Forex Trading in Indonesia • Forex Strategies • Benzinga
With a rapidly growing economy and a rapid spread of technology, more and more traders and forex brokers are turning to the island nation of Indonesia as the next big forex trading sphere. If you’ve ever wanted to trade forex as a resident of Indonesia, an Indonesian citizen or a traveler, our guide will help…
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With a rapidly growing economy and a rapid spread of technology, more and more traders and forex brokers are turning to the island nation of Indonesia as the next big forex trading sphere. If you’ve ever wanted to trade forex as a resident of Indonesia, an Indonesian citizen or a traveler, our guide will help you get started.
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Get Started with Forex in Indonesia
The spread of both domestic and international online brokers offering service to Indonesian trades has greatly expanded the availability of forex trading. To get started with forex, use the following basic steps to open an account.
Find a stable internet connection. Fast, reliable internet service is a must-have when trading forex. If you don’t already have a device connected to the internet, find one with a consistent connection and service before moving forward.
Open a brokerage account. You cannot buy and sell currencies directly in Indonesia. Instead, you must work through a forex broker, who services your trades on your behalf in exchange for a small fee.
The Financial Services Authority of Indonesia has recently introduced a series of new laws to crack down on local brokers and punish dishonest advertising and excessive commission charges. As a result, the forex market of Indonesia is now well-regulated, and you may safely work with a licensed domestic or international broker servicing the Indonesian market.
Indonesian authorities warn, however, not every international broker offering services to Indonesian residents is properly authorized — the government recommends Indonesian traders work with domestic brokers. If you aren’t sure if a broker is licensed, visit the Financial Services Authority of Indonesia’s TRUST+ website.
Download your platform. Depending on the broker you choose, you might need to download a 3rd-party trading application like MetaTrader 4 or 5. Be sure that your platform of choice is compatible with your broker before you download it.
Fund your account. After your account is opened, you must deposit trading funds into your brokerage account. Most Indonesian brokers support electronic bank transfers and the use of digital wallets like Perfect Money to fund your account.
If you are a follower of the Islamic faith, you may want to choose a “swap-free” account. These accounts do not accumulate interest in overnight positions, which is compliant with Sharia Law. About 87% of Indonesian residents profess the Muslim faith, so every broker operating in Indonesia is compelled by law to offer swap-free accounts.
Place your 1st trade. After your funds have cleared and your account is fully opened, it’s time to place your currency trade.
Indonesia Forex Trading Strategies
The majority of Indonesian traders use a strategy called “technical analysis” to influence their forex trades. When a trader uses technical analysis, he or she looks at price data and candlestick patterns to predict how a currency will move in the future.
In this section, we’ll introduce you to a few technical analysis strategies you can use when formulating your unique trading strategy.
Return to Mean Strategy
The return to mean trading strategy is based on a simple concept: When a currency fluctuates outside of its standard range of values, it will soon return to the mean. Using a trendline, calculate the mean value and how your currency of choice is increasing or decreasing in value over time. When the currency value moves outside of the standard mean, a buy or sell signal may be triggered.
Triple Moving Average Crossover
The triple moving average crossover strategy is used by longer-term traders looking for a currency that will steadily increase in value over time. To begin, choose a range of time, for example, 21 days. Then, calculate the average closing price for this period. For each day that a successive bar moves in the same direction as the mean trend, calculate a new average. A buy or sell signal may be triggered when the average mean changes patterns or begins a new trend.
Short-term currency traders often hunt for reversal candles to capitalize on short-term movements in price. A reversal candle is a candlestick that indicates that a currency’s movement trend might reverse in direction. For example, if a currency is steadily rising in value, it will continue to rise until a reversal candle is triggered — the trader would then consider this a “sell” signal and close out of his or her position. Reversal candles may be bullish or bearish depending on their placement and form.
Forex Trading Example in Indonesia
Let’s take a look at an example of how forex trading works as an Indonesian trader.
