Forex trading in India

Forex Trading in India is one of the most popular investment concepts nowadays.  More traders have increased their affinity towards investing in online Forex trading in India due to its promising huge returns with minimal investments. The risk appetite is one of the reasons for the popularity of Forex trading.

By trading Forex in India, lots of investors are earning huge amounts of profits and many investors are losing money too. And the secrets to success in Forex trading in India depend on interpreting and understanding the currency price movements.  Along with the global financial news, the currency price keeps on changing and the traders are expected to keep their eyes on these Economic dates and Global news being released from different central banks affecting the currency price. So one thing is for sure, one can definitely earn profits by trading currencies if he can keep a good track of economic events that move the currency price.

In addition to regular Forex trading, more traders in India are going for Forex Copy Trading and Forex Managed Accounts. Investing through Forex Copy trading and Forex managed accounts in India is simpler than self-trading. There are experts in the field of Forex trading who trade for you in a managed Forex account, so your chances of success in better. In Forex copy trading, you copy the trades of an expert Forex trader automatically in your account and get results similar to the expert trader you are following. Get the finest collection of strategy providers with FXTM Invest for Forex copy trading in India.

Forex Brokers in India – Best Forex Brokers in India 2022

Our list of Forex Brokers in India offers a Demo trading account, as well as a Bonus to Indian traders. Here are the lists of some reliable Forex brokers accepting traders from all over the world including India. We have considered several factors like Broker regulation, Fees and charges while trading, Educational resources, Spread, and Customer service while selecting the Best Forex Brokers in India for you. The most important thing to keep in mind while selecting the best Forex broker in India should be, whether the broker accepts Indian traders for trading, and does it offers a Free Demo Trading Account to Indian traders?

How can I start Forex trading in India? – RBI and SEBI regulated Broker

The only way to trade Forex in India legally is by trading through RBI and SEBI regulated brokers. There are two Financial Regulators in India who oversee Financial trading activities, they are RBI and FEMA. They take strict action to curb financial scams taking place through overseas unregulated Forex brokers. For the Indian traders to trade Forex – Indian regulators have allowed Forex trading involving USD/INR, GBP/INR, EUR/INR, and JPY/INR through BSE, NSE and MCX.

There is a limitation to the number of available currency pairs, they are USD/INR, GBP/INR, EUR/INR, and JPY/INR. The India Forex traders are limited to these Forex pairs as of now. The Forex trading involving these pairs are provided by major exchange houses – BSE, NSE, and MCX.

Who are the RBI and SEBI regulated Indian Forex Broker? There are several brokerage houses offering Forex trading while complying with RBI,SEBI and FEMA guidelines. The few well-known brokers are Motilal Oswal and ICICI Direct – these brokers provide you Forex trading involving the permitted currency pairs through the major Indian exchange houses.

How to select Forex brokers in India?

Due to the popularity of Forex trading, lots of new Forex brokers have entered the market. Therefore, you must consider these factors while choosing the right Forex broker for you. Analyze the following before you finalize the broker – 1. Reliability of the Forex Brokers in India, 2. The security of funds, and 3. Deposit methods and spread (broker fees). It is always advisable to stay away from Forex brokers who do not have any proven track record of their services. Always take your time to check out the broker’s review on the internet before you invest your money with them. The brokers who comply with the UK or European regulators are always reliable and safe.

Forex Brokers in India also offer a Demo trading account, which can give you a chance to practice and know their services and trading features. Once you master the trading platform, you can right away decide to open a real trading account.

Forex trading India – Who’s trading Forex in India?

Today, many Indian traders are trading Forex in India. Foreign exchange is popularly known as Forex, considered the world’s most traded market with estimated trillions of dollars traded per day. An average of over US$6.5 trillion every single day as per estimations.

As a second of the most populous country in the world, India is the home where lots of working-class people are trading Forex. From big companies to small traders working from the comfort of their homes. And today, with the help of reliable internet, many traders are trading from home to earn extra income. With the reach of high-speed internet to every remote corner in India, Forex trading is within reach of everybody’s hand. Most of the Indian Forex traders are the young generation with a lot of enthusiasm to try and learn the Forex market.

