Forex from scratch --a helping hand from pipshower...

[pipshower]

Re: Legality of forex trading in india...

I contacted IB and they said no way to go for forex.

Yes i too contacted them and they said we Indians cant trade it .
Thats why i closed my account .
That was the reason i posted here after i got all data from various sources.

If still anyone wants to trade get out of India and do it ..lol..

Anyways its just everyone's choice to stay in legal way or not too..

And i chose the legal way ..Thats it..


Regards
Pipshower

NOTE: This is my opinion and is gathered from various sources both online and offline , so its entirely from my assesment of the things about legal issue of whether to trade forex or not by indian residents . So I am in no way responsible for the decisions you take based on this information posted by me as it could be wrong. Kindly note this point.

 

[TFL]

Re: Legality of forex trading in india...

Yes i too contacted them and they said we Indians cant trade it .
Thats why i closed my account .
That was the reason i posted here after i got all data from various sources.

If still anyone wants to trade get out of India and do it ..lol..

Anyways its just everyone's choice to stay in legal way or not too..

And i chose the legal way ..Thats it..


Regards
Pipshower

What about trading forex as an NRI?

 

[vicky_ag]

Re: Legality of forex trading in india...

Yes i too contacted them and they said we Indians cant trade it .
Thats why i closed my account .
That was the reason i posted here after i got all data from various sources.

If still anyone wants to trade get out of India and do it ..lol..

Anyways its just everyone's choice to stay in legal way or not too..

And i chose the legal way ..Thats it..


Regards
Pipshower

I still dont understand, why cant we trade? As, I said it is your way at interpreting the law, so please for Pete's sake dont keep saying legal and illegal.
If it was illegal someone may even report Traderji for having a sub-forum on forex and inspiring and initiating an illegal activity. :lol:

Btw, to answer your query Hari, if you look at the regulations posted by Pipshower, you are not allowed to even if you are an NRI.

I was hoping to go into spread betting on UK charts but it looks like even taht would be illegal.

And, pipshower, reading your previous posts it seem you are a SE. Am I correct?

 

[pipshower]

Re: Legality of forex trading in india...

What about trading forex as an NRI?

As the site states:
4) A person resident in India may hold, own, transfer or invest in foreign currency, foreign security or any immovable property situated outside India if such currency, security or property was acquired, held or owned by such person when he was resident outside India or inherited from a person who was resident outside India.

(5) A person resident outside India may hold, own, transfer or invest in Indian currency, security or any immovable property situated in India if such currency, security or property was acquired, held or owned by such person when he was resident in India or inherited from a person who was resident in India.

I still dont understand, why cant we trade? As, I said it is your way at interpreting the law, so please for Pete's sake dont keep saying legal and illegal.
If it was illegal someone may even report Traderji for having a sub-forum on forex and inspiring and initiating an illegal activity. :lol:

Btw, to answer your query Hari, if you look at the regulations posted by Pipshower, you are not allowed to even if you are an NRI.

I was hoping to go into spread betting on UK charts but it looks like even taht would be illegal.

And, pipshower, reading your previous posts it seem you are a SE. Am I correct?

Hello Vicky ,
Sorry for making the matter creepy for everyone.
I just wanted to be sure that no problem arises for me in the future.
And discussing forex is no crime as we as the residents of India have right to express our thoughts and no one can take that away from us untill its not harming someone elses right or privacy or is against the rules. There is an organisation of forex traders or association of India where the bankers who trade forex like Mr. Ankit Garg who is on traderji here have been discussing the developments and forex related matter openly .Just google the term and you will get there website.And you can work as consultant on currencies and trading methods as i have seen many of the Resident Indians doing that to earn a good amount of money and they have a good reputation internationally. As you also said you can optin for the forex trading with the banks too.
And its always better to follow whats written at the bottom of RBI website for rules which is as follows:
For further details/guidance, please approach any bank authorised to deal in foreign exchange or contact Regional Offices of the Foreign Exchange Department of the Reserve Bank.

And what do you mean by SE?Couldnt get you...

Regards
Pipshower

NOTE: This is my opinion and is gathered from various sources both online and offline , so its entirely from my assesment of the things about legal issue of whether to trade forex or not by indian residents . So I am in no way responsible for the decisions you take based on this information posted by me as it could be wrong. Kindly note this point.

 

[vicky_ag]

Re: Legality of forex trading in india...

