Refer And EarnRefer_And_Earn

Open Demat Account close-announcements
Online Trading Online Mutual Funds Back Office (EQ & DP) Global Investing Login

CALL US

+91 22 48934000

Contact Details Locate Branch

CURRENCY

NSE Currency Derivatives

NSE currency derivatives, A futures contract provides for the exchange of one currency for another at a given future date at a price (exchange rate) set at the date of purchase. Currency derivatives NSE are commonly regarded as one of the best choices if you want to reduce the chance of foreign currency exchange fluctuations. Let’s take a look at the definition of currency derivatives NSE and how you can trade them. Currency is something that has a fixed value and is exchanged, for goods and services. So basically, or in layman's terms, the currency is money in physical (legal tender) or electronic form. Every country has it's own currency. The most-traded currencies are USD, GBP, EUR, and JPY.

6160276a05fe1.1633691498.currency-banner-top

Our Recommendations View All

BHARAT Bond ETF - April 2031

Category

ETFs - Debt

Nav

1096.48

Returns

1 Year

2.51

3 Years

0.00

5 Years

0.00

BHARAT Bond ETF - April 2030

Category

ETFs - Debt

Nav

1230.14

Returns

1 Year

3.16

3 Years

0.00

5 Years

0.00

BHARAT Bond ETF - April 2023

Category

ETFs - Debt

Nav

1202.52

Returns

1 Year

3.95

3 Years

0.00

5 Years

0.00

Kotak Floating Rate Fund-Reg(G)

Category

Debt - Floater Fund

Nav

1241.82

Returns

1 Year

3.20

3 Years

6.65

5 Years

0.00

WhiteOak Capital Mid Cap Fund

Start Date

16 Aug 2022

End Date

30 Aug 2022

Know more

Axis Fixed Term Plan Series 110 (1553 Days)

Start Date

13 May 2022

End Date

30 May 2022

Know more

UTI Nifty Midcap 150 Quality 50 Index Fund

Start Date

28 Mar 2022

End Date

05 Apr 2022

Know more

Tata Nifty India Digital ETF Fund of Fund

Start Date

25 Mar 2022

End Date

08 Apr 2022

Know more

CRUDE OIL - SEP

Price AT RECOMMENDATION

5360

TARGET

5230

STOP LOSS

5150

Buy

CRUDE OIL - SEP

Price AT RECOMMENDATION

5360

TARGET

5230

STOP LOSS

5150

Buy

CRUDE OIL - SEP

Price AT RECOMMENDATION

5360

TARGET

5230

STOP LOSS

5150

Buy

CRUDE OIL - SEP

Price AT RECOMMENDATION

5360

TARGET

5230

STOP LOSS

5150

Buy

U.P. Power Corporation Ltd 2025 (Secured)

Category

State Guaranteed Bonds

VALIDITY

20 Jan 2025

COUPON RATE

10.15%

YIELD

8.55%

INTEREST DATE

20th

U.P. Power Corporation Ltd 2029 (Secured)

Category

State Guaranteed Bonds

VALIDITY

30 Mar 2029

COUPON RATE

9.70%

YIELD

9.43%

INTEREST DATE

31th

U.P. Power Corporation Ltd 2030 (Secured)

Category

State Guaranteed Bonds

VALIDITY

29 Mar 2030

COUPON RATE

9.70%

YIELD

9.43%

INTEREST DATE

31th

U.P. Power Corporation Ltd 2031 (Secured)

Category

State Guaranteed Bonds

VALIDITY

31 Mar 2031

COUPON RATE

9.70%

YIELD

9.45%

INTEREST DATE

31th

HDFC Ltd (Senior Citizen 0.25% extra)

INTEREST RATE

6.90%

TIME PERIOD

33 Months

Invest

Mahindra & Mahindra Finance Ltd (Senior Citizen 0.25% extra)

INTEREST RATE

7.00%

TIME PERIOD

36 Months

Invest

Bajaj Finance Ltd (Senior Citizen 0.25% extra)

INTEREST RATE

7.50%

TIME PERIOD

44 Months

Invest

Shriram Transport Finance Co. Ltd. (Senior Citizen 0.50% extra)

