List Forex Trading Industry in 2021: Is It Possible to Sustain Growth?
This particular season has long been a unique one for forex traders across the globe, coronavirus pandemic, lockdowns and unprecedented volatility fueled trading tasks and resulted in volumes that are huge with the record-breaking inclusion of new traders. The list forex industry was facing a difficult challenge before 2020 due to regulatory concerns across the entire world as companies started reporting a dip of volumes. Many brokers shut office spaces in different regions of the world because of regulatory problems.
In March 2020, due to a substantial outbreak of COVID-19, lockdowns limited travel, and individuals were sure to stay at home. Financial markets began reacting and that resulted in several trading possibilities throughout numerous assets. Due to increased volatility in the forex industry, pre-existing traders began increasing the exposure of theirs to make the most of new trading opportunities as brand new traders entered the industry. As a result, forex brokers registered new clients and record volumes. Today that 2020 is about to end, the actual issue arises, do you find it simple for the retail forex trading industry to retain the significant growth it attained during 2020? We asked industry professionals for their take on the retail forex trading industry in 2021.
“One major consequence of the pandemic has been the move to working from home, both for brokers and traders alike. The COVID 19 outbreak has also resulted in unprecedented volatility. These have been some of the drivers for the huge rise in trading volume seen since March, as traders had more time on their hands on account of a reduced amount of travel and lockdowns in general, and were also searching for new interests to create since they’d newfound moment to dedicate. And so, not simply were present traders increasing their volumes but several firms have seen record quantities of new traders enter the business. It was surely the case for Exness about both volumes and new clients,” Moyes said.
“Initially in March when the pandemic broke out globally, there was a major upsurge in volatility which, along with all the newcomers, was driving volumes to unprecedented levels. Although there was the inevitable small drop off in the months right after, volume levels had steadily increased throughout the year with levels far exceeding those before the pandemic. For many firms, the increases might well be renewable due to the number of new clients. Also, circumstances around the extra time of individuals and working from home have changed hardly any since earlier in the year, therefore, the same drivers for increased volumes continue to use. We are receiving aproximatelly eighty % of the March volatility volume in Exness and currently operating near to a fifty % increase from this time last year,” the Chief Commercial Officer at Exness included.