As the site states:
4) A person resident in India may hold, own, transfer or invest in foreign currency, foreign security or any immovable property situated outside India if such currency, security or property was acquired, held or owned by such person when he was resident outside India or inherited from a person who was resident outside India.

(5) A person resident outside India may hold, own, transfer or invest in Indian currency, security or any immovable property situated in India if such currency, security or property was acquired, held or owned by such person when he was resident in India or inherited from a person who was resident in India.



Hello Vicky ,
Sorry for making the matter creepy for everyone.
I just wanted to be sure that no problem arises for me in the future.
And discussing forex is no crime as we as the residents of India have right to express our thoughts and no one can take that away from us untill its not harming someone elses right or privacy or is against the rules. There is an organisation of forex traders or association of India where the bankers who trade forex like Mr. Ankit Garg who is on traderji here have been discussing the developments and forex related matter openly .Just google the term and you will get there website.And you can work as consultant on currencies and trading methods as i have seen many of the Resident Indians doing that to earn a good amount of money and they have a good reputation internationally. As you also said you can optin for the forex trading with the banks too.
And its always better to follow whats written at the bottom of RBI website for rules which is as follows:
For further details/guidance, please approach any bank authorised to deal in foreign exchange or contact Regional Offices of the Foreign Exchange Department of the Reserve Bank.

And what do you mean by SE?Couldnt get you...

Regards
Pipshower

NOTE: This is my opinion and is gathered from various sources both online and offline , so its entirely from my assesment of the things about legal issue of whether to trade forex or not by indian residents . So I am in no way responsible for the decisions you take based on this information posted by
me as it could be wrong. Kindly note this point.

I meant a Software Engineer as you mentioned about your project was going on floor in May so, I thought may be you are a Software engineer.

And hey, that consulting job sounds gud. I presume, it comes with a basic pay package or is it something on account of commissions??.

 

[pipshower]

Re: Legality of forex trading in india...

I meant a Software Engineer as you mentioned about your project was going on floor in May so, I thought may be you are a Software engineer.

And hey, that consulting job sounds gud. I presume, it comes with a basic pay package or is it something on account of commissions??.

No . I am not a software engineer.
By projects i mean various written plans i have decided to work on for each month. There is planning for whole year . This is followed as per written plan and when i work on that written plan i call it a project. It could be anything from simplest of the activities to toughest . Just my way of following and completing tasks i wish to do .
I am not a big shot ..Just a guy next door..

Regards
Pipshower

 

[buccas13]

Hi Pipshower


I'm having little problem to ascertain the best way of funding the account with forex broker. Please read the three points i've mentioned. May be we can find the loop holes which is under the carpet but legal and legitimate.

1. If i transfered amount from india into a offshore bank account and then i transfer it to forex broker then i can get into legal hassel for remmiting money for speculative purpose, if caught. Is this statement right?

If it is then will this work:

2. One of my uncle has is own business in USA. So if i show that i received $5000 for doing a project for him. I deposit this amount in an offshore bank account. I disclose this as income earned and pay tax as per the DTAA implications. So that the money in offshore bank account becomes legal and legitimate. Now if i used this money to trade in forex. will this way of funding the account with the forex broker come under the scanner as, 'money used for speculative purpose' by RBI.

If yes then it leaves us with only one option.

3. Open an offshore firm in Channel islands. Jersey island, I'll recommend from all my findings. This will cost about less than $2000. form a limited liability company and never declare dividends. pay yourself a handsome salary. Which will be taxed. When you are making such big bucks it is better to pay some taxes. So you have your money in India and wealth abroad. Then you can form a Asset management trust and transfer the reserves of offshore firm to the trust. Use this trust to buy assets globally including India.

I'm sure many of you will be interested in the third point. I'll elaborate further on it once i gain more information cross checked with appropriate sources.

Rajat Verma.

 

[pipshower]

Hi Pipshower


I'm having little problem to ascertain the best way of funding the account with forex broker. Please read the three points i've mentioned. May be we can find the loop holes which is under the carpet but legal and legitimate.

1. If i transfered amount from india into a offshore bank account and then i transfer it to forex broker then i can get into legal hassel for remmiting money for speculative purpose, if caught. Is this statement right?

If it is then will this work:

2. One of my uncle has is own business in USA. So if i show that i received $5000 for doing a project for him. I deposit this amount in an offshore bank account. I disclose this as income earned and pay tax as per the DTAA implications. So that the money in offshore bank account becomes legal and legitimate. Now if i used this money to trade in forex. will this way of funding the account with the forex broker come under the scanner as, 'money used for speculative purpose' by RBI.

