Is stock trading and forex trading different?

Oct 31, 2019 at 09:21
1,771 Views
27 Replies
Member Since Oct 22, 2020   4 posts
Oct 29, 2020 at 10:26
UweMoench posted:
@JessicaBaker there is difference between forex trading and stock market trading. Forex pairs price movement happen due to those countries economic factors, on the other hand price of a company's share depends on that company performance.
ya you are right
Member Since Oct 22, 2020   4 posts
Oct 30, 2020 at 12:11
Forex trading is the act of buying or selling currencies. Banks, central banks, corporations, institutional investors, and individual traders exchange foreign currency for a variety of reasons, including balancing the markets, facilitating international trade and tourism, or making a profit. There are three different types of forex market:

Spot forex market: the physical exchange of a currency pair, which takes place at the exact point the trade is settled – ie ‘on the spot’ – or within a short period of time
Forward forex market: a contract is agreed to buy or sell a set amount of a currency at a specified price, to be settled at a set date in the future or within a range of future dates
Future forex market: a contract is agreed to buy or sell a set amount of a given currency at a set price and date in the future. Unlike forwards, a futures contract is a legally binding gold quote. Most traders speculating on forex prices will not plan to take delivery of the currency itself; instead, they make exchange rate predictions to take advantage of price movements in the market.
Member Since Oct 13, 2020   34 posts
Nov 20, 2020 at 06:48
Forex trading is all about buying currency pairs at lower prices and selling them at higher prices.
Member Since May 29, 2022   39 posts
Jun 23, 2022 at 00:33
Short-term traders with little capital and a high risk tolerance typically favour FX trading. However, for people who are new to trading and want more consistent profits over a longer period of time, the stock market may be a better alternative.
Member Since Jun 03, 2022   26 posts
Jun 27, 2022 at 06:26
Not at all. Both are financial markets but the major difference between both the markets is that in forex we trade international currencies and in stocks, we buy shares of firms or companies.
Member Since Jun 02, 2022   20 posts
Jun 27, 2022 at 07:01
While they both aim to make money when prices move in the short term, there is one key difference between the two: while Forex trading focuses on buying and selling currencies between pairs of countries, stock trading is based on buying or selling shares of specific companies.
Member Since Jul 13, 2022   32 posts
Aug 01, 2022 at 09:09
One of the differences is that Stock trading does not provide much liquidity. Whereas forex trading provides a high level of liquidity.
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