Trading forex currencies in Pakistan is an important business. Though it is recommended, forex brokers are not necessarily required to be authorised by the Securities and Exchange Commission of Pakistan to deal with customers in Pakistan. SECP is the financial regulatory body in Pakistan. Forex trading may not be legal in Pakistan but it is becoming popular among people of Pakistan. Today, Pakistan is one of the fastest developing economies in the world and more and more people are coming into forex trading. In this article, I have listed some of the best Forex brokers in Pakistan to help you get the best deals and make the most out of your investments. Before we move to the best Forex traders in Pakistan, let me share a few tips to Trade Forex in Pakistan.
How to Start Trading Forex in Pakistan?
As there are no reputable Pakistan based forex brokers in Pakistan, nationals of Pakistan can trade by opening a trading account with any foreign country based forex broker. There are thousands of forex brokers in the world and most of them cater for forex traders in Pakistan. When choosing for a forex broker, consider the currency rates while conducting financial transactions. Also, most of the brokers do not provide customer service in Urdu. It may not pose a serious challenge but if you are not comfortable with any other language, make sure to choose the broker that provides services in Urdu.
Forex is the most sought-out market in the world as it requires low capital for starting a portfolio. Forex market offers numerous possibilities for the traders. But it all starts from selecting the right broker.
You need the following things to start forex trading in Pakistan:
- A stable internet connection to make sure you are always connected to markets as the trading takes place online.
- A trustworthy forex broker. An international forex broker is a preferred choice as they are more reliable and transparent.
- A place where you can focus as forex trading requires you to make right decisions to earn profits.
- Trading capital is one of the biggest reasons for the failure of forex traders. So you need adequate trading capital.
How to open a forex account?
First of all, you need to install the online application of the broker in your phone with whom you want to trade. You will have to deposit a minimum amount to start trading. Make sure the broker is regulated and complies with AML/KYC requirements. They will also require your ID and a proof of residency in the country no older than three months.
What are the Risks in Forex Trading in Pakistan?
The forex market is the most liquid market in the world and handles trade of nearly $7 trillion. Though it offers countless opportunities, liquidity remains a risk for all traders. Newbies may struggle with the technical terminology for a while but this gap can be bridged with a glossary. The major risks in forex trading are:
- The trader itself
- Insufficient trading capital
- Lack of patience, attention, and discipline
- unrealistic expectations.
How to Trade Forex Successfully?
Every trader has to find their own way to achieve his trading goals but there are a few things to keep in mind to minimize the risk of losing your money such as:
- Educating yourself with trading terminology. Take your time learning Forex trade before you invest. Education is the biggest investment you will make here.
- Learn to be patient as successful forex trading requires more patience than capital. Figure out when to trade and when not to as that will make all the difference.
- Developing a trading strategy will benefit you a great deal.
- Commit to monthly deposits and build your portfolio.
Best Forex Brokers in Pakistan
FXTM is a market leader for emerging markets, serving developed markets and catering to frontier markets. It is owned by Alpari’s Exinity Group. FXTM has made forex trading quite simpler in Pakistan which is the reason why more than 2 million traders trade with FXTM. Here new traders enjoy low minimum deposits and high leverage along with access to valuable education content and brilliant trading tools. FXTM puts no restrictions on trading strategies which allows you to take advantage of maximum possibilities. It also allows local transfers in the Pakistani rupee.
FXTM is one of the best commission-based forex pricing transparency and environments. It has upgraded MT4/MT5 trading platforms plus proprietary mobile trading apps. It offers low minimum deposit, proprietary copy trading platform and high leverage. One of the drawbacks of FXTM is that it has limited choice of commodities and cryptocurrencies.
XM is another good Forex broker in Pakistan. It offers excellent asset selection, generous bonus structure and most of all low minimum deposit. More than 3.5 million traders trade with XM in about 196 countries. XM has about 500 customer support staff who can provide you support in 30 different languages. In Pakistan, forex trading supports Urdu for those who prefer their local language. XM can easily be the most trusted broker in the world.
Trading with XM has various advantages such as their marvelous trading tools and loyalty program, high leverage, low minimum deposit, competitive trading cost, excellent research and education. They are transparent and trustworthy traders with generous bonuses and incentives. One drawback of trading through XM is that they charge you an inactivity fee which is a huge turn off.
If you are looking for a wide range of trading platform choices, trading options and equity, AvaTrader is the best choice for you. There are more than 1,250 asset choices which offer enough products for advanced Pakistani traders. It supports MT4, MT5 trading platforms along with automated trading solutions. The manual traders can benefit from WebTrader, AvaTradeGo caters to mobile trading and options traders have AvaOptions. DupliTrader allows social trading. The minimum deposit is $100 which brings it in reach of all kinds of traders. More than 70 thousand traders trade from 150 countries providing their customers a lucrative income opportunity.
Despite being an unregulated broker, OctaFX continues to earn the trust of traders all around the world. Today, about 1.5 million traders have opened their accounts with OctaFX. It has excellent bonus campaigns with more than $3 million paid in bonus funds. WIth Octa FX, you can trade with cTrader, MT4, MT5 and a proprietary mobile trading platform. It is well regulated worldwide and the primary regulator is the Bank of Ireland. It offers excellent education tools and accepts low minimum deposits. There is a wide asset choice across seven sectors, high maximum leverage and superior mobile trading platform. Some of the drawbacks of OctaFX are that it is unregulated and has low asset selection.
Moneta Markets is a part of Australian Vantage International Group Limited. It is a regulated entity and offers amazing trading conditions. It has DupliTrade that supports social trading while the superb trading tools provide clients a competitive edge. It is an intuitive proprietary trading platform and does not allow automated trading. Some of the key features of Moneta Markets is that it offers a convenient order module, precision charting and improved risk management. Its brilliant technology infrastructure provides an edge to its traders. Some of the down sides of Moneta Markets is that it requires a high minimum deposit and does not support the MT4 trading platform.
Hamza Subhan is a digital content director at Price In Pakistan. He lives in Lahore. He keeps an eye on every new item in the markets of Pakistan and his hand on the pulse of Pakistani people to provide them with the information that they need about the product. He has a bachelor’s degree in Electrical engineering from UET Lahore. His keen passion for the latest technology, gadgets, and knowledge about electrical appliances led him to launch Price In Pakistan. He is the main hand behind the articles related to electrical home appliances and gadgets. When he is not looking out for the new technology and writing about it, he is playing guitar and singing for his friends.