There are two types of trading that we often know in the world of investment that is stock trading and forex trading. Although similar, both have differences. Let’s discuss the difference between stock trading and forex trading.
Trading Stocks and forex are 2 of the many investment products. The meaning of trading here is to sell stocks and forex in a relatively short period of time. With the hope that traders can benefit from the difference in selling and buying prices of stocks and forex.
Although at first glance looks similar, but there are some differences between stock trading and forex trading. Let’s discuss one by one the difference between stock trading and forex trading:
In stock trading, the traded product is a company’s securities. If in forex trading, the traded product is a currency price contract. In forex trading, you will see a comparison between the price of a currency with another currency. Unlike stock trading, the value of a company’s stock is not compared to other stock products.
Number of Traded Items
In stock trading, there are over 10,000 stocks worldwide. If in forex trading there is not too much choice. For example the Euro against the US Dollar or the so-called EUR / USD. There are only 4 product pairs that are major pairs. This pair is the most powerful currency. In addition, there are 3 other couples named commodity pairs. The movement tends to positively correlate with commodity price 1. But in addition to the product pairs, there are also some other couples. It’s just that the choice of products is still not as much as the products traded in the stock market.
Factors Affecting Technical Analysis
In stock trading, the trader must analyze the factors that affect the price changes in the market …
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