Forex trading in Saudi Arabia
Saudi Arabia has predominantly been a strong economy driven by oil and petroleum exports. However, the economy had understood the need for diversification due to entry of new competitors. Forex trading in Saudi Arabia has been an investment for a small proportion of investors. Considering the computer literary and awareness only a few investors are aware of this new investment product earlier. Overall the nation has slow progress to explore global investment products like Forex trading , but the trader’s mindset is changing . Lot of traders are opening Forex trading accounts from Saudi Arabia.
Forex traders from Saudi Arabia are offered Islamic forex trading accounts which confirms to the Islamic finance principles.
Forex market hours
Forex market hours is one of the most important facts of trading Forex in Saudi Arabia . It is open for 24 hours a day with 5 days a working week having three main sessions. They are the Asian session- Tokyo, US session- New York and the European session- London. There are sometimes when two sessions are open at the same time known as session overlap.
1. London forex market session –
It is the first session of trading session which is referred as European session. It begins at 10 AM Riyadh time ends at 6 PM Riyadh time. It is the most active trading session with great liquidity leverage, which means huge volume of trading is done in this session. This session also overlaps with the other two sessions.
2. New York forex market session –
It is referred as the US trading session. It begins at 3 PM Riyadh time and closes by 8 PM or 11 PM Riyadh time. This session has the highest liquidity around 3 PM Riyadh time to 6 PM Riyadh time.
3. Tokyo forex market session –
Being referred as the Asian trading session, it begins at 11PM GMT and ends at 8 AM GMT.
Market hours for trading in forex in Saudi Arabia provide the traders with flexible trading hours. However, it is advisable to trade during the most liquid hours to make successful trades. Also some of the most rewarding market times happen when two or more markets are open at the same time. On can concentrate on these aspects while making a trade to ensure profitable trade.
Forex trading brokers in Saudi Arabia
Due to the growth of forex trading in Saudi Arabia, the number of forex brokers have increased in Saudi Arabia. Not all these brokers are registered. It is imperative that while choosing a broker one should check whether he is registered with the agencies authorised to carry in forex trade. One needs to also keep abreast of how the broker charges them. Some of them recover separate commission or some charge a mark up on the spread.
Also one should trade with a broker who provides good customer service. Proper technical analysis should be provided by the brokers to their customers. Also when the trade volumes are high there is more leverage and thus there are possibilities of making huge profits too.