Last Updated on September 7, 2022 by Patrick Mahinge
I have received a lot of requests from Kenyans on WhatsApp and Twitter to do a detailed IQ Option review, a true testament that IQ Option has become one of the best brokers for online traders in Kenya.
I attribute this broker’s popularity in Kenya to the fact that they accept Mpesa as a means to deposit and withdraw money into your trading account. This makes it very easy for any Kenyan wishing to invest in online trading to get started. I also have a list of other forex brokers that accept Mpesa here.
But I digress. Let’s get to the gist of the article.
How to Make Money With IQ Option in Kenya
#1. Trading Binary Options
Binary Options are the easiest financial instruments to trade. They are easier than forex and stocks. But you need a reliable platform to realize profits from the trading, which is what IQ Option offers.
The way binary options works, you speculate on whether the price of an asset will go up or down within a give time frame, usually 15 seconds to 15 minutes. If you speculate the correct direction of the asset, you get paid up to 900% of your investment.
There are two types of “binary” options investment offered on IQ Option, namely digital options and binary options.
With Digital Options, you speculate on the extent of the price change of an asset (rather than just the general direction of the asset’s price). If the asset’s price reaches your speculated price, you stand to earn as much as 900% of your invested capital.
On the other hand, if an asset does not get to the price you speculated, you stand to lose all of the money you had stacked on that trade. It therefore helps to trade with risk management strategies in mind.
The best risk management strategy out there states that you should never risk more than 3% of your capital on a single trade. If your capital stands at $100, only risk 3 USD on a trade. That’s how all successful traders trade.
Traditional Binary Options
Traditional binary options trading on IQ Option will offer up to 95% profit on your invested capital. That means, if you staked $100 on a trade, the return will be $195.
To trade traditional binary options on IQ Option, you only need to predict the way an asset’s price will move (up or down) within a specific time frame, usually 1-30 days minutes. If by the expiration time the price stands in the way you predicted (in-the money), you earn up to 95% profit.
#2. Trading Stocks
You can also make money on IQ Option by trading stocks of top companies such as Microsoft, Apple, Amazon, and Facebook. There’s a total of 178 stocks that you can trade on IQ Option.
Stocks on IQ Option are traded in the form of CFDs (Contract for Differences), which means that instead of actually owning the stock, you are trading the price movements of the underlying stock.
Here’s an example of how CFDs on IQ Option work: If you think that Facebook stock will be going up, you buy the stock (going long.) If you think the stock price will be going down in the near short-term, you sell the stock (going short). In both cases, f you’re right, you stand to make money.
One advantage of trading CFDs on stocks as opposed to actual stocks is that you can use leverage to your advantage. Additionally, CFDs allow you to make money from both up and down movements of a stock.
#3. Trading Forex
You can also make money on IQ Option by trading forex. Like every other forex broker, IQ Option offers a platform that you can use to invest in the online forex market. There are 25 currencies available for trading at IQ Option. These include all the majors and a few crosses.
For beginner forex traders in Kenya, we recommend trading the EUR/USD as it’s one of the most profitable and liquid currency pairs in the world.
And just in case you were wondering whether or why you should invest in the online forex market, here’s a reason to: The online forex market is the biggest, most liquid financial market in the world with a daily turnover of about $7 trillion.
#4. Trading Cryptocurrency CFDs
Have you ever thought of trading Bitcoin and other cryptocurrencies and profiting from all the craze surrounding them? Well, worry no more.
IQ Option lets you invest in cryptocurrencies in the form of CFDs. There are over 10 tradeable cryptocurrencies on IQ Option including Bitcoin, Ethereum, Ripple, and ZCash.
Just like with other CFDs, you can speculate on the price movement of cryptos and get to profit whether the asset is going up or down. And as opposed to trading the actual cryptos, you do not have a lot of money to control big trades on IQ Option. This is because IQ Option offers leverage on cryptocurrencies.
