1) Go here https://app.shopify.com/services/partners/api_clients and create an APP.
2) Set the App URL (required) to your local URL folder.
3) Set the Redirection URL (required) where you will generate your token locally again:
4) Add the application in your store using the following logic:
Note: If 4 doesn’t work you may need to add SLL on your local server and use your SSL links for 1 & 2.
And you should have a local app that can be developed now.