List Forex Trading Industry in 2021: Is It Possible to Sustain Growth?
This year continues to be a fascinating one for forex traders around the planet, coronavirus pandemic, unprecedented volatility and lockdowns fueled trading activities and resulted in volumes which are huge with the record-breaking inclusion of new traders. The retail forex industry was facing a difficult challenge before 2020 as a result of regulatory issues across the entire world as businesses started out reporting a dip in volumes. Several brokers shut office spaces in different regions of the entire world because of regulatory issues.
In March 2020, because of a massive outbreak of COVID-19, lockdowns restricted traveling, and individuals were likely to remain at home. Financial markets began reacting and that resulted in a number of trading possibilities throughout numerous assets. Because of high volatility in the forex industry, pre-existing traders started increasing their exposure to take advantage of different trading opportunities as new traders entered the industry. To be a result, forex brokers registered new clients as well as record volumes. Today that 2020 is intending to end, the true question arises, do you find it easy for the list forex trading sector to maintain the considerable growth it realized during 2020? We asked industry professionals for their take on the retail forex trading industry in 2021.
“One key consequence of the pandemic has been the move to working from home, both for traders and brokers alike. The COVID-19 outbreak has additionally resulted in unprecedented volatility. These have been several of the drivers for the huge rise in trading volume seen since March, as traders had far more time on the hands of theirs as a result of lockdowns and a reduced amount of travel in general, and were additionally looking for new interests to produce since they had newfound moment to dedicate. So, not just were existing traders increasing their volumes but some firms have seen record quantities of completely new traders enter the industry. This was definitely the case for Exness regarding both volumes as well as new clients,” Moyes believed.
“Initially in March when the pandemic broke out worldwide, there was a big upsurge in volatility which, along with all the newcomers, was driving volumes to unprecedented levels. Even though there was the inevitable slight drop off in the days soon after, volume levels had steadily increased throughout the year with levels far exceeding those prior to the pandemic. For a lot of firms, the increases might well be sustainable due to the number of new clients. Also, circumstances around the spare time of individuals and working from home have changed very little since earlier in the season, therefore, the same drivers for improved volumes still apply. We’re receiving about 80 % of the March volatility volume in Exness and currently operating near to a 50 % increase from this time last year,” the Chief Commercial Officer at Exness included.