How to Trade Forex Online in India — Legal, Safe & Smart Ways

[inveslo]

I recently came across an article titled “Learn How to Trade Forex Online in India” which explains how beginners can get started with forex trading while staying within Indian laws and regulations. It walks through the steps: choosing a SEBI-regulated broker, completing KYC, funding your account, using platforms like MT4/MT5, and trading INR-based currency pairs (USD/INR, EUR/INR, GBP/INR, JPY/INR). The guide warns that only derivatives trading (futures/options) on regulated exchanges – not spot forex via offshore brokers – is legally allowed. It also outlines best practices, like starting small, using proper risk management (stop-loss, take-profit), and only trading approved pairs through authorized platforms.

Visit: https://www.inveslo.com/blog/forex/how-to-trade-forex-online-in-india

[slaman29]

Since we're talking legal, seems to be 2 big things missing.

First is tax, you know India's super gungho on crypto tax from trading now right?

Second, I would also start notifying banks first and then creating a specific current account just for trading activity (to deposit and withdraw from the CEX).

India's getting pretty strict on this and you don't want to end up getting blocked on the bank side.

[Nightwalker(NW)]

To be frank I don't know Indian is that restrictive in terms of trading unlike our country that is not much with restrictions while trading activities, but for sure one could possibly make account and fund through Bitcoin without having to go through bank where you would notify banks that you are about going into trading. I think, if I am not mistakenly, MT4 support Bitcoin deposit and withdrawal. You could correct me if I am wrong, so while funding you could do that through Bitcoin or any digital currency that has to support such trading platform without you having to notify banks about creating a current account or a dollar account where you could start receiving much questions from them.

[noorman0]

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if I am not mistakenly, MT4 support Bitcoin deposit and withdrawal.

MetaTrader doesn't manage user funds; it can only be synced to your brokerage account as the primary manager of all activities and is enriched with various tools, algorithms, robots, etc.
MetaTrader is like a crypto wallet platform; you can manage your private keys for your transaction needs easily and there's no loss of funds even if you delete it as long as you save or back up your private keys.

[Myleschetty]

Since we're talking legal, seems to be 2 big things missing.

First is tax, you know India's super gungho on crypto tax from trading now right?

Second, I would also start notifying banks first and then creating a specific current account just for trading activity (to deposit and withdraw from the CEX).

India's getting pretty strict on this and you don't want to end up getting blocked on the bank side.

Forex is not like crypto trading and it have been around for over 100 years even the institutional banks participate in it. Besides, the brokers and banks are mostly the market marker in forex. Technically, forex is a legal trading scheme itself and theres need to notify banks because the banks work closely with forex brokers (if it's not CEX though)
Where I live forex is not taxed or banned but I don't know if the samething applied to India.

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if I am not mistakenly, MT4 support Bitcoin deposit and withdrawal.

MetaTrader 4 or 5 are used to execute and check forex trading performance while deposit, withdrawal, and fund related management is handled by brokers
This is my forex trading Mt5 on Gold today.

[slaman29]

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India's getting pretty strict on this and you don't want to end up getting blocked on the bank side.

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Where I live forex is not taxed or banned but I don't know if the samething applied to India.

Yeah I was pointing out about India now, because of all the attentions on crypto and trading, now the general blanket rule is on online trading, which applies to forex. You get quite a heavy tax from what I heard, they just cover any kind of trade (so even a purchase of a position thru forex or crypto broker counts as a trade).

Reddit blowing up these last weeks about tax.

So as OP was talking about legal and safe, I'm surprised not to see anything about tax