Forex And Stock Differences

thecekodok

 Here I put in comparison so you understand what the difference between forex and stocks is.


Initial capital

Forex requires a very minimal start-up capital, which is as low as USD100 or around RM400 you can already afford to start a forex trading business. On the other hand, if it is a stock, you need to have a large capital of around RM1,000 to RM3,000 just to start trading the stock.


Two -way market

You can make a profit even if the market price goes up and down, i.e. you have a benefit from the two-way market. Even going up can be profitable. Even going down can be profitable. While the stock market, you can only profit if the counter price of the stock goes up. If it goes down you will suffer a loss. Only one way.


No Debt

You will only lose as much capital as you invest and you will not owe more than that value, otherwise if the stock market, there is an option by buying the stock using the debt first, and it will be a problem if the stock does not make a profit.


Major currency analysis only

With forex trading, you are not dizzy thinking you have to analyze thousands of counters or very many types of companies. With forex, you only need to focus on 6 world currencies that have a beautiful market to trade. From there you can maximize profits, you do not have to study all the currencies of the countries in the world.


Trading time

You can trade at a more flexible time because the forex market is open 24 hours a day and continuous 5 days a week. While stocks you can only trade, buy and sell during working hours only when the exchange is open. Of course, you are more flexible with forex trading time than stocks.


Continue studying the next chapter.