Access India's regulated currency derivatives markets — trade USD/INR, EUR/INR, GBP/INR, and JPY/INR futures and options on NSE and BSE, backed by forex research reports and dedicated relationship managers.
What Is Currency Trading
Currency trading in India is done through SEBI-regulated exchanges — NSE and BSE — via standardised futures and options contracts on INR currency pairs. Unlike OTC forex, exchange-traded currency derivatives are fully transparent, regulated, and settled centrally.
Available Pairs
NSE and BSE offer currency futures and options on four INR-denominated pairs. Nikunj provides access to all of them through your single integrated trading account.
Instruments
Both instruments let you trade currency movements. Understanding the difference helps you choose the right tool for your goal.
| Contract size | USD 1,000 per lot (USD/INR) |
| Expiry | Last business day of month |
| Settlement | Cash settled in INR |
| Max loss | Unlimited (both sides) |
| Best for | Hedging, directional trades |
| Margin | SPAN + Exposure margin |
| Contract size | USD 1,000 per lot |
| Expiry | Last business day of month |
| Settlement | Cash settled in INR |
| Max loss (buyer) | Limited to premium paid |
| Best for | Hedging, defined-risk trades |
| Available pair | USD/INR only (NSE) |
Market Drivers
Currency rates are shaped by a complex set of global and domestic forces. Research reports track all of these daily to help you stay ahead.
Why Nikunj
Currency markets react fast to global events. Research reports and dedicated RMs keep you prepared — with daily updates, macro event calendars, and guidance on every position.
Getting Started
From registration to your first currency trade — the process is quick and fully online.
FAQ
Everything you need to know before you start trading currencies with Nikunj.
No — they are significantly different. International forex (OTC forex) involves unregulated brokers, unlimited leverage, and is not permitted for most Indian residents under FEMA regulations. In India, currency trading is done through SEBI-regulated exchanges — NSE and BSE — using standardised futures and options contracts on INR-denominated pairs. This is fully legal, transparent, and centrally settled. Nikunj trades only through regulated exchange platforms.
The standard lot size for USD/INR futures on NSE is USD 1,000 per contract. So if USD/INR is trading at ₹84, the contract value is approximately ₹84,000. The margin required is a small percentage of this — typically set by NSE based on SPAN calculations. Your Nikunj RM can provide the exact current margin requirement before your first trade.
Currency derivatives on NSE trade from 9:00 AM to 5:00 PM IST on weekdays. This session aligns with Indian business hours and captures key global data releases during European morning sessions. Unlike commodity markets, currency derivatives do not have an evening session. Monitoring pre-market global cues — overnight US data, Asian market movements — is important before placing morning trades.
Yes — hedging is one of the most practical uses of currency futures. If your business has USD payables (e.g. importing raw materials) and you want to lock in today's exchange rate for a future payment, you can buy USD/INR futures. Similarly, exporters expecting USD receivables can sell USD/INR futures to hedge against rupee appreciation. Your Nikunj RM can help you structure a hedging strategy that matches your exposure and timeline. SEBI and RBI permit currency futures for genuine hedging purposes.
USD/INR currency futures are cash settled in Indian Rupees on expiry — there is no physical delivery of US Dollars. The final settlement price is based on the RBI reference rate for USD/INR on the expiry date. Most retail traders choose to square off their positions before expiry rather than going to settlement. Your RM will remind you of upcoming expiry dates.
Profits from exchange-traded currency futures and options are treated as business income under Indian tax law and taxed at your applicable income slab rate. Currency trading is not eligible for capital gains treatment. Losses can be set off against other business income and carried forward for up to 8 years. STT is not applicable on currency derivatives, but there are exchange transaction charges. Consult a qualified tax advisor for your specific situation — the above is general information only.
No. Nikunj provides a unified trading account that covers equity, F&O, commodity, and currency segments. Once your account is active, your RM can enable the currency segment for you — there is no need for a separate application or Demat account. All segments are accessible from the same trading platform and app.
Open your free account with Nikunj. Get access to NSE and BSE currency derivatives, daily forex research reports, and a dedicated RM — all from one integrated trading account.