If yes then it leaves us with only one option.

3. Open an offshore firm in Channel islands. Jersey island, I'll recommend from all my findings. This will cost about less than $2000. form a limited liability company and never declare dividends. pay yourself a handsome salary. Which will be taxed. When you are making such big bucks it is better to pay some taxes. So you have your money in India and wealth abroad. Then you can form a Asset management trust and transfer the reserves of offshore firm to the trust. Use this trust to buy assets globally including India.

I'm sure many of you will be interested in the third point. I'll elaborate further on it once i gain more information cross checked with appropriate sources.

Rajat Verma.

Hello Rajat ,
Your point 1 about getting caught is right . The problem will arise on first hand when you try to send money from India to offshore bank . Because if you have wired any funds before to outside of India you would know that while sending these funds you need to fill the form with all details and specify reason. There upon you may have problem as i have talked on this issue with foreign exchange department of many banks.

Second , I will sare with you a solution which i have read and saw on many sites to this where you earn money online which is actually quite easy directly into your paypal account .There are ways to do that . I have earned more than few $k's online and helped many of my friends and relatives to do that which is purely legal and taxable income as it comes under internet marketing and GPT'S [Finally after too many request i started a blog on this a month or two back about making money online which is updated often see payment proofs there - http://www.makemoney4living.blogspot.com/ ] .That you can directly deposit with your broker .and keep on accumulating profits in your account and dont withdraw that to you bank acct. Keep them in your paypal account. Then with few bucks open a website selling something. Buy those products yourself . You will recieve check from those sells . That will come under internet marketing and you can pay tax based on that issue without bringing in issue of forex trading.But this will come as rather a blackhat .I dont recommend this . This is just one idea. There are thousands of modifications to it to make it legal.
Other thing is whatever you earn in paypal transfer it to your relatives or someone who is outside india 's account. Search online for the ways to open a bank account in other countries. Open that and ask your that relative or friend to transfer money to your bank account offshore . Get a international debit card from them and use it in india to withdraw cash.
Or your 3rd point open a LLC company . There is a website online who helps you do that for few thousand k's. Show that as income earned through that.
Or you can just ask your foreign vriend to open forex account under his name . Trade for it and ask him to send the profits in paypal or wire transfer as with the details of consulting for firm or soving solutions.
Well there are thousands of actual loopholes but I DON'T RECOMMEND THIS TO ANYONE .I HAVE NEVER DONE THIS .AND IF YOU DO THIS YOU ARE LIABLE AND RESPONSIBLE FOR YOUR OWN FATE.AS I AM JUST SHARING OPINION AND WHAT I HAVE SEEN MANY OF THE PEOPLE HAVE BEEN DISCUSSIING ONLINE. I AM IN NO WAY RESPONSIBLE FOR THE EFFECTS OF THIS STUFF POSTED HERE AS I HAVE ACCUMULATED THIS INFORMATION FROM VARIOUS FORUMS AND SITES ONLINE.

Regards
Pipshower

 

[pipshower]

Re: A word of caution!

WOuld u please post the set up according to which u saw a down move? AS in what were the charts showing to u wen u posted a down move is on the cards?

Happy Trading

Hello Ankit,
sorry i almost forgot to reply to your post .
But i am still bear biased due to the following reason .
We are clearly in a bear channel . There are at least 3 major confluences out there . I have not spoken about confluences in this thread but confluences give tremendous power along with price action to trading set ups. Look at this channel formed by joining two trendlines . Now we are near to upper trendline .This is one point. Second we are closing on 61.8 fib on daily .This if you see the power of it drawing fibs previously you would know . This set ups repeats all over . Third confluence point is major PPZ . Here is chart with only PPZ and channel as i dont want to clutter it with fibs. This forms a part of my research and development strategy . Gives more power to set up.
Lets see how it plays out.
Here is chart for you.

Regards
Pipshower

 

[pipshower]

Thanks for rating this thread a 5 star one!

Hello everyone just noticed we have got 5 star rating for this thread. Someone of you voted it as a 5 star rating.:clapping:
Thanks for that . Keep it coming . As i am not going to stop putting up potential trade charts and updates on forex market here because though i am not trading on my own account , i am still consulting many of my clients and teaching them too with live examples so i will keep adding more and more info here !:thumb:
Thanks once again for rating this 5 star thread!:clap:

Regards
Pipshower