You can also choose to buy cryptocurrencies on the IQ Option platform without using leverage. This is our most preferred way for cryptocurrencies that are priced below 1 USD. The advantage of this type of trading is that there’s no leverage applied to the trade. You can therefore visualize your profits (or losses more clearly).
IQ Option Review- Who is IQ Option, Anyway?
IQ Option started as a binary options trading platform but has quickly evolved to include other financial instruments in its portfolio. You can now trade forex, CFDs, Stocks, EFTs, and even cryptocurrencies on the platform. However, for the sake of today’s discussion, we will concentrate on how well IQ Option performs as a binary options trading platform.
Can IQ Option Be Trusted?
IQ Option has been in the industry for the last 7 years, making it one of the longest serving binary options broker out there. This is reason enough to trust the company with your money. Most scam binary option brokers don’t last more than a few months in the market. The fact that IQ option has survived in the market for 7 years is proof enough that it pays.
Once reputed companies such as Banc De Binary, TradeRush, and 99Binary could not last more than a couple of years in the industry.
Others like Iron Trade start getting bad press in only a few months of existence. In this one regard, IQ Option has performed extraordinary well. You can open an account and start trading with IQ option with the solid assurance that your money is safe.
Additionally, IQ option is authorized to offer its services to clients in the European Economic Area (EEA). The EEA authorization does not come easy for binary options brokers. A company has to be way above suspicion to get this authorization. The fact that IQ Option is authorized to serve clients in the EEA makes it one of the most trustworthy binary options broker out there.
Is IQ Option Legal in Kenya?
Yes. IQ Option is totally legal in Kenya. The company offers forex and binary options trading investment services. While there’s no legal platform to regulate or license binary options trading in Kenya, forex trading is fully licensed and regulated by the Capital Markets Authority.
Simply put, no one will come knocking on your door demanding to know why you’re investing and making money with IQ Option in Kenya. So, go ahead and open an account, and if you get problems verifying your account, contact me for account verification services.
Does IQ Option Accept Mpesa?
No. IQ Option does not accept Mpesa. There is no way you can currently deposit or withdraw money into your IQ Option account using Mpesa.
However, that should not make you cancel IQ Option as your preferred forex broker. We have been trading with IQ Option for the past 3 years and using the NCBA Loop Card to make deposits and withdrawals. We’ve also seen guys who use the I&M Prepaid Debit Card to fund and withdraw money from IQ Option.
If you don’t have these two debit cards, you can try depositing money using any other bank ATM card that has the Visa or MasterCard logo on it.
The other options that are available for deposits and withdrawals at IQ Option include Neteller,
Digital and Binary Options on IQ Option
IQ Option offers two types of options on their binary options trading platform, namely Digital Options and Binary Options. You can start trading both options with an investment as low as $1 or 100 Kenya shillings, in local currency.
Digital Options let you bet on the extent to which the price of a commodity will rise or fall within a given time frame. For instance, you may place your bet on the price of Bitcoin hitting $8000 in the next 15 minutes.
If the price of the asset strikes the threshold you had predicted, you get a payout as high as 900% on your initial investment. On the other hand, if the price of the asset does not hit your predicted threshold, you lose the amount of money you had staked on that prediction.
Digital options have a predetermined time frame that works in 5 minute intervals up to 15 minutes.
On IQ Option, Binary Options type of options works like on any other platform. You will have to determine the direction of an asset’s price direction within a certain time frame, typically from one minute to the end of the month. Correct prediction (in-the-money) prediction will net you 95% profit while an incorrect prediction (out-of-the-money) prediction leads to the loss of the invested amount.
How to Deposit Money into Your IQ Option Using Mpesa In Kenya
IQ Option Minimum Deposit
The most common factor when it comes to opening a binary trading account for people is the Binary Options Minimum Deposit. People will always look for places to invest the least amount of money into something and this is just as true when it comes to the binary options trading industry as anywhere else.