Imagine that you believe that the Australian dollar (AUD) will soon rise in relation to the Indonesian rupiah (IDR). You deposit $100 million IDR into your account and convert the entire lot into AUD. At this time, 1 IDR is equal to about .0001 AUD. After the transaction is complete, you’re left with about $10,000 AUD.
A few weeks later, you see that Australia has shown exceptional GDP growth — and that the value of the Australian dollar has risen in comparison to nearly every other currency. So, 1 IDR is now equal to only 0.00008 AUD. You decide that now is the time to sell, and you convert your entire lot of AUD back to IDR.
At the conclusion of the transaction, you’re left with $125 million IDR. In this example, you’ve gained a profit of $25 million IDR by strategically exchanging your currencies and selling them back when the value of your native currency had fallen.
Making Money with Forex in Indonesia
There are currently no restrictions on the amount of money that forex traders in Indonesia can bring in through their trading. Unlike some other countries, there are also no limitations on the amount of money you can deposit into your international brokerage account. This means that there are no limitations on the amount of profit that you can earn as a forex trader in Indonesia.
Though Indonesia’s forex market is relatively well-regulated, there are a few steps that you can take to protect your investment and prevent yourself from losing money:
Work only with licensed brokers. Though domestic Indonesian brokers are required to adhere to a select set of laws, not every international broker operating in Indonesia offers these guarantees. Only work with trusted, reliable brokers to protect your financial interests when trading.
Only trade major currency pairs. If you choose to keep the IDR as your base currency, we recommended that you only trade major currencies — like the USD, AUD and GBP. This will ensure that you’re able to quickly exit your position when you need to.
Practice your trading strategy first. Before you invest any of your own money, open a demo account and perfect your trading strategy.
Best Online Forex Brokers in Indonesia
As a trader in Indonesia, you have a wide range of forex brokers to choose from before you trade. If you aren’t sure where you want to open your account, consider a few of our top choices below.
$100 USD (or equivalent)
1 Minute Review
Though Australian and British traders might know eToro for its easy stock and mobile trading, the broker is now expanding into the United States with cryptocurrency trading. U.S. traders can begin buying and selling both major cryptocurrencies (like Bitcoin and Ethereum) as well as smaller names (like Tron Coin and Stellar Lumens).
eToro offers traders the opportunity to invest their assets into premade portfolios or cryptocurrencies, similar to services offered by robo-advisors through traditional brokers. Though eToro isn’t a one-stop-shop for everything an investor needs, its easy-to-use platform and low spreads is a great way to enter the cryptocurrency market.
International Forex/CFD Traders
New cryptocurrency traders looking for an easy-to-use platform
Traders who want to buy and sell cryptocurrencies on-the-go
Simple platform that is easy to master
CopyTrader feature that allows new traders to copy the same strategies used by professionals
Virtual dummy account that gives you $100,000 to practice trades
U.S. traders currently limited to cryptocurrencies
Only 15 major coins available to trade
1 Minute Review
A fully regulated broker with a presence in Europe, South Africa, the Middle East, British Virgin Islands, Australia and Japan, Avatrade deals with mainly forex and CFDs on stocks, commodities, indexes, forex, cryptocurrencies, etc. This brokerage is headquartered in Dublin, Ireland and began offering its services in 2006. It offers multiple trading platforms and earns mainly through spreads.
Traders looking for a well-diversified portfolio
Controlled by regulatory agencies of multiple countries
Choice offered in terms of trading platforms
Support available in 14 languages and trading platforms in 20 languages
Practice/demo account available for trying out
Breadth of trading assets
Does not accept customers from the U.S. as it isn’t regulated in the U.S.
Transferring funds to the account may take up to five days; withdrawals could take up to 10 days
100 of your selected base currency
100 of your selected base currency
1 Minute Review
FOREX.com is a one-stop-shop for forex traders. With a massive range of tradable currencies, low account minimums and an impressive trading platform, FOREX.com is an excellent choice for brokers searching for a home base for their currency trading. New traders and seasoned veterans alike will love FOREX.com’s extensive education and research center that provides free, informative forex trading courses at multiple skill levels. While FOREX.com is impressive, remember that it isn’t a standard broker. You can’t invest in the stock or bond market through your FOREX.com and you cannot open an account with tax advantages. The confusing pricing and margin structures may also be overwhelming for new forex traders.
