Salam Aleikum Warahmotullah Wabarakatuh.
I'm a young muslim looking for means to make a living, albeit in an halal way.

Sometimes last week, I listened to a radio programme where an e-trading expert was invited as a guest
The expert (he) talked at length on the need to have various means of income and how to take advantage of the internet in order make money. I was moved by his brief lecture and I showed interest via the telephone lines he dropped.
I, along with others who showed interest attended their zoom training on Thursday where they talked about shares, indices and stocks, trading of commodities and currencies.

I created an account with them on Saturday and I deposited ₦100,000 as my startup capital.
During my registration, I saw a checkbox that allows Islamic Account and I ticked the checkbox.
We had another training on Monday and that was when I got to know that trading of currencies was another name for forex which I know is 100% Haram but I consoled myself with the fact that I created an Islamic account.
Today, I decided to make a little research about Islamic forex and I couldn't get a concrete info on whether it's halal or Haram, and that's why I'm here on Nairaland, to seek knowledge.
Though, I want to make money but I won't risk my Deen for money.
What's the Islamic view on Islamic forex?
I'll appreciate any help.
Jazakkum llahu khairan

CC;
Rilwayne
Empiree
AlBaqir

Aug28th:
Salam Aleikum Warahmotullah Wabarakatuh.
I'm a young muslim looking for means to make a living, albeit in an halal way.

Sometimes last week, I listened to a radio programme where an e-trading expert was invited as a guest
The expert (he) talked at length on the need to have various means of income and how to take advantage of the internet in order make money. I was moved by his brief lecture and I showed interest via the telephone lines he dropped.
I, along with others who showed interest attended their zoom training on Thursday where they talked about shares, indices and stocks, trading of commodities and currencies.

I created an account with them on Saturday and I deposited ₦100,000 as my startup capital.
During my registration, I saw a checkbox that allows Islamic Account and I ticked the checkbox.
We had another training on Monday and that was when I got to know that trading of currencies was another name for forex which I know is 100% Haram but I consoled myself with the fact that I created an Islamic account.
Today, I decided to make a little research about Islamic forex and I couldn't get a concrete info on whether it's halal or Haram, and that's why I'm here on Nairaland, to seek knowledge.
Though, I want to make money but I won't risk my Deen for money.
What's the Islamic view on Islamic forex?
I'll appreciate any help.
Jazakkum llahu khairan

CC;
Rilwayne
Empiree
AlBaqir

Well, I had never come across an Islamic scholar who branded forex trading as Haram as your said over there (in your write-up) and if there's any quote or reference to back your statement, then Alhamdulillah! I am hungry for knowledge!

What I know and heard clearly in a Jumma'at khuthba by sheikh ibn uthman was regarding crypto-currency. He said its not permissible in Islam.

But regarding forex trading, for someone like me who had an in depth knowledge of forex and within my limited Islamic knowledge (Alhamd) I think forex is Haram for someone who lack thorough knowledge of forex and someone who couldn't afford to risk what he invested and yet invest such in forex.

I don't know if that rings a bell.
But this is a very interesting topic I am looking forward to hearing from our ulammas!
But mind you, you shouldn't accept the verdict of someone who lack knowledge of this things, or haven't done his research on this things...

I stand to be corrected!

Aug28th:
Salam Aleikum Warahmotullah Wabarakatuh.
I'm a young muslim looking for means to make a living, albeit in an halal way.

Sometimes last week, I listened to a radio programme where an e-trading expert was invited as a guest
The expert (he) talked at length on the need to have various means of income and how to take advantage of the internet in order make money. I was moved by his brief lecture and I showed interest via the telephone lines he dropped.
I, along with others who showed interest attended their zoom training on Thursday where they talked about shares, indices and stocks, trading of commodities and currencies.

I created an account with them on Saturday and I deposited ₦100,000 as my startup capital.
During my registration, I saw a checkbox that allows Islamic Account and I ticked the checkbox.
We had another training on Monday and that was when I got to know that trading of currencies was another name for forex which I know is 100% Haram but I consoled myself with the fact that I created an Islamic account.
Today, I decided to make a little research about Islamic forex and I couldn't get a concrete info on whether it's halal or Haram, and that's why I'm here on Nairaland, to seek knowledge.
Though, I want to make money but I won't risk my Deen for money.
What's the Islamic view on Islamic forex?
I'll appreciate any help.
Jazakkum llahu khairan

CC;
Rilwayne
Em.piree
AlBa.qir

Walaikum Salaam,

I believe a thread was opened about this before. The thing is, just like Stock market, there is no blanket haram or halal in this trading. They have elements of halal and haram in them. Forex trading is simply trading currency. Where it becomes haram is where exchange rate is determined. For instance, you convert Naira to Dollar , naira loses value. You devalue someone else's hard earned money. This is haram. According to standard definition of Forex Trade, it is the means through which one currency is changed into another. When trading forex, you are always trading a currency pair – selling one currency while simultaneously buying another. You see the business in itself is not haram but activities therein can be problematic. This is what makes 3rd world countries poorer and makes rich countries richer.