The minimum deposit at IQ Option is 10 USD.
Binary Options are new, relatively unheard of and as such, many people feel the need to test out the brokers and trading itself with a Binary Options Minimum Deposit that won’t break the bank. Take a look below at a list of the brokers we’ve researched who offer some of the lower rates in the binary options industry.
As more brokers appear on the scene, more of them continue to lower their Binary Options Minimum Deposit in attempts to compete with each other and when there is competition among the brokers, there is a chance for your to find a good deal.
IQ Option Betting Tips
You’re probably wondering whether you can make real money with IQ Option in Kenya. This site has tons of resources and articles all focused on answering that one big question.
The answer lies in investing a little time into researching a couple of assets and getting a feel for how IQ Option works and how trades are executed. Luckily, you can start by opening a demo/practice account to get a feel of the platform. I will wait while you rush to IQ Option and open a demo account.
Okay, now that you have your demo account at IQ Option, let us break this down not into how to trade binary options but rather, what you need to trade binary options successfully. Aside from a binary broker, there are some characteristics and ideals that the most successful traders share.
In the financial world, the most crucial and fundamental aspect of the entire industry is timing. Timing involves knowing when is the most opportune time to make a financial decision and get into a position (trade).
There are countless things that affect timing and to be a good trader, you need to have a basic understanding of this. News releases and market data are two of the most important things to understand and accept as having a crucial and deciding role in the price of an asset.
Look at oil futures for example. Would you want to be just getting into an oil CALL or PUT without realizing that weekly supply data is due out any second? Of course you wouldn’t. In this example timing and knowing what news will affect the asset you are looking to trade can mean the difference between turning a profit or ending up with an offside position.
Timing is not all news related however.
There are just some times during the day where you really shouldn’t be trading. The highest v0lume and thus the highest volatility are seen in the first 45 minutes after the market opens and the last 45 minutes of the session leading up to the close.
These are times where assets, commodities and indices themselves are volatile and subject to severe and swift price fluctuations as retail investors, large brokers and huge hedge-funds get into and out of positions.
You can trade during these times of course but just be aware that the rest of the world is trading during these times as well and when there is a lot of volume (number of trades being executed) there is a lot of volatility.
If you want to know how to trade binary you must learn how timing plays into your decisions.
This is the most difficult principle for new binary option traders and those learning how to trade binary to grasp. In addition to timing you must be patient and wait for the asset prices and charts to offer the best chances for you to make successful trades.
Some of the best traders in the world will sit there staring at their screens for 8 hours a day without making a single trade. Then right when it seems they can’t wait any longer, an opportunity presents itself and all of the technical indicators line up.
You need to be the silent assassin.
You need to let the trades come to you.
New binary traders often deposit money into their IQ Option accounts and blow out their entire bankroll in the first hour. What do they all have in common? They’ve placed over a dozen trades on a dozen different assets in an attempt to make a quick buck. This won’t work. You need to be patient, watch the charts and understand what factors are at work in determining an asset’s trading price and short term direction.
This is yet another crucial piece of the puzzle for those learning how to trade binary options. You need to be aware of the risks and understand what the risks mean.
Fortunately with binary options, the process allows for a great deal of control over risk. You get to determine how much each trade is worth, what the payout will be, when the trade expires and what asset to trade. You do have a lot of control over the process.
What you need to hone in on though are the external factors, the emotions that turn good financial decisions into bad ones. Slow and steady wins the race when learning how to trade binary options and it is absolutely true in the world of trading.
- How to Make Money With IQ Option in Kenya
- #4. Trading Cryptocurrency CFDs
- IQ Option Review- Who is IQ Option, Anyway?
- Can IQ Option Be Trusted?
- Digital and Binary Options on IQ Option
- How to Deposit Money into Your IQ Option Using Mpesa In Kenya
- IQ Option Betting Tips