MetaTrader 4 users
Beginner forex traders
Active forex traders
Impressive, easy-to-navigate platform
Wide range of education and research tools
Access to over 80 currencies to buy and sell
Leverage available up to 50:1
Cannot buy and sell other securities (like stocks and bonds)
Confusing margin requirements that vary by currency
Limited customer support options
Cannot open an IRA or other retirement account
When you first get started in the world of forex trading, it can be confusing to understand what brokers and traders are talking about because forex uses its own language. Familiarizing yourself with some of the most common terms can make it easier to navigate your brokerage platform and the educational resources you use to trade.
Pip: A pip is the smallest possible unit of any given currency. In most cases, 1 pip is equal to 0.0001 of any currency.
Order: An order is a set of instructions that you give to your broker to tell them what currency you’d like to buy or sell and at what price point.
Lot size: Your lot size is the total number of units of currency that you’re buying or selling. For example, if you place an order to sell $10,000 AUD, your lot size is equal to 10,000.
Call: A margin call is a major risk of trading with leverage. If you borrow money on margin to trade and the value of your portfolio decreases, your lender might require you to deposit more money into your account to maintain your position through a margin call. Margin calls can quickly cause you to lose money or wipe out your earnings, so use leverage with care.
Trading from Indonesia
With the near-ubiquitous spread of the internet, nearly anyone can get started forex trading — no matter where they live. But before you place your first currency order, be sure to do your research and develop your trading strategy before you invest. Taking just a few days to do your homework and work with a demo account can mean tons of money saved in the long run.
Hire a Pro: Compare Financial Advisors In Your Area
Finding the right financial advisor that fits your needs doesn’t have to be hard. SmartAsset’s free tool matches you with fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is legally bound to act in your best interests. If you’re ready to be matched with local advisors that will help you achieve your financial goals, get started now.
EOS is a cryptocurrency that was introduced in 2017 and is based on blockchain and smart contracts. Its key features are scalability, decentralized apps, and huge throughput (a few million transaction per second).
This is another step towards developing our crypto portfolio.
Our clients do value the flexibility and state of the art technologies we offer them As for us, our mission is meeting their expectations and constantly improving the trading conditions by opening the door to new instruments and opportunities.
says Denis Golomedov, ;Marketing Director at RoboForex.
Roboforex and Cryptocurrency
This Broker has been on the forefront of crypto trading on the Metatrader 4 and Metatrader trading platforms from the beginning and pushing for more and more trad-able assets to be added to their offering .
it took this broker a little bit of time but now that they got them selves into the cryptocurrency trading arena they come to lead the pack. this in combination with their the trading platforms they are offering makes this a broker to take notice of.
as yet there are not enough brokers that offer metatrader 5 and especially one where you are able to trade bitcoin ethereum, litecoin and now also EOS.
RoboForex is a brokerage company catering to clients from various countries. The broker’s focus is providing the traders with access to its own financial market platforms.
RoboForex Ltd is a licensed company (License No. IFSC/60/271/TS/17).
Indicted: Local bitcoin Trader Jailed for Money Laundering
Local Bitcoin trader, Theresa Lynn Tetley, also widely known as Bitcoin Maven has been indicted for indulging in illegal bitcoin-for-cash transactions. According to the Central District of California, the LocalBitcoins.com trader has been sentenced to 12 months in prison.
She has also been handed a three-year supervised release and a $20,000 fine. A former real estate investor and stockbroker, the court ordered her to relinquish $292,264.00 in cash, 25 assorted gold bars, and 40 bitcoin.
money launderingTetley pled guilty to one count of operating an unlicensed money exchange business, and another related to money laundering. Her case is the first of its kind in the Central District of California.