Prophet(SAW) taught us about different types of riba. It is said to be 70 types of them. So about this forex trading we can trace similar story in hadith where Nabi(SAW) urged equal trading hand to hand. It is called Riba Al Fadl. It actually means that excess which is taken in exchange of specific homogenous commodities and encountered in their hand-to-hand purchase & sale as explained in the famous hadith: The Prophet said, "Sell gold in exchange of equivalent gold, sell silver in exchange of equivalent silver, sell dates in exchange of equivalent dates, sell wheat- in exchange of equivalent wheat, sell salt in exchange of equivalent salt, sell barley in exchange of equivalent barley, but if a person transacts in excess, it will be usury (Riba). However, sell gold for silver anyway you please on the condition it is hand-to-hand (spot) and sell barley for date anyway you please on the condition it is hand-to-hand (spot).".

This is just a preview. I can only tell you to trade with due diligence. You can make huge profit and and you can also face huge loss as well. This actually makes it halal bcus this is how business should be. One party should not be making money while other party loses all the time Again, there is no blanket Halal or Haram in Stock Market or Forex Trading. It is simply trading and trade is halal. Just watch out what you do there. Explore the world bro. Not everything is haram until it is clear to you otherwise.

Thanks @qwertyboss and @Empiree for your responses.
I'm grateful;
Jazakkum llahu khairan

@qwertyboss, I've listened to some Islamic lectures and I've read some write-ups that says that Forex is haram with evidences.
Most of them actually link Forex to gambling.

There's this particular lecture that I found on YouTube yesterday and I share the same opinion with the lecturer.

However, I've decided to stay off Forex and invest my cash elsewhere.


https://www.youtube.com/watch?v=Itnhu-Ja1t0

Aug28th:
Thanks @qwertyboss and @Empiree for your responses.
I'm grateful;
Jazakkum llahu khairan

@qwertyboss, I've listened to some Islamic lectures and I've read some write-ups that says that Forex is haram with evidences.
Most of them actually link Forex to gambling.

There's this particular lecture that I found on YouTube yesterday and I share the same opinion with the lecturer.

However, I've decided to stay off Forex and invest my cash elsewhere.


https://www.youtube.com/watch?v=Itnhu-Ja1t0

That's why I said some one who lacks in depth knowledge of forex will not give the best verdict!
I think a particular person can not conclude this, unless there is a consensus of the ulammas!
I strongly oppose the fact that forex is gambling because in forex you absolutely can control your risks. Unlike in gambling

If there's a better time for our Islamic scholars especially in Nigeria to talk about this issue is now because the rate at which our youth are going into forex is alarming.
Before its too late

qwertyboss:

That's why I said some one who lacks in depth knowledge of forex will not give the best verdict!
I think a particular person can not conclude this, unless there is a consensus of the ulammas!
I strongly oppose the fact that forex is gambling because in forex you absolutely can control your risks. Unlike in gambling

If there's a better time for our Islamic scholars especially in Nigeria to talk about this issue is now because the rate at which our youth are going into forex is alarming.
Before its too late

Can I send a DM so you can enlighten me, more?

Empiree:
Walaikum Salaam,


This is just a preview. I can only tell you to trade with due diligence. You can make huge profit and and you can also face huge loss as well. This actually makes it halal bcus this is how business should be. One party should not be making money while other party loses all the time Again, there is no blanket Halal or Haram in Stock Market or Forex Trading. It is simply trading and trade is halal. Just watch out what you do there. Explore the world bro. Not everything is haram until it is clear to you otherwise.

I quite disagree with this. Profit and loss in a business is quite different to what's obtainable in forex.

For example, Mr. A has a poultry farm or fish farm and all the hens or fishes died. He suffered the loss alone and nobody gained in return. This simply means loss and gain are exclusively for the person who engages in the business. Birds died? He suffered loss alone (nobody gained in return). Birds do well? He gained alone (nobody lose in return)..

