Global currency trading has been pegged at 4 trillion US dollars for each day. The same is also gathering steam in India with many people becoming aware of its benefits.
Presently, the Indian Government allows investor trading against the currencies that are benchmarked with Indian Rupee. This means online trading India is allowed for the currency pairs –
- USD – INR
- EUR – INR
- JPY – INR
- GBP – INR
Why online trading in India is getting huge attention?
With the advent of secure web technologies, investor education, and better resources, online trading India is getting huge attention.
It is legal to trade with Indian brokers who have registered to trade in NSE, BSE, and MCX-SX since these provide great access to currency derivatives. However, online trading India has its own risks. Therefore, one needs to be careful while selecting the service provider to get the best results.
Some of the major benefits of trading in India include –
- 24 hours trading –
The best aspect of online trading India is that the same does not wait for the opening bell to ring. So, if a market around the world is open, currency trading can take place
- Arbitrage –
If you have a wider risk-taking ability, you can take the opportunity to invest in different markets and exchanges. This helps you to gain an upper edge by making profits from the difference in currency.
- Leverage –
With the help of brokers, you can trade in the market using leverage. This allows you to pump in more money in the market than what is available with your account.
For instance – If you wish to trade at 10:1 leverage, you can control a trade of up to 1 Lac INR by using merely 10K INR!
- Hedging –
If you are an international trader or importer, you can use the option of hedging to secure and fix the payout rate. This makes you safe against the currency fluctuations and their impact on your profits
- Speculations
If you are expecting strong exports in a sector along with FII inflows, you need to sell USD -INR to gain the best results. In case the INR depreciates, you need to invest in buying more USD -INR pair to get the best results.
If you are interested in online trading, then you need to have a thorough understanding of the matter. Also, having backed from a certified trading business can work wonders for your needs.