FOREX TRADING ONLINE
A market that attracts about $5.2 trillion in daily volume, recognised as world’s largest market, accessible globally 24 hours a day – that is exactly what the Currency and Forex market is made up of. The advantage of small margin requirements and lower entry barriers makes it an important part of a retail investor’s portfolio.
A trading activity where you buy and sell currencies in the market is known as forex trading. Just like stock and commodity trading, forex trading is also conducted online through trading portals operated by forex brokers. The forex market is the largest and the most active financial market in the entire world with more than $5.2 trillion being traded every day.
Investing in currency can provide several benefits, such as diversification of your investment portfolio, the potential for higher returns, and the ability to take advantage of changes in exchange rates. Additionally, currency investing can provide a hedge against inflation and offer opportunities for both long-term and short-term investments. However, its important to be aware of the risks and consult with a financial advisor before investing.
Currently, you can trade in the derivative contracts of the following currency pairs – USD-INR, EUR-INR, GBP-INR, JPY-INR, EUR-USD, GBP-USD, and JPY-USD.
Currently, you can only trade in currency derivative contracts like futures and options. And since these contracts expire each month with no physical delivery involved, you don’t need to open a demat account for the same; instead, a trading account is all that you need.
To be able to trade in currency derivative contracts, you will need to first open a trading account. Once you’ve gained access to the trading portal of the stock broker, you can then trade in the currency pairs of your choice.