This is not so for forex cos it is a zero game. A Zero sum game is any game or activity where a participant gain or loss is exactly balanced with the losses and gains of the other participants. If the total gains are added together and the total losses subtracted the sum will be zero, hence the name zero sum game. Poker is one example of a zero sum game where players can only gain at the expense of other players.


Technically Forex is in fact at best a zero sum game as any gains made by one trader are equal to the losses of other traders. As currencies are traded in pairs, if one trader buys one lot in the EUR/USD and another trader sells one lot of the pairing any gains by one trader will be equal to the losses of the other trader. Thus Spot Forex can accurately be described as a zero sum game.


For retail traders, spot forex is in fact a negative sum game. A negative sum game is any game or activity where the sum of total gains and losses is negative i.e below zero. The reason why spot Forex can be considered a negative sum game is that traders incur substantial costs when trading the currency markets. Brokerages charge a marked up spread or commissions to traders, these mark-ups and commissions are used by the brokerages to cover their costs and to earn a profit. This means that the sum of gains and losses is in fact negative making Forex a negative sum game.

This is haram in Islam as it is akin to betting and gambling. People staking odds on football matches also win while some lose. You can't win in gambling except someone cries and that's why some scholars say it is haram!

Aug28th:

Can I send a DM so you can enlighten me, more?

Op, I will strongly advise you to flee from forex. Apart from Islamic view, you can read up experts' views and weigh the options of making money via it.

https://vantagepointtrading.com/whats-the-day-trading-success-rate-the-thorough-answer/

https://www.quora.com/Is-it-true-that-only-10-of-Forex-traders-make-money

https:///IBAIpD1o5B?amp=1

qwertyboss:

That's why I said some one who lacks in depth knowledge of forex will not give the best verdict!
I think a particular person can not conclude this, unless there is a consensus of the ulammas!
I strongly oppose the fact that forex is gambling because in forex you absolutely can control your risks. Unlike in gambling

At bold, some gamblers do tell you now that you can also control your risks in gambling by staking few odds and few games. There are even applications that can help with that! You see the fact is that someone is winning at the expense of the other. You are smiling to the bank while another man is wallowing in tears and counting his loss. That's the brutal fact about forex and gambling.

You can read this fatwa for more details.
https://www.islamweb.net/en/fatwa/88475/forex-transactions-for-muslims

https://www.islamweb.net/en/fatwa/372496/issues-about-printing-and-dealing-with-banknotes-and-forex-trading

https://www.islamweb.net/en/fatwa/88475/forex-transactions-for-muslims

qwertyboss:

If there's a better time for our Islamic scholars especially in Nigeria to talk about this issue is now because the rate at which our youth are going into forex is alarming.
Before its too late

I quite agree with this, we need more scholars to speak up on this, same with bitcoin and cryptocurrencies. Allah's aid is sought.

Hummm, interesting....I guess it is best to avoid it until there is clearance

lanrexlan:
Op, I will strongly advise you to flee from forex. Apart from Islamic view, you can read up experts' views and weigh the options of making money via it.

https://vantagepointtrading.com/whats-the-day-trading-success-rate-the-thorough-answer/

https://www.quora.com/Is-it-true-that-only-10-of-Forex-traders-make-money

https:///IBAIpD1o5B?amp=1

Thanks for your input.
I've withdrawn my cash from the platform

Aug28th:

Can I send a DM so you can enlighten me, more?

Sure

lanrexlan:
At bold, some gamblers do tell you now that you can also control your risks in gambling by staking few odds and few games. There are even applications that can help with that! You see the fact is that someone is winning at the expense of the other. You are smiling to the bank while another man is wallowing in tears and counting his loss. That's the brutal fact about forex and gambling.

You can read this fatwa for more details.
https://www.islamweb.net/en/fatwa/88475/forex-transactions-for-muslims

https://www.islamweb.net/en/fatwa/372496/issues-about-printing-and-dealing-with-banknotes-and-forex-trading

https://www.islamweb.net/en/fatwa/88475/forex-transactions-for-muslims


I quite agree with this, we need more scholars to speak up on this, same with bitcoin and cryptocurrencies. Allah's aid is sought.

I have gone through the links and what seems glaring is " it should be noted that doing business with the Forex system involves many violations of the Islamic law, like Riba, but if the company provides a system that is free from such violations and the condition of exchanging hand-to-hand is met during the conclusion of the transaction, then it is permissible to trade currencies, gold and silver; otherwise, it is not.
Allaah Knows best"
The only violations mentioned are interest and ribaa.