Is Forex trading legal in India?

The most important question that the Indian traders always ask is “Is Forex Trading Legal in India?”. Yes, it is legal to trade Forex through Indian Regulated Brokerage Houses. There are some limitations when you trade Forex through NSE, BSE, and MCX – the available currency pairs are limited to USD/INR, EUR/INR, GBP/INR, and JPY/INR.

Even though Forex trading with overseas brokers is so popular around the world, there are some countries where it is restricted and India is one of them. As per the directives laid down by the Reserve Bank of India, any form of online trading of Forex with overseas brokers is not legal. Two major regulatory bodies, namely the Reserve Bank of India and the Securities and Exchange Board of India regulate the financial sector of the country, which does not encourage any investment related to any form of trading like Forex.

However, many leading overseas Forex brokers accept traders from India without any restrictions. RoboForex, ForexTime, FBS, easyMarkets, LiteFinance, and BlackBull are the Forex Brokers accepting traders from India. The traders from India may sign up with these brokers and try their services in a risk-free demo account.

Forex trading India – How does Forex trading work?

Currencies come in pairs when trading Forex, for example, sterling/US dollar. The trader will predict how the rate of exchange between the two currencies will change. Therefore, if the trader thinks that the USD (US Dollar) will rise against the GBP (British Pound) then they buy dollars, which indicates they are also ditching their pounds. If they are correct then the value of their currency increases and they can sell it for a profit and will lose if their decision is wrong.

As an example, the GBP/USD rate shows the number of dollars one pound can buy. If a trader thinks the pound increases its value against the dollar then they use dollars to buy pounds. If the exchange rate rises then they can sell the pounds back for a profit. One of the reasons Forex trading is so famous to investors is due to its market’s 24 hours a day availability, following the different countries’ time zones.

How will I make money?

Trading Forex is risky and lots of people think that as a new trader, the chance of losing their capital is very high. And as a home trader with limited knowledge about the currency market, understanding the Forex market is extremely hard. The idea that an individual can certainly predict the movements of currencies is rubbish. Here comes the requirement of proper education and training in the Forex market. As a new trader, there are so many ways to learn trading platforms such as books, guides and investment tutorials. Forex brokers also offer one on one training and provide Webinars to their clients. Good brokers who really care for their clients provide Free Demo Trading account without risking their hard-earned cash. If feeling unsure about your trading skills and knowledge, practicing a lot in the Demo account is a must. Therefore, learning Forex trading in India with an IQ option free demo trading account is an excellent way to start.

Before trading Forex, you must understand the risk involved. Therefore, you should be careful and do not invest money that you can’t afford to lose. 

Forex Market Time in India – Forex Market Opening Time

What is the Forex Market Time in India? What time does the Forex Market Open in India?

The Global Forex Market is open 5 days a week from Monday to Friday. Hence, the India Forex Market time is the same, it is from Monday to Friday. However, some of the Indian Forex brokers follow different market hours based on the Indian Exchange houses’ business hours. Forex traders trading through India stock market exchanges follow India exchange market timings from 9:00 am till 5:00 pm IST from Monday to Friday.

However, the Forex market time in India trading in the international market starts on Monday early morning (2:30 am IST) and remains open up to 01:30, or 02:30 am IST on Saturday. The traders trading Forex on the MT4, MT5, and overseas brokers get a chance to trade round the clock from Monday to Friday.

What next? Can I start Forex trading in India?

Yes, you can start Forex trading in India with an Indian-regulated Forex broker. As of now, we hope you have learned that Forex trading is very risky and difficult to master, yet manageable.

By opening a demo trading account, you can get comprehensive training and take some hands-on practice. You must understand the level of risk by talking to your financial advisers and Forex brokers.  With the help of a demo account and thorough studies eventually, you’ll get to understand how to trade efficiently. Before initiating any online trading, it would be best to talk to other traders and do research by reading some reviews online.

Finally, if you are entirely new to Forex trading India, start trading Forex in a demo account. Once you are comfortable with Forex trading, you start trading in a real account.