Dividend income forex is a form of trading where traders buy and sell stocks and financial instruments that pay dividends, such as foreign currency. Traders are able to generate profits from buying and selling theses instruments over time by taking advantage of market fluctuations. This provides them with an opportunity to earn potentially higher returns than those offered by traditional forms of investment. Investors must take extra caution when engaging in this type of trading as the markets are not always predictable, and there is the potential for losses as well as profits. Nonetheless, the potential for these high returns can make dividend income forex a lucrative choice for both experienced and novice traders.