INTEREST RATE

8.00%

TIME PERIOD

36 Months

Invest

GUARANTEED TAX FREE RETURNS

INCOME AND BENEFIT FOR

Full Family

END DATE

20 Sep 2021

Invest x yearly for

10 Yrs

RETURN NEXT 10 YEARS

1.93%

GUARANTEED TAX FREE RETURNS

INCOME AND BENEFIT FOR

Full Family

END DATE

20 Sep 2021

Invest x yearly for

10 Yrs

RETURN NEXT 10 YEARS

1.93%

GUARANTEED TAX FREE RETURNS

INCOME AND BENEFIT FOR

Full Family

END DATE

20 Sep 2021

Invest x yearly for

10 Yrs

RETURN NEXT 10 YEARS

1.93%

GUARANTEED TAX FREE RETURNS

INCOME AND BENEFIT FOR

Full Family

END DATE

20 Sep 2021

Invest x yearly for

10 Yrs

RETURN NEXT 10 YEARS

1.93%

6160276a066af.1633691498.equity-banner-2

Technology that empowers

Our multiple trading interfaces provide all information at your fingertips to buy and sell in one click. 

Open a Demat Account

Basics of currency trading in India

6160276a0c722.1633691498.currency-icon-1

Trading

  • The exchange rates keep fluctuating based on various data that is released by the government and the central banks of the country. So one might initiate a short or long position just to benefit from those small moves.
  • For example, If a trader thinks that the USD is going to strengthen against the INR than he/she will buy the pair. The prediction or speculation is right the pair will move higher and the trader will end up making money and vise versa.

6160276a0c8b2.1633691498.currency-icon-2

Hedging

  • A hedger takes a position in the currency derivatives to protect himself from the fluctuation in the exchange rates. These are people who either are supposed to make or receive a payment in foreign currency. It includes importers or exporters of goods and services.
  • For example, If an exporter has exported goods worth $1000 and will receive the payment in the next 3 months, a falling dollar is an underlying risk. Hence he can short USDINR futures to reduce the risk.

6160276a0c96a.1633691498.currency-icon-3

Low margin requirement:

  • This is one of the most motivating factors for most currency traders. The margin required for trading in currency is exceptionally low as compared to commodity and in some cases the equity.
  • What makes this proposition interesting? Like in equity derivatives, currencies to are cash-settled (no delivery) on a daily basis. This makes it.

graph-pattern

Deep dive in Currency Derivatives

  • Derivatives are exchange-traded contracts the value of which are derived from an underlying asset that has an intrinsic value. 
  • Currency derivatives are exchange-traded futures and options contracts whose price movements depend on the underlying currency pair.
  • For Ex the USDINR futures will move in tandem with the USDINR spot rates that keep changing depending on the data that is released, like the PMI, CPI, inflation, unemployment figures, etc.

  •  In currency trading and investing, currencies are considered in pairs like the Rupee-Dollar pair. So if someone has a bullish view on the Dollar he can buy the pair. Buying the pair also implies that the trader or investor is selling the rupee.
  • In India, the USDINR, GBPINR, EURINR, and JPYINR are the most traded currency derivatives, along with the cross-currency pairs i.e. EURUSD, GPBUSD, and USDJPY.

  • Currency Derivatives are essentially financial instruments or contracts (also known as underlying variable market conditions such as bonds, stocks, or currencies) which base there value on spot market price results.
  • It is a deal between two traders that will mutually agree to exchange currency in the future at a fixed price. 'Derivatives' suggests that it derives value from the underlying value and that it has no independent value as well.

  • Bullion, shares, currency, commodities, stock market index, or something else, maybe underlying. The underlying would mean the currency exchange rate, from the point of view of currency derivatives. Derivatives help protect your portfolio against any risk, and can also be used for speculation and arbitrage productively.
  • There are 2 types of derivatives futures and options. The currency market is also known as the foreign exchange market or forex which is a market where the world’s currencies change hands and it is the largest financial market in the world. 

6160276a0694a.1633691498.commodities-banner-2

Joint our growing base of happy customers, and create your portfolio today!

Take this questionaire now

Let us make your money work harder for you.

Open your account today

Frequently asked Questions

whatsapp