currency derivatives in BSE and NSE

onlinegtrash

Well-Known Member
#1
I am planning to try out currency derivatives trading.

what you guys think about it, in terms of liquidity, profitability, is it even worth the time when we already have liquid NIFTY index..? Is there any special benefits in currency derivatives trading?

Both NSE and BSE provides CDS, any difference between these two exchanges?
I guess just having NSE currency segment enabled should be fine.
 

onlinegtrash

Well-Known Member
#2
seeing the absence of replies, I take that as 'there are no active traders in Currency derivatives unlike MCX or NSE cash & FNO'.
 

throwawayacc123

Well-Known Member
#4
I am planning to try out currency derivatives trading.

what you guys think about it, in terms of liquidity, profitability, is it even worth the time when we already have liquid NIFTY index..? Is there any special benefits in currency derivatives trading?

Both NSE and BSE provides CDS, any difference between these two exchanges?
I guess just having NSE currency segment enabled should be fine.
Its not worth it. Liquidity is just ok. Nothing great. you will get your fill most of time.

But way too many gaps because news affects the major currencies which comes out in the evening for indians and as a result the next day to catch up ,price gaps. There is a lot of news every week that affects currencies. This is why you will see gaps almost every day. This increases the risk for positional traders and as for intraday , very little time as most traders will be busy with stocks/indexes.

If it was traded like commodities , it would be great. NSE has to extend time for currencies. This will reduce gaps and traders can take advantage of the volatility.
 
#5
Its not worth it. Liquidity is just ok. Nothing great. you will get your fill most of time.

But way too many gaps because news affects the major currencies which comes out in the evening for indians and as a result the next day to catch up ,price gaps. There is a lot of news every week that affects currencies. This is why you will see gaps almost every day. This increases the risk for positional traders and as for intraday , very little time as most traders will be busy with stocks/indexes.

If it was traded like commodities , it would be great. NSE has to extend time for currencies. This will reduce gaps and traders can take advantage of the volatility.
Hmm. Are you sure about that?
 

throwawayacc123

Well-Known Member
#6
Hmm. Are you sure about that?
If you don't believe it. Simply take USD/INR spot which runs 24/5 and take USD/INR futures and you will see the difference.

My points is currency futures should be traded from 9 a.m to midnight india time to advantage of uk/us trading sessions when liquidity is the highest.

This is one the reasons i stopped trading currency futures, because the moves happen in the evening and next day price gaps and just consolidates. Simply not worth it.
 

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