law there is some dispute regarding under exactly what conditions. The question here lies in what is considered to be hand to hand. There is a thin line between trading and gambling, we all must admit. Plato once said, human behavior flows from three main sources: desire, emotion and knowledge. Creating a Muslim Forex Account, there is no question that currency exchange is permissible in Islam, provided that there is no interest element, that it is made hand to hand (though this phrase can be translated in multiple ways and that the exchanger has. As evidenced in the research presented here, there are certainly many people who believe that in the right circumstances, Islamic Forex trading is permissible. . By: m *This article was updated on May 17, 2017. Forex is Halal or Haram?
Having reduced the issue to one of trading spot Forex and assuming there is no interest element deemed to be involved, we move onto the next issue. A solid and respectable Forex broker will have concrete answers and will make you feel at ease, not uncomfortable). Back test your strategy and aim to develop it 8-, constantly review your historical performance and try to understand why you made loss and profit 9-, be disciplined, trading is a job not a game 10- Focus 11- Trade with an Islamic live forex trading room account providing Forex. In modern times, it can be argued that in regards to Forex trading, the deal is made between a Forex broker and a trader, so this would qualify under such a definition of two different parties, which would be permissible according to Islamic law. Interestingly, this could suggest that all non-market trades (i.e. They are simply speculating that the value of one with go up and the value of another will go down. It would seem to be permissible only so long as it the exchange is hand to hand. Once youve done your research thoroughly, you can decide whether Islamic Forex is right for you. The interest problem also eliminates any possibility of trading Forex forwards, as there is always an interest element involved in these transactions.