Difference between Forex and Stocks
The forex seems quite different from equities trading on the stock exchanges. In this article I will talk about the benefits and risks of forex and the initial capital required for both.
In addition to the attributes that I have explained in the article on the forex market , theforeign exchange market is different from the stock market when it comes to price changes and volatility. In the forex price changes are more abrupt and more noticeable because of the large margin. This requires different methods of trading than those that are used for actions to take advantage of potential profit that the forex market has to offer. These strategies serve to make more money and simultaneously to minimize the risk.
On the other hand have the similarity that both the forex markets and the shares are to develop repetitive behaviors that present prices profit opportunities for traders with good methods, good financial management principles and discipline.
Due to the wide margin that allows the forex, forex positions require a much smaller account than the actions. The potential to make money but the risk is also higher. But as has been said we can control the risk with good tactical trading and risk management that help us maximize profits and minimize risks.
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