1-using the Islamic account automatically eliminate the interest aspect of it.

2- patronising brokers that offer free Islamic account without additional charges (swaps) do away with the ribaa aspect.

Am not making conclusions here neither am I justifying that forex is halal or Haram but pointing to the culpability of those reasons mentioned on the website

What a lovely thread!

qwertyboss:


I have gone through the links and what seems glaring is " it should be noted that doing business with the Forex system involves many violations of the Islamic law, like Riba, but if the company provides a system that is free from such violations and the condition of exchanging hand-to-hand is met during the conclusion of the transaction, then it is permissible to trade currencies, gold and silver; otherwise, it is not.
Allaah Knows best"
The only violations mentioned are interest and ribaa.

1-using the Islamic account automatically eliminate the interest aspect of it.

2- patronising brokers that offer free Islamic account without additional charges (swaps) do away with the ribaa aspect.

Am not making conclusions here neither am I justifying that forex is halal or Haram but pointing to the culpability of those reasons mentioned on the website

Interesting! Thanks for all your thought on this issue I have learnt greatly from you.

@ OP congratulations that you've withdrawn your capital because I can bet it, you will loose that money in a jiffy.

No doubt forex trading and other financial derivative trading are highly controversial in Islam, and more importantly the contrary view from different scholars further compounded the problem. However, like many other issues in Islam there would always be contrary opinion when there is no outright proclamation on the subject whether it is totally forbidden, the onus is on individual to seek opinion of many scholars and make research also to arrive what he or she think is best answer.

Firstly, I laugh in Swahili when I see lots of folks saying things about forex trading as if they want to start beans cake biz... The reality of the matter is that forex trading is not for "kids" and is one toughest traded asset compare to other asset classes because of its volatility and risky nature. The knowledge require to even decipher what the mkt is doing no be here, you would need nothing less than 5 yrs of active research.

Fundamentally, there are two things Islam look at in the financial transactions/biz.

1- Riba( interest)
2- Gharrar ( Uncertainty)

The first one Ribs as been taken care from the example empiree gave about profit/loss because riba and risk are mutually exclusive. They cannot co-exist.But excessive Gharrar (uncertainty) is where the problem lies and that gives room for forex trading being akin to gambling. And ofcourse many others unislamic element introduced into such trading like forward and future contract.

What baffles me at time is that most Federal Reserve (Central Bank) of many countries participate in FX trading together with lots of multi national companies ( albeit for different motive) , are we going to say these people are also participatingin in zero sum game or poker or gambling as some people posited?. I can t remember last time I read such institution invest or participate in grand poker at Las Vegas. Even the Efficient Market Hypothesis that seems to make assumptions about the mkt efficiency has been proving otherwise. The truth of the matter is engaging in this type of trading without adequate knowledge is the greatest gambling!. And I can tell you for you to even decipher what actually what the mkt is doing you need no nothing less than a "Phd" lol.

In gambling you have 50/50 chance of winning but in FX trading without knowledge is 99/1 chance of making any money in it. That's is why large percentage of people that engage in it loss their hard earned money at he end of the day. Only those that are parading themselves has guru, organizing seminar on Forex ripped off the gullibles of their money.

So as you've rightly pointed out there is need for scholars to discuss this in details and give coherent response to this issue. And BTW are you referring to Sheikh Bn Uthman, the Imam of Masjid Umar bn Khattab @ kundila?

qwertyboss:


I have gone through the links and what seems glaring is " it should be noted that doing business with the Forex system involves many violations of the Islamic law, like Riba, but if the company provides a system that is free from such violations and the condition of exchanging hand-to-hand is met during the conclusion of the transaction, then it is permissible to trade currencies, gold and silver; otherwise, it is not.
Allaah Knows best"
The only violations mentioned are interest and ribaa.

1-using the Islamic account automatically eliminate the interest aspect of it.

2- patronising brokers that offer free Islamic account without additional charges (swaps) do away with the ribaa aspect.

Am not making conclusions here neither am I justifying that forex is halal or Haram but pointing to the culpability of those reasons mentioned on the website

Riba and interest? Is there any difference?

The bold statement mentions "Many violations" and you pointed out only riba. What about gambling? Gharar (Uncertainty) nko?

Will an Islamic account caters for gambling and uncertainty?


Even Nairaland says

"16. Don't promote shady investments like betting, HYIP, MLM, FOREX, binary options, and cryptocurrencies on Nairaland."


