More and More People Are Turning to Forex Day Trading — Here’s Why

These days, a lot of people are trying to break out of the traditional nine-to-five working setup and are switching to careers that offer great flexibility. Among these careers include the humble profession of forex day trading. This job entails buying and selling currencies within a single day ⁠— making sure that positions are closed within the end of each day and taking advantage of small market movements in order to make a profit. Forex trading is becoming increasingly popular among Indian entrepreneurs based outside of India, with forex trader Dilawar Singh advocating it for the accessibility and opportunities for a big win. In this post, let’s explore the various reasons why people are pursuing forex day trading as a career.

You get to be your own boss
One of the biggest appeals of forex day trading is being able to have control over your schedule and workload. The currency markets are available 24 hours a day, five days a week, which allows you to make trades whenever it is convenient for you. In addition, forex day trading allows you to work quietly in the comfort of your own home, without being pressured by your manager or boss. However, you have to remember that you’re solely responsible and accountable for yourself, and not having the work ethic and self-discipline can cause you to fail in this endeavor.

It’s easy to access the forex market
Nowadays, anyone can easily gain access to the forex market. For one, it’s an asset that small traders can easily play with as it has a very low entry cost. Forex traders today can easily open a trading account with deposits as little as $100 (₹7,412.36). In addition, there is a myriad of trading platforms available now on the market that traders can download on their devices. Such include highly-popular trading apps such as eToro and Robinhood. In addition, FXCM also highlights how MetaTrader 4, a long-established forex platform, can now be accessed via an iOS or Android device. All this means is that forex traders can freely choose a trading platform that suits their needs and preferences.

You can take advantage of bad market conditions
In a previous article here on Banking Finance, we covered how the Indian economy has just recently started regaining ground lost to the pandemic. In times of crisis, those who hold asset classes such as stocks and mutual funds often run into a lot of trouble as their investments quickly lose value. Forex day traders can avoid such crises and even exploit struggling markets by using short selling trading strategies. Because forex day traders can make money even in bear market conditions, an increasing amount of people are choosing forex over other asset classes and trading strategies.

The forex market offers high liquidity
Asian Banking and Finance reports that the turnover of the global forex market hit $6.6 trillion (₹489 trillion) back in 2020. Aside from being the largest financial market in the world, the forex market is also highly liquid. This means that the market is incredibly active and there are a lot of opportunities and positions for traders to make a profit from. Moreover, the high liquidity of the forex market allows traders to easily exit a position in case they find themselves holding a losing currency pair.

As you can see, forex day trading holds a lot of benefits and enables one to find success in tricky economic conditions. However, it must be said that blindly going into forex trading will only cost you your money. If you’re interested in forex day trading, be sure to do your research and study the market diligently so that you find success in this venture.