuous learning is key.
eToro has a trading academy where novice traders can learn about trading. There may not be much information to learn for advanced traders but certainly, the information there is valuable for the person just starting out on trading.
With eToro you get a community of traders without paying for that access.
These days it can be so difficult to get a membership in exclusive clubs. This platform gives that access without any extra charge. When we talk of social trading, eToro is definitely one of the best in the world. It does offer a special social experience for investors and provides an open environment where ideas can be shared with like-minded people.
The large number of traders available is definitely because of the trust in eToro. It can be taken as a vote of confidence in their platform.
eToro will provide you with a large pool of investment instruments and you can easily diversify your portfolio. It also means that there will be a large number of trading set up available for you to trade on.
All in all, eToro ought to be given serious consideration by anyone looking to venture into social trading and investments.
Advantages of Trading Forex with eToro
- It is very easy and direct to sign up with eToro
- There is no need to sign up with another broker besides eToro
- There is extremely minimal slippage when executing trades
- Availability of demo account
- Very active community
- eToro has an open sense of community and useful interaction
- eToro has a very usable discovery tool that helps you find traders to follow
- It has two mobile apps that support android and apple mobile devices
- eToro has a simple and straightforward way to manage risk and protect traders