Economy
Can You Make a Living Trading Forex?
Forex trading has a certain appeal to people who would like to be their own boss and work at flexible hours.
In the past, the market was restricted to big companies; however, the internet made it possible for everyone to trade currencies.
Although some people might call it an easy way to make a living, it is a huge risk, especially if you are trading a lot of cash. If you are a risk-taker and want to participate, read on for some tips on how to start making a living trading forex.
Trading forex
Before jumping into the market, you need to understand the concept of forex trading. It takes place between two parties in an over-the-counter market that is controlled by different banks in the major trading centres.
You can trade any time of the day at any hour that you see fit because there is no central location restricting you. It is all about buying currencies and selling them when their value hits the roof.
Amount of Capital Needed
Some people worry about the capital needed to start trading because they think that they must have a considerable amount of cash.
However, it is easier than they think as you can trade forex with any capital because of the availability of micro-accounts. You just have to make sure that you can afford to lose that amount without risking your ability to pay the daily bills.
Furthermore, the more you risk, the higher your earnings will be. Consider starting as a part-time trader, then become a full-timer when you are confident that you can make a living from it.
The Importance of Brokers
Making it into the world of trading on your own may be a bit hard. That’s why brokers, or middlemen as they are called in the forex market, are needed. They are the third party that makes the transactions easier and helps you find good bids. The number of brokers in the market is growing, and that’s why researchers at Observer recommend checking testimonials and looking for the most reliable brokers.
This is especially because no rules are governing the market. You should also ask the broker about the way to withdraw your earnings and the ease of navigation of their website.
Another reason why hiring forex brokers is necessary is because they can offer you a fixed or variable spread according to your deal. The perks of a variable spread are the ability to adjust your bid depending on the volatility of the market. However, volatility is a double-edged weapon because you can lose money if the value of the currency drops.
Putting a Successful Strategy
Understanding yourself and your goals will help you put a successful strategy. Before you start trading forex, you have to include the possibility of losing and winning in order to keep your expectations in check. Many factors affect your strategies such as your capital, patience, and degree of dependency on the trading money.
You get to choose the type of forex market according to your plan and whether you would like short or long-term profits. For instance, the spot forex market takes place as soon as you choose the currency pair you want to exchange.
On the other hand, if you want to earn profit in the future, you can choose between forwarding or future forex markets. The difference between them is that the future one will bind you with a legal contract regardless of the price of the currency at that time.
Consider checking the available strategies to help you in making up your mind. Some of the methods are day trading, scalping, and arbitrary trading. It is better to be flexible when it comes to changing plans after realizing that the initial one isn’t paying off anymore.
Certain factors can affect your plans such as the ratio between the risk and win rates. Even though trading forex is flexible, you have to teach yourself discipline and commitment to make money.
Predicting the Market
Although it is hard to guarantee the full return of your money, amount of profit, or cash you may lose, you can learn how to predict the market’s volatility. Some surprise moves may take place raising the value of the currency or dropping it to the ground. This can help some traders become millionaires while leaving others bankrupt.
Periods of sudden volatility are not that common, so there is always room for prediction. The most important risk possibility that you need to take into consideration is slippage. You should also know when you have achieved an edge on the market. This will help your capital grow and lead to great profits.
Understanding the industry will help you minimize the risks and increase the probability of making huge sums of money. It is better to start as a part-timer and test the market before throwing away a job that provides you with a stable income. Trading forex can be quite profitable in the long-term, especially if you put a sound strategy and deal with a smart broker.
By Adedapo Adesanya
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has raised the natural gas price for power generation companies (GenCos) to $2.18 per million metric British thermal units (MMBTU).
This marks a $0.05/MMBTU hike from the earlier rate of $2.13 per MMBTU.
In a circular released on Tuesday, the regulator outlined the updated domestic base price (DBP) and wholesale natural gas prices for 2025.
The DBP represents the lowest price at which natural gas can be offered in the domestic market.
The document states that the adjustment will begin today (April 1, 2026).
“Taking into account the Petroleum Industry Act (PIA) provisions, current market conditions, and the official Gas Pricing and Domestic Demand Regulations, the NMDPRA sets the new Domestic Base Price at USD 2.18/MMBtu, along with wholesale prices for the strategic sector, starting April 1, 2026,” the circular stated.
In the directive signed by NMDPRA CEO, Mr Saidu Mohammed, the regulator also indicates that commercial buyers will now pay $2.68 per MMBTU, up from $2.63 per MMBTU previously.
Additionally, the authority fixed prices for gas-based industries (such as ammonia, urea, methanol, and low-sulphur diesel) at a floor of $0.90 per MMBTU and a ceiling of $2.18 per MMBTU.
NMDPRA explained that the domestic base price at the marketable gas delivery point—per section 167(1) of the PIA—follows regulations based on key principles:
“a) A rate sufficient to encourage upstream producers to voluntarily supply enough gas to the domestic market.
“b) No higher than the average natural gas prices in major emerging producer nations.
