Hey, I replied last night. We will need a few days to figure how to selectively allow trading in cross currencies.
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@mohitmehra
If I wish to trade in the Currency Derivatives Segment (CDS) without any exposure. In this case, I should refrain from trading.
If I have submitted a declaration to Zerodha and commenced trading without having any exposure, the Reserve Bank of India (RBI) may request proof of my exposure. Based on this, appropriate action will be taken.
Is that my understanding correct?
Yes, this is correct. One should not trade currency derivatives where there is no contract they are hedging.
Sir, There were articles even where selling options are not considered as Hedge, so how even does this rule make sense.
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Speculation is not allowed. Please read the content of the declaration, it clearly says that the client is agreeing to comply with RBI circulars that require the client to have underlying exposure to trade in the currency derivative segment.
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Hi Venu, Do you have any idea whether this will spread to commodities in the future?
May not as commodities wonāt come under RBI purview, SEBI is the regulator and they are fully aware about the participants.
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not impossible thoughā¦ since currency trading was okay even in violation of certain Acts that went for years than RBI put and end to it ā¦ On a certain day SEBI or any other higher-ups may wake up and do the same to commodities ā¦
hahaha though unlikely I wouldnāt be surprised if someday this happens to Stock Derivaties too
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So if someone trades mcx crude/ commodities with more USD fluctuation and wants to hedge some part with usdinrā¦ Is this fair usage? 
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SEBI should introduce USDINR bees as a solution to RBIās FEMA mandate, so traders can buy dollar bees and take exposure in derivatives accordingly.
Will open positions be auto squared off even after approved declaration on 5th April??
Any idea why JPYINR is in the lower circuit and May and Jun are notā¦ This is the most crazy movement Iāve seen in my last 10 year career
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Even i dont understand why anyone is not looking at this 100 mil point and needing exposure for even 500 lots, there is surely a clarification expected from RBI.
It seems that RBI has extended the implementation of their Jan Circular to May 3rd!
RBI defers this implementation to may 3rd 2024.
Am asking same to zerodhaā¦ But zero reply .they have gone in deep silence mode ā¦ They know this from jan 5 . Abd Did sleep on it
just one notice could been given so many people could have avoided huge loss. They have given just 2 dayss to close all positionā¦
Hmm they could have extended this yesterday, and avoided all this mayhem
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(a) we have not force closed any positions (b) thereās an extension that has come till May 03, please close your positions if any to avoid being non compliant.
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