Trading is currently booming in our beloved black continent. Many people are beginning to take notice of this, but the vast majority remain skeptical. Among the questions we receive most often, the most important question is whether it is possible to trade online from Africa. In this article, I will explain why Africa is among the best places in the world, if not the best for a trader.
Geographical point of view
We are in the middle of the world. This is great news and I will tell you why.
Firstly, as far as trading is concerned, the Forex market, for example, runs around the clock 5 days a week. This is so because of the time differences as it is well explained and detailed in our trading course program . For those who have followed Discover Online Trading, you understand what I'm saying.
Stock markets in the world, there is a lot but limit us to the most important:
- New York Stock Exchange
- London Stock Exchange
- Shanghai Stock Exchange
- Sydney Stock Exchange
The opening and closing of these stock exchanges keep the market open on a global scale.
Well, back to Africa. Whether you are in Cameroon or Ivory coast, when you wake up early in the morning, you find the Tokyo stock market active (but at their closing). A few hours later (7AM or 8AM), London and Euronext open. So when you wake up, you can trade Japanese or Asian assets. Taking a few pips on the EUR/JPY with your cup of tea when you wake up is good.
In the afternoon, around 13:30, US markets open. So here you have the two largest open markets at the same time (New York Stock Exchange and London Stock Exchange). This time of day is the most hectic. This is the time when money flows the most in the world. And by being in Africa, you can enjoy it. If you have a job, no problem. This is usually the break time in our different countries, for those who have a normal job :-D.
In case you had time in the day to trade, if you are a day trader, well it does not matter. US stock exchanges will remain open until 10PM / 11PM. So you can trade the assets of this market.
Well, there were some advantages from a geographical point of view.
Alright, you'll tell me that French or English has the same benefits. Certainly Cameroonian and Ivorian too. I leave you to think about whether the American has the same opportunities.
Financial point of view
I will split this point into two subsections.
The trading capital
If you have searched all over the trading and minimum capital, I think you have seen or read numbers like 1000 € or 1000 $, or even more. You have to know that the one who recommends it gives you advice according to the standard of living of the place where he lives, and he advises you according to his realities.
I tell you clearly that you do not need as much to start trading. It is true that trading capital is calculated according to your objectives; Moreover, when you train in day trading or swing trading at Salix nigra, we show you how to calculate the capital you need to reach your trading objectives. But let's move on.
Life in Africa is not expensive like in Europe or the United States. A European trader will not feel happy to make € 50 a month. I do not know too much in Ivory Coast but in Cameroon, it is the salary of a lot of people. I hope you understand what I want to say?! The higher your need or expectation, the more capital you need.
For a start, in your apprenticeship trip, do not think too much about capital.
However, pay close attention to anyone who offers trading accounts from amounts such as $ 5 or less. Low starting amount does not mean trading with any broker. The problem of small amount will be detailed in another article but know that there are always simple and effective solutions.
For the moment, I do not yet know any country in sub-Saharan Africa where profits on trading are taxed. We are not going to talk too much here, it's simple, until our grandparents in power think about trading, any current trader earns tax-free money. So if you are an independent trader, you have no tax paperwork to do and nobody will ever ask you how you make your money (except your wife maybe). As a result, being a trader is better than setting up a business at the corner of the street at risk every week being harassed by municipal agents for a tax that you can not understand the origin.
In conclusion, YES you can trade in Africa and live better than the one that does in Europe or the United States with less stress.