IB & emerging mkt FX

Discussion in 'Retail Brokers' started by moo, Jun 4, 2009.

  1. moo


    How can I trade emerging market currencies via IB?

    Contract selection does find BRL, HUF, LVL, PLN and RUB (all vs the USD, and on IDEALPRO), but I can't get any quotes.
  2. Although shown on IDEALPRO, they might not have any market makers lined up in these currencies. I've periodically checked USD against the SGD without luck. Check different times of day as some (e.g. NZD.USD) are not available around the clock. Otherwise, send an e-mail to IB and eventually you'll get a response.
  3. TM1982


    I just realized you can't trade NON-US equity options on IB. That really sucks, I was excited about being able to do that as I just opened an account with them. I guess I'll have to become a resident of Canada or Mexico so I can do that.
  4. You can trade the Hungarian Forint Futures on IB. I just took profits on 6 short contracts of EHFU9.
  5. moo


    Is there enough liquidity in these emerging mkt futures?
  6. Many would say no.

    They are thin.

    Sometimes there are no trades.

    At one point the open interest in one contract was 3 and they were all mine!

    But there is enough liquidity for position trades in my opinion where there is the possibility of large gains on major moves.

    The Hungarian Forint trades actively in the cash market as chronicled every day at

    Someone will always arbitrage the futures against that cash market for a few dollars.

    I am only speaking here about the Forint but I trade some other thin markets too - carefully.

    Note that you want to trade the Forint against the Euro, not against the dollar.
  7. Realistically this is like trading palladium or something equally exotic. A funny thing about thin markets is that the trends look better.

    But the costs are right up there too.
  8. moo


    Thanks for the info.

    Why so? I'd prefer to short them vs the USD, or even better, the JPY. Also like to be short EUR vs USD (and JPY).

    Have to try these futures. Palladium wasn't too bad!
  9. Just because that's where there is (some limited) liquidity...forint versus euro...there is little or no activity in forint versus dollar......but you could build what you want with a pair of trades.....