Education

Forex vs. Stocks

 

Here are some points why trading Foreign Exchange is more exciting than the Stocks.

 

You can profit on a down or up market

There is no restriction to sell short in the Forex Market. When trading stocks most of the money is earned in bull markets, which is very limiting. With Forex, you can easily profit in both directions, long and short, and make profits on the fluctuation of the exchange rates between any two currencies. It doesn't matter which currency is rising or falling in value.
Trading Forex always involves buying one currency and selling anot her, there is no structural bias to the market, this means a trader has an equal potential to profit in a rising, or falling market.


Zero commissions or fees

There is no commission when you trade Forex with Tamley Global Markets, simply as that: no government fees, clearance fees and any other type of fees. We are compensated by a portion of the spread. In the equity markets, you must pay both a commission and a spread.
The over-the counter structure of the Forex market eliminates exchange and clearing fees. Costs are further reduced by the efficiencies created by our electronic market place that allows clients to deal directly with the TradeManager(Tamley Global Markets).
Because the Forex market offers round-the-clock liquidity, you receive tight, competitive spreads both day and night. Stock traders are more vulnerable to liquidity risk and typically receive wider trading spreads, especially during after hours trading.


If you like technical trading, you will love the Forex market

Currencies does not often restrict to tight ranges. Trends are very well defined in the Forex market and usually pretty strong. More than 80% of the overall volume traded in the Forex market is speculative, which also means that the market can overshoot before a correction is effective. The technical trader can benefit by identifying breakout areas and points of resistance and support, thus providing several opportunities to enter and exit positions.


You can trade 24 hours a day

With Forex you can trade 24 hours a day in the largest and most liquidity market in the whole world.
Do you have a full time job and can operate in the financial market? Who says that you can't?
In the Forex market you can trade around the clock.
Forex market does not come to a halt each day at the close of business hours like the stock, equity and commodity markets do.