Comparison of Forex with Stock Trading

Comparison of Forex with Stock Trading

Submitted by adil on Fri, 03/02/2012 - 04:03

There are a number of factors which suggest that Forex trading is better than stock trading.  Here is a quick overview of that.

Forex trading is not time dependent. The market is open 24 hours a day, five days a week. So you can trade any time in this period. On the other hand, stock market has specific timings. NYSE opens from 9:30am to 4:00pm on business days.

The second good reason to prefer Forex trading online over stocks is the commission. There is no commission to pay in Forex trading online. On the other hand, stock trading is commission based. These commissions can damage you badly.

Real time trading is one of the biggest advantages of Forex trading.  Good Forex brokers never delay your orders. Stock trading often suffers with time delay while filling orders.  Such delays can damage your trading.

Forex trading is fully in your control. You have to make decisions by your own. In stock trading, you are dependent on others. You are asked when to buy particular stocks.

There are thousands of stocks available for trading. Some times this can be confusing for the trader. Forex trading is not like that. You have major currency pairs to trade.  That means things are simpler in Forex trading as compared to stock trading.

Risk management is another factor which distinguishes Forex trading as a better business. In stock trading there is always a risk of (margin calls).

Hence, we conclude Forex trading as far better trading option for individual and companies which do not want complications in their trading business. IntelliTraders is always there to help traders to learn Forex trading techniques and make money with our guidelines.