Dr.Monzer Kahf, a prominent economist and counsellor states: “Most of the transactions of money trading on Forex are in violation of the Shari’ah rules. Specifically, the Prophet (peace and blessings be upon him) prohibits any money exchange transaction that does not fulfil both of the following two conditions: 1) payment of both currencies must be in full; and 2) payment must be done at the time of the contract. This means that all trades on margin are not permissible (please do not be misled by a claim from the broker that it lends you the difference. There is no lending and they cannot do that by law, the regulations of the market requires payment of a small margin for each contract and this margin is required from seller and buyer not only from buyer). It also means that all future trades are also not permissible. If these two conditions are fulfilled, literally, money exchange becomes permissible. But I like to add that money exchange is normally done by either merchants who have shops to help people exchange currencies (money exchangers) or by persons who need other currencies for their own use or to pay for their imports, etc. Exchanging money on the internet for the purpose of profiteering from price variations is not a business that create value or benefit society. It is closer to gambling because it only transfers wealth from one person to another. Therefore, although some limited ways of doing it are not specifically prohibited in our religion, they are really not useful and they promote a gambling spirit of profiteering instead of creating a spirit of value-creating activities that benefit human beings.”