May Allah ease our affairs

Aug28th:

Thanks for your input.
I've withdrawn my cash from the platform

Barakallahu feekum. May Allah grant us halal sustenance

Empiree:
Hummm, interesting....I guess it is best to avoid it until there is clearance

Gaskiya

lanrexlan:
Barakallahu feekum. May Allah grant us halal sustenance

Ameen

LadunaI:

Interesting! Thanks for all your thought on this issue I have learnt greatly from you.

@ OP congratulations that you've withdrawn your capital because I can bet it, you will loose that money in a jiffy.

No doubt forex trading and other financial derivative trading are highly controversial in Islam, and more importantly the contrary view from different scholars further compounded the problem. However, like many other issues in Islam there would always be contrary opinion when there is no outright proclamation on the subject whether it is totally forbidden, the onus is on individual to seek opinion of many scholars and make research also to arrive what he or she think is best answer.

Firstly, I laugh in Swahili when I see lots of folks saying things about forex trading as if they want to start beans cake biz... The reality of the matter is that forex trading is not for "kids" and is one toughest traded asset compare to other asset classes because of its volatility and risky nature. The knowledge require to even decipher what the mkt is doing no be here, you would need nothing less than 5 yrs of active research.

Fundamentally, there are two things Islam look at in the financial transactions/biz.

1- Riba( interest)
2- Gharrar ( Uncertainty)

The first one Ribs as been taken care from the example empiree gave about profit/loss because riba and risk are mutually exclusive. They cannot co-exist.But excessive Gharrar (uncertainty) is where the problem lies and that gives room for forex trading being akin to gambling. And ofcourse many others unislamic element introduced into such trading like forward and future contract.

What baffles me at time is that most Federal Reserve (Central Bank) of many countries participate in FX trading together with lots of multi national companies ( albeit for different motive) , are we going to say these people are also participatingin in zero sum game or poker or gambling as some people posited?. I can t remember last time I read such institution invest or participate in grand poker at Las Vegas. Even the Efficient Market Hypothesis that seems to make assumptions about the mkt efficiency has been proving otherwise. The truth of the matter is engaging in this type of trading without adequate knowledge is the greatest gambling!. And I can tell you for you to even decipher what actually what the mkt is doing you need no nothing less than a "Phd" lol.

In gambling you have 50/50 chance of winning but in FX trading without knowledge is 99/1 chance of making any money in it. That's is why large percentage of people that engage in it loss their hard earned money at he end of the day. Only those that are parading themselves has guru, organizing seminar on Forex ripped off the gullibles of their money.

So as you've rightly pointed out there is need for scholars to discuss this in details and give coherent response to this issue. And BTW are you referring to Sheikh Bn Uthman, the Imam of Masjid Umar bn Khattab @ kundila?

Yes am referring to sheikh Bn uthman the Imam of kundila mosque...
Sounds like an aquintance to you
I sometimes pray my Jumma'at prayers there....
When he spoke about crypto-currency, the aura was like, notable scholars arround the world are still looking into its crypto-currency and some described it as being not permissible in Islam

qwertyboss:

Yes am referring to sheikh Bn uthman the Imam of kundila mosque...
Sounds like an aquintance to you
I sometimes pray my Jumma'at prayers there....
When he spoke about crypto-currency, the aura was like, notable scholars arround the world are still looking into its crypto-currency and some described it as being not permissible in Islam

Yes, he's well known to many of us at MSS back then almost 2 decades ago. You can't help seeing how the lecture theatre always packed full and electrifying whenever he comes around to give lectures in the old/new campus.

Very versatile and well versed scholar. Him and Prof. Salisu Sheu- the present deputy sec. NSCIA always pulled enormous crowd back then.

You know the currency trading which is even a bit "clearer" there is still lots of discussion on it talkless of cryptocurrency trading that is just coming up. So am not surprised about that. And beside the fundamental principles like micro and macroeconomics indicies that backed various currencies does not exist for cryptocurrency.

Did you read an article on Forex written by one Dr. Omar Ubaidullah ( hope my memory serves me well) ? Is very interesting reading when I read it.

LadunaI:


Yes, he's well known to many of us at MSS back then almost 2 decades ago. You can't help seeing how the lecture theatre always packed full and electrifying whenever he comes around to give lectures in the old/new campus.

Very versatile and well versed scholar. Him and Prof. Salisu Sheu- the present deputy sec. NSCIA always pulled enormous crowd back then.

