Installing and configuration of Nginx Web/(Reverse proxy) server in ubuntu

First you will have to install ubuntu

$ sudo apt install nginx

this will install the software and it will generate default configurations in /etc/nginx/site-available folder. You can see those files there. You can modify the default.conf file. Default content is

# Default server configuration
#
server {
        listen 80 default_server;
        listen [::]:80 default_server;

        # SSL configuration
        #
        # listen 443 ssl default_server;
        # listen [::]:443 ssl default_server;
        #
        # Note: You should disable gzip for SSL traffic.
        # See: https://bugs.debian.org/773332
        #
        # Read up on ssl_ciphers to ensure a secure configuration.
        # See: https://bugs.debian.org/765782
        #
        # Self signed certs generated by the ssl-cert package
        # Don't use them in a production server!
        #
        # include snippets/snakeoil.conf;

        root /var/www/html;

        # Add index.php to the list if you are using PHP
        index index.html index.htm index.nginx-debian.html;

        server_name _;

        location / {
                # First attempt to serve request as file, then
                # as directory, then fall back to displaying a 404.
                try_files $uri $uri/ =404;
        }

        # pass PHP scripts to FastCGI server
        #
        #location ~ \.php$ {
        #       include snippets/fastcgi-php.conf;
        #
        #       # With php-fpm (or other unix sockets):
        #       fastcgi_pass unix:/var/run/php/php7.0-fpm.sock;
        #       # With php-cgi (or other tcp sockets):
        #       fastcgi_pass 127.0.0.1:9000;
        #}

        # deny access to .htaccess files, if Apache's document root
        # concurs with nginx's one
        #
        #location ~ /\.ht {
        #       deny all;
        #}
}


# Virtual Host configuration for example.com
#
# You can move that to a different file under sites-available/ and symlink that
# to sites-enabled/ to enable it.
#
#server {
#       listen 80;
#       listen [::]:80;
#
#       server_name example.com;
#
#       root /var/www/example.com;
#       index index.html;
#
#       location / {
#               try_files $uri $uri/ =404;
#       }
#}

To configure reverse proxy

server {
  listen 80;
  listen [::]:80;

  server_name example.com;

  location / {
      proxy_pass http://localhost:3000/;
  }
}

here, your application server is running at port 3000 in localhost.

Problems I faced

I was trying to serve the Rails app from folder other than /var/www like /root/projects/production/myapp dir, but the nginx could not render the app. It return the permission denined issue. I changed the owner of all the folders and files and also I changed the file permission to 777. But I failed.

So I moved the project to /var/www

How I Hosted Rails app

I moved the rails app to /var/www and set the permission to chmod -R 755 /myapp

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