Between Forex Trading and Stocks Trading

[Suresh]

Nice comment here, well i will also comment all of your post here
1. I agree with this that is right that Stock is centralized while forex is not a decentralized because we have a lot of liquidity provider around the world(Bank), but profitability still same between stock and forex.
2.That is right because Stock does not have high leverage just like forex do, but if you are forex US trader it will be hard to use higher leverage, the highest leverage you can use is 1:50 only.

From this point of view, CFD trading on Stocks is the best choice for those who do not have so much finance but want to enter Stock market. Here you can have an opportunity of even 1:40 leverage.

 

[amit.neogi]

can you please elaborate the stratigies od 1:40 leverage

 

[Suresh]

Do you mean what is the benefit of this leverage?

 

[Daisy]

I do have a love for long term stocks though as they're very secure if you purchase with the right company. If you purchase with the wrong companies, it could be detrimental but that is just like trading in forex. You must have knowledge and experiences in stocks as well. However, stocks can give off long term profit with a high level of certainty versus being so uncleared most of the time in trading and not knowing what can happen to your investments.

 

[Suresh]

I do have a love for long term stocks though as they're very secure if you purchase with the right company. If you purchase with the wrong companies, it could be detrimental but that is just like trading in forex. You must have knowledge and experiences in stocks as well. However, stocks can give off long term profit with a high level of certainty versus being so uncleared most of the time in trading and not knowing what can happen to your investments.

And have you ever tried Stock trading?

 

[Ruchibhar]

both re different thing. a person is successful in stock does not make him perfect in forex also. one is business another is trading.

 

[Daisy]

I don't want to trade stock cause they have more disadvantages than forex so therefore I will only do forex. I prefer forex over stocks anyways since its way too hard to do stocks and you must have high capital as well. So, not everyone can do stocks plus the profit is sure more in forex and so much easier to do.

 

[Suresh]

Yes, you are right, that is why I sometimes trade CFDs on Stocks. I trade with IFC Markets, they provide 1:40 leverage for Stocks and I can trade even with little investment. Commission is charged only for position opening, 0.1% of the volume. I mostly trade stocks of Facebook, Apple and Google.

 

[budado]

I'm so interested to know if I can handle my account in here. I do know we are in here to make something good with what we have. lets just hope we can sustain and maintain our account and become a big time trader. I do believe that forex trading is the key to success.

 

[Decub]

I don't want to trade stock cause they have more disadvantages than forex so therefore I will only do forex. I prefer forex over stocks anyways since its way too hard to do stocks and you must have high capital as well. So, not everyone can do stocks plus the profit is sure more in forex and so much easier to do.

For me, I invest in stocks just as an investor would do with a company. I don't know how they trade on it similar to Forex but all I do is purchase a company's shares and become a part of the company only to enjoy the dividends therein and to me, it's a cool way to keep my funds.

 

[Daisy]

For me, I invest in stocks just as an investor would do with a company. I don't know how they trade on it similar to Forex but all I do is purchase a company's shares and become a part of the company only to enjoy the dividends therein and to me, it's a cool way to keep my funds.

I think buying some bitcoin is a good idea too since its rising like mad. Three years from now bitcoin could replace even mainstream currency so making it even higher in value so I'm in a hurry to put in some bitcoin investment. Also, a number of business accept bitcoin so they kind of pass the newbie stage.

 

[Decub]

For me, I think the way I can invest in Bitcoin is only if I want to use it as a means of deposit to a broker which I would like to withdraw through same means. Perhaps I can decide to grow capital rather than withdraw because some of these ecurrencies are better trusted with one leg.

 

[petertrading]

24 hour market
Foreign exchange market operates 24 hour a day but stock exchange market is not a 24 hour market. The flexibility in trade timing enables forex traders to trade in their own time. It is also beneficial for those traders who want to trade forex as a pert time process. On the other hand stock exchange traders have limited time to trade in stocks. This is one of the major differences between foreign exchange and stocks.

Commission free
Almost all the forex broker charges no commission for trading. Combined with the tight, consistent, and fully transparent spread, foreign exchange trading costs are much lower as compare to stock trading.

Leverage
Moving ahead with the information on stocks vs foreign exchange, we came to know that in foreign exchange market the ability to trade on margin gives forex traders a great leverage as compare to stock market. The huge leverage offered by forex market enables forex trader to gain extraordinary profits from their trades.

Liquidity and execution time
Comparing foreign exchange and stocks, we also came to know that, when you trade in the foreign exchange market you are trading in case. Stocks on the other hand require an active seller of a particular stock. In forex trading your trades are instantly executed under normal market conditions but this does not happen in stock trading. However, this distinguishes stocks from forex trading.

Few major currencies to follow vs thousands of stocks
When you are trading forex, you only have to follow some few major currencies. But stock market has thousands of stocks to trade. Following them would be a very difficult task. With forex trading you can concentrate on the major currencies.

No bear market
When trading in the foreign exchange market, you can predict the currencies going up and down. While stocks on the other hand can experience long bear markets seemingly everything is going down. This also however, distinguishes stocks from forex trading.

Get familiar with the difference between foreign exchange and stocks and increase your knowledge in the world of trading.

 

[Pettyeve]

Forex trading and stock trading have similarities but they are not the same. Forex operate for 24 hours in the 5 days which ar business days but stock trading is not a 24 hours market. Different countries have their own time and some operate in less than eight hours.

 

[Svetlana Loboda]

Do you mean what is the benefit of this leverage?

I see, there have so many negative comments on the trading leverage! By the way, according to my analysis; leverage is very much useful feature for the retail Forex traders! But, depending on high trading leverage is not workable.

 

[Lee Mark]

Forex trading is a business that seems to be the rave of the moment with so many always wishing to know how it works. Though it has been around but it seems the popularity increased only recently thereby making more people want to join it.

Stocks on the other hand has been on for a very long time and has been known for shares and purchase of same by the public and interested individuals. This has been the general idea about stocks but some say one can trade in it just like Forex.

Have you ever traded in Stocks and how is it if compared with Forex.

I see, Forex is much flexible! I am an active trader on Forex only; frankly I have no plan with the stock or Options! Yes, I am quite happy on my monthly return.

 

[Svetlana Loboda]

I see, Forex is much flexible! I am an active trader on Forex only; frankly I have no plan with the stock or Options! Yes, I am quite happy on my monthly return.

Yes, Forex is much flexible! Last year I tried with options trading, not much interesting result; that’s way now I am an active Forex trader.

 

[lioneld]

Yes, Forex is much flexible! Last year I tried with options trading, not much interesting result; that’s way now I am an active Forex trader.

Actually, options trading is not proper way of trading, according to me it’s like gambling. But I see, day by day the popularity of crypto trading has been increasing very rapidly.

 

[James007]

A noteworthy contrast between the forex and stock markets is the quantity of trading choices accessible: the forex market has not very many contrasted with the thousands found in money markets. The greater part of forex traders concentrate their endeavors on seven diverse currency pairs.

 

[anna.serea]

I prefer to trade on forex than stock. I can trade 24h/day and fast execution.