Forex trading in UAE, Dubai and Abu Dhabi
In the United Arab Emirates, the expat investors and Emirati investors are doing remarkably well with Forex trading. That’s the reason many Forex Brokers have now registered themselves with UAE authorities recently. The reason for the popularity of Forex trading in UAE is the risk appetite of the investors, the investors from Dubai can spare a portion of their portfolio for high-risk financial trading like Forex.
Interestingly, a large number of investors are making returns that are outperforming the underlying equity markets. The key to succeeding in Forex trading lies in interpreting the currency price movements along with global financial news and happenings. One thing is clear, one can make money by trading currencies. But the new entrants to the market face a bewildering array of options, platforms, and terminology, so here’s a quick explanation to help understand Forex trading in UAE.
|Broker Name||Features||Broker Review||Broker's Website|
|Regulated broker with Forex, CFD and Cryptocurrency trading.||IQ Option Review||Open Account|
|Regulated broker with up to 100% Bonus deposit.||HotForex Review||Open Account
|Regulated. Crowd Trading feature.||Trade360 Review||Open Account|
|Regulated broker.||iForex Review||Open Account|
Forex brokers in Dubai, UAEWhen it comes to select the right Forex broker in UAE, you must consider so many factors. Some important aspects to consider are - trustworthiness of the Forex Brokers in UAE, the safety, and security of funds, deposit methods and spread (broker fees) involved. It is always better to avoid new Forex brokers who do not have a proven track record of few years. You can shortlist regulated Forex brokers with 3 to 5 years (or more) of proven track record. Check out the broker review on the internet before you finalize to invest with them. The brokers complying with European or UK regulators are considered trustworthy as they comply with stringent regulations. There are few European Forex brokers who have opened their offices in the United Arab Emirates and registered with UAE authorities to provide their services. The Forex brokers in Dubai offer support in Arabic language and local telephonic support. The Dubai Forex brokers who are quite confident of their services and trading features offer a free demo trading account. You get a chance to know the trading platform and all trading features while trading in a demo account. You may decide to open a real trading account with Forex brokers in Dubai after you evaluate the Dubai Forex broker in a demo trading account. Forex brokers Dubai, UAE - Free demo trading account IQ Option , HotForex
Who’s trading Forex in Dubai, UAE?
A lot of people. Foreign exchange is commonly known as Forex. Forex is the world’s most traded market with trillions of Dollars traded every day. According to estimations, there’s an average turnover in excess of US$5.3 trillion every single day.
A lot of different people are trading Forex, from large companies to part-time small traders operating from their home, something that only became possible with the proliferation of the internet. In the United Arab Emirates, many expat traders, as well as Emirati traders, trade from the comfort of their home to make some additional income. Forex trading in Dubai has become quite popular among new generation smart traders. This is the reason many Forex brokers are opening their regional offices to cater Forex trading in Dubai.
What causes currency movements?
Most people already know that the values of currencies keep changing, that’s why exchange rates change. And the changes in those rates are determined by thousands of traders buying currencies with other currencies and making judgments on what each is worth in relation to each other.
Currency prices can change at incredible speed in response to news and global events. Forex traders look at key factors, including political and economic stability, currency intervention, monetary policy and major events such as natural disasters. The traders take advantages of these factors and trade currencies to make money.
How does Forex trading work?
While trading Forex, currencies come in pairs, for example, sterling/US dollar. The trader predicts how the exchange rate between the two currencies will change. So, if the trader believes that USD (US Dollar) will strengthen against the GBP (British Pound) then they buy dollars, which means they are also ditching their pounds. If they are right then the value of their currency rises and they can sell it for a profit. If their decision was wrong then they lose.
For example, the GBP/USD rate shows the number of dollars one pound can buy. If a trader believes the pound will increase in value against the dollar then they use dollars to buy pounds. If the exchange rate rises then they can sell the pounds back for a profit. One of the reasons Forex trading is so popular with hobbyist investors is that the markets are open pretty much 24 hours a day, following the different countries’ time zones.