“c) Based on the lowest supply costs under a three-tier framework.
“d) Aligned with market rates and international benchmarks.”
This change could affect the country’s power sector, already strained by massive debt and a lack of gas supply.
Last month, the Association of Power Generation Companies (APGC), an umbrella body for power generation companies, warned that gas suppliers might halt deliveries to thermal plants due to debt of around N6.5 trillion.
The federal government disclosed plans in December to raise N1.23 trillion by the first quarter (Q1) of 2026 to settle verified arrears owed to generation companies and gas suppliers. On January 27, the government said it had successfully issued a N501 billion inaugural bond under the presidential power sector debt reduction programme (PPSDRP).
However, the APGC has said that this is inadequate, comparing the debt to “garri soaked in water.”
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange further declined by 0.23 per cent, with the Unlisted Security Index (NSI) down by 9.63 points on Tuesday, March 31, to 4,100.11 points from 4,109.74 points.
In the same vein, the market capitalisation went down by N5.76 billion to finish at N2.453 trillion from the N2.458 trillion it closed a day earlier.
The mood of the market was flat yesterday as there were three price losers and three price gainers, led by Central Securities Clearing System (CSCS) Plc, which gained N1.51 to sell at N78.68 per unit compared with the previous day’s N77.17 per unit. UBN Property Plc appreciated by 15 Kobo to N2.20 per share from N2.05 per share, and Geo-Fluids Plc improved by 3 Kobo to N3.25 per unit from N3.22 per unit.
On the flip side, 11 Plc lost N31.05 to close at N285.00 per share versus Monday’s closing price of N316.50 per share, FrieslandCampina Wamco Nigeria Plc dropped 95 Kobo to trade at N98.05 per unit versus N99.00 per unit, and Industrial and General Insurance (IGI) Plc went down by 2 Kobo to 52 Kobo per share from 57 Kobo per share.
During the trading day, the volume of securities jumped by 137.9 per cent to 50.8 million units from 21.3 million units, the number of deals rose 28.9 per cent to 49 deals from the preceding session’s 38 deals, while the value of securities went down by 65.2 per cent to N226.9 million from N651.1 million.
CSCS Plc remained the most traded stock by value (year-to-date) with 56.8 million units worth N3.8 billion, followed by Okitipupa Plc with 27.5 million units valued at N1.8 billion, and Infrastructure Guarantee Credit Plc with 400 million units traded for N1.2 billion.
Resourcery Plc was the most traded stock by volume (year-to-date) with 1.1 billion units sold for N415.7 million, followed by Infrastructure Guarantee Credit Plc with 400 million units transacted for N1.2 billion, and Geo-Fluids Plc with 183.0 million units exchanged for N673.8 million.
By Adedapo Adesanya
The Naira weakened against the US Dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEX) on Tuesday, March 31, by 0.23 per cent or N3.14 to N1,386.72/$1 from the N1,383.58/$1 it was traded on Monday.
Similarly, the Nigerian currency depreciated against the Pound Sterling in the same market window by N14.40 to close at N1,839.34/£1 compared with the previous day’s N1,824.94/£1, and against the Euro, it lost N12.88 to settle at N1,599.16/€1 versus N1,586.28/€1.
In the same vein, the Naira stumbled against the Dollar yesterday by N1 to quote at N1,395/$1 versus N1,394/$1, and in the black market, it remained unchanged at N1,410/$1.
The Naira remains under pressure as FX liquidity shrank, as evidenced by the number of interbank FX deals published by the Central Bank of Nigeria (CBN).
Last week, forex intervention operations saw the apex bank inject $95 million into the supply side, but as high demand for the Dollar as a safe-haven asset continues, it strengthened the Dollar index, while the Euro, British Pound and other major trading partners weakened.
The country’s external reserves recorded a marginal decline, falling by 0.7 per cent to $49.48 billion, reflecting a depletion of about $350 million and signalling continued pressure on Nigeria’s FX buffer.
In the cryptocurrency market, reports of comments by Iran’s President Masoud Pezeshkian hinted at eased geopolitical tensions, which triggered gains across some assets.
Mr Pezeshkian reportedly signalled Iran would be willing to end the conflict in exchange for security guarantees, raising hopes for a diplomatic off-ramp and reducing fears of a wider regional war.
Ethereum (ETH) gained 4.4 per cent to trade at $2,150.11, Ripple (XRP) jumped 2.8 per cent to $1.36, Bitcoin (BTC) added 2.5 per cent to sell at $69,079.14, Cardano (ADA) which also rose by 2.5 per cent to $0.2518, Dogecoin (DOGE) improved by 2.4 per cent to $0.0941, Solana (SOL) grew by 1.3 per cent to $84.43, and Binance Coin (BNB) increased by 1.2 per cent to $618.86, while TRON (TRX) dipped 1.8 per cent to $0.3153, with the US Dollar Tether (USDT) and the US Dollar Coin (USDC) flat at $1.00 apiece.
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