You know the currency trading which is even a bit "clearer" there is still lots of discussion on it talkless of cryptocurrency trading that is just coming up. So am not surprised about that. And beside the fundamental principles like micro and macroeconomics indicies that backed various currencies does not exist for cryptocurrency.

Did you read an article on Forex written by one Dr. Omar Ubaidullah ( hope my memory serves me well) ? Is very interesting reading when I read it.

No I did not read the book but I will search for it.

Empiree:
Walaikum Salaam,

I believe a thread was opened about this before. The thing is, just like Stock market, there is no blanket haram or halal in this trading. They have elements of halal and haram in them. Forex trading is simply trading currency. Where it becomes haram is where exchange rate is determined. For instance, you convert Naira to Dollar , naira loses value. You devalue someone else's hard earned money. This is haram. According to standard definition of Forex Trade, it is the means through which one currency is changed into another. When trading forex, you are always trading a currency pair – selling one currency while simultaneously buying another. You see the business in itself is not haram but activities therein can be problematic. This is what makes 3rd world countries poorer and makes rich countries richer.

Prophet(SAW) taught us about different types of riba. It is said to be 70 types of them. So about this forex trading we can trace similar story in hadith where Nabi(SAW) urged equal trading hand to hand. It is called Riba Al Fadl. It actually means that excess which is taken in exchange of specific homogenous commodities and encountered in their hand-to-hand purchase & sale as explained in the famous hadith: The Prophet said, "Sell gold in exchange of equivalent gold, sell silver in exchange of equivalent silver, sell dates in exchange of equivalent dates, sell wheat- in exchange of equivalent wheat, sell salt in exchange of equivalent salt, sell barley in exchange of equivalent barley, but if a person transacts in excess, it will be usury (Riba). However, sell gold for silver anyway you please on the condition it is hand-to-hand (spot) and sell barley for date anyway you please on the condition it is hand-to-hand (spot).".

This is just a preview. I can only tell you to trade with due diligence. You can make huge profit and and you can also face huge loss as well. This actually makes it halal bcus this is how business should be. One party should not be making money while other party loses all the time Again, there is no blanket Halal or Haram in Stock Market or Forex Trading. It is simply trading and trade is halal. Just watch out what you do there. Explore the world bro. Not everything is haram until it is clear to you otherwise.

Do you consider bureau de change business halal or haram?

LordReed:


Do you consider bureau de change business halal or haram?

the business itself is halal and it is hands to hands in most cases even though that is changing now. But the exchange rate is where problem is. It is not equal from one currency to another. This is deliberate control demolition of currency. That's not fair. This is what is causing poverty.

Check this out


https://www.youtube.com/watch?v=Itnhu-Ja1t0&t=11s

lanrexlan:
I quite disagree with this. Profit and loss in a business is quite different to what's obtainable in forex.

For example, Mr. A has a poultry farm or fish farm and all the hens or fishes died. He suffered the loss alone and nobody gained in return. This simply means loss and gain are exclusively for the person who engages in the business. Birds died? He suffered loss alone (nobody gained in return). Birds do well? He gained alone (nobody lose in return)..

This is not so for forex cos it is a zero game. A Zero sum game is any game or activity where a participant gain or loss is exactly balanced with the losses and gains of the other participants. If the total gains are added together and the total losses subtracted the sum will be zero, hence the name zero sum game. Poker is one example of a zero sum game where players can only gain at the expense of other players.


Technically Forex is in fact at best a zero sum game as any gains made by one trader are equal to the losses of other traders. As currencies are traded in pairs, if one trader buys one lot in the EUR/USD and another trader sells one lot of the pairing any gains by one trader will be equal to the losses of the other trader. Thus Spot Forex can accurately be described as a zero sum game.


For retail traders, spot forex is in fact a negative sum game. A negative sum game is any game or activity where the sum of total gains and losses is negative i.e below zero. The reason why spot Forex can be considered a negative sum game is that traders incur substantial costs when trading the currency markets. Brokerages charge a marked up spread or commissions to traders, these mark-ups and commissions are used by the brokerages to cover their costs and to earn a profit. This means that the sum of gains and losses is in fact negative making Forex a negative sum game.

This is haram in Islam as it is akin to betting and gambling. People staking odds on football matches also win while some lose. You can't win in gambling except someone cries and that's why some scholars say it is haram!

In depth analysis May Allah increase you in knowledge

Empiree:
Hummm, interesting....I guess it is best to avoid it until there is clearance

You nailed it bro Real estate will make more sense

tola9ja:

You nailed it bro Real estate will make more sense

This is my best choice of career business. Always gain in RE