How to Trade USD/INR in the Indian Stock Market

In this article, you will learn how to trade USDINR in Indian Stock Market. This trading falls under the Currency trading category. Just like Stocks, you can trade currency pairs like USDINR, EURO/INR in the currency market. Currency trading is offered by 3 exchanges in India that is NSE (National Stock Exchange), BSE (Bombay Stock Exchange), and MCX-SX.

USDINR can be traded in two ways that are futures and options. 1 lot of USDINR means 1000 USD.

For 1 lot of USDINR futures margin requirement is around RS 2000. If futures moves 1 paisa then you will make Rs 10 profit.

For trading options, you just need to pay the premium if you are buying options. For example, if the Call option price is 10 paisa then you need Rs 100 to buy 1 lot.

You can use any broker like Zerodha, Upstox, etc. to trade USDINR.

To simplify things see the below table:

Lot Size$1,000In stock derivatives, the lot is the number of shares, but here it’s a dollar amount
UnderlyingThe rate of Indian Rupee against 1 USD
Tick Size0.25 Paise or in Rupee terms INR 0.0025
Trading HoursMonday to Friday between 9:00 AM to 5:00 PM
Expiry CycleUp to 12-month contractsNote, stock derivatives have an expiry of up to 3 months.
Last trading dayContracts trade till 12:30 PM, 2 days before the last working day.Stock derivatives continue to trade till 3:30 PM on the expiry day.
Final Settlement dayLast working day of the month
MarginSPAN + ExposureUsually, SAPN is about 1.5%, and exposure is around 1%. Hence roughly about 2.5% is the overall margin requirement.
Settlement PriceRBI Reference rate on the day of Final settlementThe closing price of spot

A screenshot of the chart of USDINR :

USDINR chart