Currency Trading
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*T&C ApplyWhat Is Leverage in Forex and How Does it Work?
Leverage is an essential concept in forex trading, which enables individuals to manage more prominent market positions with a relatively small investment. Leverage can be used to trade foreign currencies.
What is Foreign Exchange Rate and How to Determine It?
The foreign exchange rate is the value of a national currency in another currency. To determine relative values, foreign exchange is intended to compare one currency with another. The foreign exchange rate is the exchange rate at which one currency is exchanged with another, or the price of one currency against another. Let’s understand what is foreign exchange rate means and its types in detail, along with how it works.
What is the Dollar Index (DXY) and How Does it Work?
The Dollar Index, often known as the U.S. Dollar Index, is a crucial financial tool that measures the strength and stability of the US dollar in global currency exchange markets. For traders, economists, and investors alike, this index is a potent instrument that provides vital information on how the US dollar has performed in relation to a basket of important international currencies. The Dollar index is a crucial point of interest for everyone with an interest in international finance since it is a widely followed and highly observed economic indicator that shapes global financial strategy and policy decisions.
What is Currency Appreciation and How Does it Work?
In currency appreciation, one currency becomes more valuable in comparison to another. Among the probable causes are investor sentiments, low inflation rates, political stability, nations’ current accounts, recession, government trade, terms of trade, speculation, etc. In turn, it increases the cost of exports, lowers the cost of imports, and lowers the inflation rate. A country’s economy and development are affected by the current appreciation depending on its current situation. Let’s take a detailed look at currency appreciation in this article.
What are the Common Mistakes to Avoid in Forex Trading?
Human error is quite widespread in the forex market. It frequently results in trading blunders. These trading errors especially occur with new traders. Understanding forex mistakes might help traders become more successful in forex trading. All traders, regardless of experience level, make trading errors. However, being aware of the reasoning behind them may help to minimise the mistakes. Let’s take a look at the common forex mistakes to avoid in this article. These mistakes are a part of the ongoing learning process. Traders should be aware of such forex mistakes so that they do not repeat them too often. However, let’s take a glance at an overview of forex trading.
What are E-Micro Forex Futures & How Do They Work?
A futures contract is an agreement to purchase or sell an item at a later date. These agreements will mention the number of products and the precise expiration date. A futures contract will also specify the price for which the asset will be traded. One can speculate on indices, currencies, and commodities using futures contracts. They let the investor lock in a future price at which to execute their position. So, they are mostly employed as a hedge against unfavourable price changes.
What are Currency ETFs and How Do They Work?
Currency ETFs are exchange traded funds that measure the relative value of a currency. Such investment vehicles, which lack the burden of placing individual trades, provide an opportunity for regular investors to access the foreign exchange market via a hedge fund. Currency exchange-traded funds are available for speculation on foreign exchange markets, diversification of the portfolio, or hedging against currency risks. Macroeconomic risks, such as geopolitical risks and interest rate rises, are attached to currency exchange-traded funds.
Understanding the Pros & Cons of Forex Trading
Are you thinking of entering the wide world of forex trading? Well, it is huge and full of both opportunities and risks. Forex trading, also known as foreign exchange trading, aims to profit by buying and selling currencies on the foreign exchange market. It’s a means for many people to earn additional money, especially for Indians living abroad who transfer money to India for financial assistance. However, forex trading has both benefits and drawbacks. This post will cover all the advantages and disadvantages of forex trading. Let’s start with an overview of forex trading.
Understanding Resident Foreign Currency (RFC) Account
You would undoubtedly have some foreign investments after having worked overseas as an NRI (non-resident Indian), such as your bank account balance, investments in shares, mutual funds, etc.
Understanding Forex Trading Tax in India
In India, you are required to pay taxes on any profits you make from investing your wealth in securities. Therefore, the main factor to consider when you make money from investing is the tax implications. As an investor, you should be fully aware of what precisely is subject to taxes, what is not, and the total amount of taxes that apply to you—either as a percentage of your profits or as a tax slab. Forex trading is becoming more and more popular in the modern era as more and more individuals engage in these transactions in an effort to generate substantial gains. As a result, the question of whether your trading profit is taxable affects your own financial situation.
Understanding Forex Trading Challenges in India
Foreign exchange risk in forex trading can be related to the transactional, or economic risks involved in the transaction. In this risk, there can be an appreciation or depreciation of either currency or the risk in the forex transaction. You can learn what is foreign exchange risk, its types and how to minimise risk it
Understanding Forex Trading Challenges in India
Trading in foreign exchange, or Forex, involves purchasing and selling currency pairings. As the name implies, a currency pair includes two currencies compared using an exchange rate. This is the rate at which you may convert one currency into another. In recent times, forex trading has gained significant traction in India as more investors seek to leverage the possibilities of the international currency markets.