Tetley was procedurally supposed to register her business with the Financial Crimes Enforcement Network, an agency of the United States Department of the Treasury.
The agency is responsible for analyzing transactions to curb money laundering and related financial crimes. She also failed to implement standard anti-money laundering protocol, including reporting of certain financial sources as per the requirements of this type of business.
Tetley is said to have traded over $6 million for clients within the United States and charged higher rates as compared to other traders within the LocalBitcoins platform.
Also noted in the court documents was that Theresa Lynn laundered bitcoin for a customer who had been suspected of having acquired the cryptocurrency through illegal activities, including drug sales on the dark web.
She also carried out a bitcoin to cash transaction for an undercover agent who had explicitly declared that his bitcoin was tied to narco-trafficking operations.
According to the report, Tetley’s service was responsible for fueling the growing use of cryptocurrencies to launder money and supported a black market system set up purposely to circumvent the law.
The organizations involved in her investigation included the IRS Criminal Investigation and the Drug Enforcement Administration.
Just One of Many
That said, the government has been committing significant resources to counter the crypto – dark web menace, and earlier this month, a major sting operation was carried out against a major money laundering network. Thirty-five suspects were arrested.
One individual, identified as John Edward Monette, was charged with Conspiracy to Distribute a Controlled Substance. He was also alleged to have carried out numerous bitcoin for cash exchange transactions on the dark web, most of them in 2017 and totaling about $19,000.
Another dark web vendor busted during the operation, Ryan Farace, 34 was indicted for being involved in an alprazolam tablets manufacture and distribution scheme.
He sold the drugs on the dark web, with all transactions being made in bitcoin. Additional digital currency money laundering transactions were made to conceal the sources.
Blockchain tech – so revolutionary in nature that some are calling it the “new internet.” It has applications in just about every industry, and has completely altered the way we think about internet security, the processing of information, and the speed of transactions.
Blockchain is the technology that supports the digital currency or cryptocurrency called Bitcoin –
however this is not what it is really about as it has a far wider scope of applications and is being commercialized in a growing number of areas.
It has generated much interest in technology circles and beyond, because of the new possibilities it opens up in financial services, the public sector and other areas.
According to sites like BitFortune.net, blockchain tech is definitely worth keeping an eye on due to the myriad of benefits it provides.
Blockchain and Bitcoin are not the same thing – Bitcoin is implemented using blockchain technology, but blockchain technology can be used in contexts much wider than Bitcoin or other cryptocurrencies. so when we are talking about the blockchain we are talking about a combination of a number of technologies, these including:
The blockchain data structure.
Public key cryptography.
Part of what makes it so exciting is that it is completely open source. As a result, there are already a number of interesting blockchain apps, and the number is growing daily.
The technology is so secure that it is already being used by DARPA to secure military data. Various governments around the world are working on ways to use the tech to protect their own data.
The tech is tamper-proof, and the data stored within it is permanent. It cannot be erased or altered, and this is what makes it so enticing to those needing more secure networks.
But there is more, folks. (Okay, so that sounds a bit like an infomercial, but the benefits are real nonetheless.) Transactions can speed across the network – taking only as much time as it takes for them to be authorized.
The blockchain cannot be described just as a revolution. It is a tsunami-like phenomenon, slowly advancing and gradually enveloping everything along its way by the force of its progression.
The system runs without the need for an intermediary, and this reduces the time it takes to execute transactions. This, and the unique way that the tech works, means that costs are significantly reduced as well.
What makes it so revolutionary is that the information is spread across every computer within the network. With Bitcoin, that means the data is securely “backed up” over thousands of computers.
Now, it is unlikely that banks will entrust their data to a public network in the same way, but they have been working on creating networks of their own instead.
The potential savings in terms of cost and time are extensive. If you want to learn more about these savings, check out the infographic below.
Why You Need to Get Onboard With Blockchain!
Why You Need to Get Onboard With Blockchain!
Visit bitfortune.net . for more interesting Infographics