Will Forex Trading last forever?

Forex trading is already a popular and easily accessible form of financial trading. It is now more related to 'people financial trading,' with many traders viewing it as a home business opportunity. The popularity of online Forex trading (which was insignificant before the online era) began relatively recently, possibly in the early 2000s. Each new year ushers in new changes and developments.

Last Decade and Popularity of Forex Trading

Forex has gone from being a relatively unknown and unavailable investment tool to a nearly global phenomenon in the last few years. The ease of access that computers provide to Forex trading, as well as the explosion of Forex software tools and websites, as well as various types of training and advertising, have prompted many people to try their hand at making a profit through it. According to a Dow Jones Newswires analysis, "daily average foreign market turnover reached $4.71 trillion in June 2011," which is significantly higher than the previous year's volume, which was $3.98 trillion per day in the Bank for International Settlements' 2010 report.

Aside from marketing and accessibility, the prospect of becoming wealthy while remaining at home has captivated many and will undoubtedly continue to do so. Before 2008, when money was more easily accessible and freely flowing, people could put their money into Forex, lose some, and not miss it.

Money was harder to come by after 2008, but people needed to supplement their income, and Forex appeared to be the ideal and simple way to do so. Despite an increase in overall trading volume during those years, the Triennial Central Bank Survey of Foreign Exchange and Derivatives Market Activity ("the Triennial"), reported in the previously mentioned Bank of International Settlements document, that the rate of rising had actually slowed, going from a huge increase of 72 percent between 2004 and 2007, but only rising 20 percent from 2007 to 2010. If the economy does not change significantly, this may cast a gloomy shadow over the future of Forex.

What will the Forex market look like in the future?

Although it may appear impossible, the Forex market will continue to grow even more popular than it is now. Many people have heard of Forex but know little about it and have never tried trading. If the previous several years were spent informing people about the foreign exchange market, the next few years will be spent in getting as many people as possible to try trading, at least on a demo account. As the industry grows in popularity, so will the amount of related information analysis, trade ideas, systems, strategies, expert advisors, and so on. People will start talking about Forex not only in dedicated forums and chatrooms but also at random meetings and parties.

The Forex exchange market is expected to grow at a CAGR of 7,5% during 2021-2026

Growing digitalization and urbanization in emerging and developed markets are the primary drivers of foreign exchange market growth. Minimal trading costs, new trading opportunities, and high transactional transparency and liquidity have boosted Forex's global acceptance. It should come as no surprise that foreign currency trading is expanding rapidly. Individuals from all over the world can buy and sell currencies with one another. Forex traders are typically active financial professionals who trade Forex for a living. Nonetheless, ordinary people profit from Forex trading.

Mobile Trading

According to CommSec's Richard Burns, by the end of 2013, 20 to 30 percent of share trading will be done on a mobile device. Considering the sheer size of the forex market in comparison to trading stocks, forex trading will be done entirely on mobile devices in 20 years. Many foreign exchange brokers are reporting significant increases in mobile app usage, with some claiming that it accounts for up to 15% of total online retail trades.

With the global proliferation of mobile devices, Forex traders can now watch streaming headlines, read economic data, and view analysis statistics in real-time. They can also get price alerts and much more. This not only makes it electronic but also allows traders to trade from almost anywhere and at any time of day. There is no doubt that Forex trading will be much simpler in 20 years.

Evolution of Forex Software’s

In the next 20 years, there will be an increase in the availability and types of software that automate the Forex trading process, which is already growing faster than ever. The software will become even more sophisticated and highly customizable, allowing anyone to easily set it up and use it, with a much lower need to understand Forex trading at all. There is little doubt that it will install itself and will only require minor tweaking once installed. According to the Bank of International Settlements report, manual trading accounted for 98 percent of trades in 2004. However, in 2010, voice trading accounted for only 55% of all trades – and in 20 years, all trades will be electronic. According to WorldFinance.com, in the April 2012 issue of their magazine, Euromoney, only 18% of Forex trades were made by voice. This is expected to fall to 13% soon.

Forex Trading in Pakistan

To begin trading forex in Pakistan, traders must have a PC, laptop, or mobile phone with reliable internet access. Aside from that, clients must have a funded account as well as a trading platform. Traders in Pakistan can trade with either local or international brokers. The Securities and Exchange Commission of Pakistan (SECP) and the Pakistan Mercantile Exchange regulate local Pakistani brokers (PMEX). Trading with local brokers is simple and does not necessitate any KYC procedures. Trading with overseas brokers, on the other hand, necessitates the verification of both identity and residential address. KYC, or Know Your Clients, is the term for this procedure. Traders can verify their identity by using their National ID card or a passport. A duplicate of the driver's license is also acceptable. Similarly, bank statements or utility bills can be used to verify an address.

Given its success around the world, foreign exchange is becoming increasingly popular and trusted among the people of Pakistan. People can exchange cryptocurrencies such as Bitcoin through Forex in addition to traditional currencies such as dollars and pounds. Pakistan, on the other hand, only allows trade in real currency because cryptocurrency has been declared illegal in the country.