Tuesday, October 29, 2019

WHAT SHOULD FOREX TRADERS IN INDIA KNOW?



In India, The Reserve Bank is in charge of controlling the rupee, but is not responsible for managing forex brokers. In fact, forex traders in India trading activities are under the control of Forward Markets Commission, which ensures the management of non-exchange traded financial instruments. 

The importance of choosing the best forex broker

In fact, thanks to drastic changes of India after the independence of 1990s, it allows foreign investors to break into the market. This leads to the scenario that the economy of India has been gradually improved. However, with the limited number of forex brokers in India at present, it might be a daunting task for forex traders in India to choose a good broker to trade. Therefore, choosing a forex broker to make transactions at this time is still a challenging matter in their forex trading plan



In order for Indian forex traders to work with good forex brokers, it would be better for them to make a list of trusted forex brokers and then try to understand their characteristics. By doing this, traders will be able to determine which broker is suitable for them as well as shorten their learning process. 

Due to the leverage offered by forex brokers, traders will be able to expand their position after their first deposit. Nonetheless, traders had better take the risks into account when trading in forex market. In some cases, brokers will offer their traders micro account, which enables them to deposit with the amount from $50 to $100. In terms of mini account, you will benefit from it if you have 1000-2000$ in the account. Brokers normally offer their clients a standard account when it has 10000$. 

On the other hand, there are still some variations when it comes to different types of accounts. Islamic account, for instance, will not apply interest accruing regulations or VIP for a special amount of money. If you want to have some additional services, you need to negotiate with your broker and discuss about the matter. 

Why Indian forex traders cannot use online trading platforms

It is impossible for Indian forex traders to use online forex trading platforms because of the illegality. However, forex traders coming from other countries can trade and use those platforms. In my opinion, the prohibition should be abolished because of the number of benefits that they might bring to traders in India. If you are a wise traders, you should not trade with the broker who offers complicated platform. In forex market, you only can make profits if you have a good insight into your broker. 



To be more specific, traders might encounter some difficulties in closing their positions and this leads to big losses. In this case, a good forex broker will allow you to close all your positions in order to reduce the loss. 

It is advisable that traders need to have a several different choices when it comes to platforms. It might be either downloadable such as Metatrader 4 or online version. In addition, brokers also allow their clients to download an app on their website that traders can install on their phones. As a result of this, traders will be able to trade anytime or anywhere they want. 

Briefly, forex traders in India should pay much attention to different features of their brokers and choose which one is suitable for them. With the advent of thousands forex brokers, traders need to be very careful before making the final decision because it might affect their trading career. 
Next stop in Asia, the top 10 forex brokers in Thailand.

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