Analysis: Forex Traders with Smaller Deposits and Smaller Bets in January

Tuesday, 16/03/2021 | 12:07 GMT by Sylwester Majewski
  • After solid growth in December, January brings a slower start to the year
Analysis: Forex Traders with Smaller Deposits and Smaller Bets in January
FM

Gone are the high values registered in December. Finance Magnates Intelligence analyzed data from cPattern, which specialises in the analysis of trading behavior in real-time, to find noticeable changes in Forex traders investing in January.

In January 2021, the three key metrics that were analyzed saw a slump. The value of an average first-time deposit (FTD) fell the most to $1,593.82, which is down from $3,348 for the month before.

Forex deposits and withdrawals

In the meantime, the value of an average single deposit decreased slightly from $2,738.20 to $2,510.78. However, the change in the withdrawal size was much greater as the average value fell from $3,286.34 to $2,479.72. This may suggest that after the Volatility exhibited in the last quarter of 2020, traders decided to take home some of the invested capital.

Forex monthly deposits

Data on monthly deposits seems to confirm this. The biggest deposits were made in Portugal during this time where an average trader sent $11,568 to a trading account. In December, the top spot in this rank belonged to traders from the United Arab Emirates, which on average left $16,844 in their accounts and was a considerable difference.

Forex Traders Investing with Lower Bets

However, traders did not quit trading but probably lowered their bets. The average activity of retail traders was slightly higher than what was seen in December. Once again, China led this rank with 260 transactions on average per single trader. Further, Romania was second in this grouping with 247 transactions, and Israel was third with 236 transactions per trader on a monthly basis.

forex transactions

Romania saw a lot of trading activity last year. With a growing interest from clients, the country experienced a surge in the number of unregulated brokers. In August, Finance Magnates reported on the Romanian Financial Supervisory Authority (ASF) that formed a new department to actively monitor the unauthorized companies offering investment and other financial services in the country. However, the trading appetite there remains unabated. Will deposit sizes increase? Where is the next Alpha? Visit Finance Magnates Intelligence to get the best in-depth knowledge in the field of multi-asset trading.

This is the latest publication from Finance Magnates Intelligence on key customer-related data. In today’s business world, big-data analysis and access to objective information sources are crucial for success. Are you trying to understand the industry? Do you plan to expand your business in new markets? To get the bigger picture of the FX/CFD industry in chosen countries and metrics, contact our intelligence department.

Gone are the high values registered in December. Finance Magnates Intelligence analyzed data from cPattern, which specialises in the analysis of trading behavior in real-time, to find noticeable changes in Forex traders investing in January.

In January 2021, the three key metrics that were analyzed saw a slump. The value of an average first-time deposit (FTD) fell the most to $1,593.82, which is down from $3,348 for the month before.

Forex deposits and withdrawals

In the meantime, the value of an average single deposit decreased slightly from $2,738.20 to $2,510.78. However, the change in the withdrawal size was much greater as the average value fell from $3,286.34 to $2,479.72. This may suggest that after the Volatility exhibited in the last quarter of 2020, traders decided to take home some of the invested capital.

Forex monthly deposits

Data on monthly deposits seems to confirm this. The biggest deposits were made in Portugal during this time where an average trader sent $11,568 to a trading account. In December, the top spot in this rank belonged to traders from the United Arab Emirates, which on average left $16,844 in their accounts and was a considerable difference.

Forex Traders Investing with Lower Bets

However, traders did not quit trading but probably lowered their bets. The average activity of retail traders was slightly higher than what was seen in December. Once again, China led this rank with 260 transactions on average per single trader. Further, Romania was second in this grouping with 247 transactions, and Israel was third with 236 transactions per trader on a monthly basis.

forex transactions

Romania saw a lot of trading activity last year. With a growing interest from clients, the country experienced a surge in the number of unregulated brokers. In August, Finance Magnates reported on the Romanian Financial Supervisory Authority (ASF) that formed a new department to actively monitor the unauthorized companies offering investment and other financial services in the country. However, the trading appetite there remains unabated. Will deposit sizes increase? Where is the next Alpha? Visit Finance Magnates Intelligence to get the best in-depth knowledge in the field of multi-asset trading.

This is the latest publication from Finance Magnates Intelligence on key customer-related data. In today’s business world, big-data analysis and access to objective information sources are crucial for success. Are you trying to understand the industry? Do you plan to expand your business in new markets? To get the bigger picture of the FX/CFD industry in chosen countries and metrics, contact our intelligence department.

About the Author: Sylwester Majewski
Sylwester Majewski
  • 124 Articles
  • 14 Followers
About the Author: Sylwester Majewski
A graduate of the Warsaw School of Economics, Sylwester received an MA specializing in finance and banking. As Finance Magnates' research associate and STA certified analyst, he leaves no stone unturned. Sylwester is the previous minority partner of an NFA registered US forex broker, and since 2003, has participated in many forex projects.
  • 124 Articles
  • 14 Followers

More from the Author

Retail FX

!"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|} !"#$%&'()*+,-./0123456789:;<=>?@ABCDEFGHIJKLMNOPQRSTUVWXYZ[\]^_`abcdefghijklmnopqrstuvwxyz{|}