Many forex broker firms will offer you a zero brokerage forex trading account to trade in the Indian forex market. Currency trading can be done online and you can trade in the currency futures that are traded in the exchange. Forex trading in India can be done in USD/INR, EURO/INR, GBP/INR and JPY/INR as permitted by SEBI and RBI. The trading account is linked to the clients bank account .The trader can place trades from anywhere by transferring the required margin amount in to his trading account. What should you look for in a broker?
Before selecting a broker, you should check if the brokerage firm is ready to offer you these few basic services ·
Brokerage rates should be competitive ·
There should be an integrated platform for your bank as well as your trading account. This will make deposits and withdrawals very easy ·
Line marking is also very popular where the client can leave money in his trading account until the trade is done and earn interest on the amount when it is sitting idle. · A secure and a robust platform to trade online
Advantages of trading in currency futures
There are a number of benefits of trading in currency futures ·
The price discovery is transparent and very efficient ·
Trading in the currency market is very easy
Opening a forex account·
In order to trade in the forex market a forex trading account is a must. The account will be linked to the bank account of the customer.·
The necessary KYC documents need to be completed and submitted. The KYC form is used to collect all the details of the client which is kept confidential.· The obligations as well as their rights is in a document that specifies the rights and duties of the client.· There is also a risk closure document which specifies the risk associated with trading the currency market.· The client will need to sign all the forms to show his acceptance and that he has read all the clauses and terms and conditions. There is a member client agreement that also needs to be signed. The agreement is stamped and it lets the client receive the contract notes electronically.· The trading account will be opened after all verifications and the client will receive a unique username and password to start trading the forex market.